Aritzia (ATZ) Competitors

Roots (TSE:ROOT) and Aritzia (TSE:ATZ) are both consumer cyclical companies, but which is the better investment? We will contrast the two businesses based on the strength of their valuation, earnings, dividends, community ranking, media sentiment, profitability, risk, institutional ownership and analyst recommendations.

Is ROOT or ATZ more profitable?

Aritzia has a net margin of 3.26% compared to Roots' net margin of 0.39%. Aritzia's return on equity of 9.84% beat Roots' return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Roots	0.39%	0.58%	2.29%
Aritzia	3.26%	9.84%	5.67%

Does the MarketBeat Community favor ROOT or ATZ?

Aritzia received 142 more outperform votes than Roots when rated by MarketBeat users. Likewise, 65.67% of users gave Aritzia an outperform vote while only 59.37% of users gave Roots an outperform vote.

Company	Underperform	Outperform
Roots	Outperform Votes 187 59.37%	Underperform Votes 128 40.63%
Aritzia	Outperform Votes 329 65.67%	Underperform Votes 172 34.33%

Which has stronger valuation & earnings, ROOT or ATZ?

Aritzia has higher revenue and earnings than Roots. Aritzia is trading at a lower price-to-earnings ratio than Roots, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Roots	C$256.98M	0.34	C$1.01M	C$0.01	220.00
Aritzia	C$2.37B	2.09	C$77.14M	C$0.68	79.34

Does the media prefer ROOT or ATZ?

In the previous week, Aritzia had 6 more articles in the media than Roots. MarketBeat recorded 6 mentions for Aritzia and 0 mentions for Roots. Aritzia's average media sentiment score of 0.77 beat Roots' score of 0.00 indicating that Aritzia is being referred to more favorably in the news media.

Company	Overall Sentiment
Roots	Neutral
Aritzia	Positive

Do analysts prefer ROOT or ATZ?

Roots currently has a consensus target price of C$3.25, indicating a potential upside of 47.73%. Aritzia has a consensus target price of C$55.75, indicating a potential upside of 3.34%. Given Roots' higher probable upside, equities research analysts plainly believe Roots is more favorable than Aritzia.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Roots	0 Sell rating(s)	0 Hold rating(s)	1 Buy rating(s)	0 Strong Buy rating(s)	3.00
Aritzia	0 Sell rating(s)	0 Hold rating(s)	7 Buy rating(s)	0 Strong Buy rating(s)	3.00

Do insiders & institutionals have more ownership in ROOT or ATZ?

51.0% of Roots shares are held by institutional investors. Comparatively, 51.3% of Aritzia shares are held by institutional investors. 14.2% of Roots shares are held by insiders. Comparatively, 0.9% of Aritzia shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Which has more volatility & risk, ROOT or ATZ?

Roots has a beta of 2.42, indicating that its stock price is 142% more volatile than the S&P 500. Comparatively, Aritzia has a beta of 1.83, indicating that its stock price is 83% more volatile than the S&P 500.

Summary

Aritzia beats Roots on 13 of the 17 factors compared between the two stocks.