Express (EXPR) vs. Its Peers Critical Review

Express (NYSE: EXPR) is one of 37 public companies in the “Apparel & Accessories Retailers” industry, but how does it compare to its competitors? We will compare Express to similar companies based on the strength of its analyst recommendations, institutional ownership, valuation, earnings, risk, profitability and dividends.

Profitability

This table compares Express and its competitors’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Express 0.85% 4.25% 2.24%
Express Competitors 0.51% -3.36% 2.99%

Earnings & Valuation

This table compares Express and its competitors top-line revenue, earnings per share and valuation.

Gross Revenue EBITDA Price/Earnings Ratio
Express $2.13 billion $148.37 million 26.44
Express Competitors $3.36 billion $448.74 million 21.26

Express’ competitors have higher revenue and earnings than Express. Express is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Volatility and Risk

Express has a beta of 1.47, indicating that its stock price is 47% more volatile than the S&P 500. Comparatively, Express’ competitors have a beta of 0.78, indicating that their average stock price is 22% less volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Express and its competitors, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Express 0 8 0 0 2.00
Express Competitors 512 2965 2896 84 2.40

Express presently has a consensus price target of $8.50, suggesting a potential upside of 39.80%. As a group, “Apparel & Accessories Retailers” companies have a potential upside of 6.63%. Given Express’ higher probable upside, equities analysts clearly believe Express is more favorable than its competitors.

Insider & Institutional Ownership

99.2% of Express shares are owned by institutional investors. Comparatively, 75.2% of shares of all “Apparel & Accessories Retailers” companies are owned by institutional investors. 2.6% of Express shares are owned by insiders. Comparatively, 16.4% of shares of all “Apparel & Accessories Retailers” companies are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Summary

Express competitors beat Express on 8 of the 13 factors compared.

About Express

Express, Inc. is a specialty apparel and accessories retailer offering both women’s and men’s merchandise. The Company targets women and men between 20 and 30 years old. It offers an assortment of fashionable apparel and accessories to address fashion needs across multiple aspects of lifestyles, including work, casual, jeanswear and going-out occasions. It is engaged in the operation of its brick-and-mortar retail and outlet stores, e-commerce operations and franchise operations. It sells its products through its e-commerce Website, www.express.com and its mobile application, and has franchise agreements with franchisees that operate Express locations in Latin America. It operated 656 stores across the United States, in Canada and in Puerto Rico, including 104 factory outlet stores, as of January 28, 2017. Its products are created by its in-house design team. Its portfolio of apparel products includes brands, such as Portofino shirt, Editor pant and 1MX shirt.

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