Analyzing Xponential Fitness (NYSE:XPOF) & Clover Leaf Capital (NASDAQ:CLOE)

Clover Leaf Capital (NASDAQ:CLOE) and Xponential Fitness (NYSE:XPOF) are both small-cap consumer discretionary companies, but which is the better stock? We will contrast the two companies based on the strength of their institutional ownership, analyst recommendations, profitability, risk, dividends, earnings and valuation.

Earnings and Valuation

This table compares Clover Leaf Capital and Xponential Fitness”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Clover Leaf Capital	N/A	N/A	-$1.05 million	($0.23)	-54.35
Xponential Fitness	$318.66 million	1.89	-$17.48 million	($0.95)	-13.13

Clover Leaf Capital has higher earnings, but lower revenue than Xponential Fitness. Clover Leaf Capital is trading at a lower price-to-earnings ratio than Xponential Fitness, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a summary of recent ratings and target prices for Clover Leaf Capital and Xponential Fitness, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Clover Leaf Capital	0	0	0	0	N/A
Xponential Fitness	0	4	4	2	2.80

Xponential Fitness has a consensus target price of $17.28, suggesting a potential upside of 38.55%. Given Xponential Fitness’ higher probable upside, analysts plainly believe Xponential Fitness is more favorable than Clover Leaf Capital.

Institutional and Insider Ownership

18.5% of Clover Leaf Capital shares are owned by institutional investors. Comparatively, 58.6% of Xponential Fitness shares are owned by institutional investors. 73.0% of Clover Leaf Capital shares are owned by company insiders. Comparatively, 47.8% of Xponential Fitness shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Profitability

This table compares Clover Leaf Capital and Xponential Fitness’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Clover Leaf Capital	N/A	N/A	-9.57%
Xponential Fitness	-6.51%	-9.35%	3.84%

Volatility and Risk

Clover Leaf Capital has a beta of 0.08, suggesting that its share price is 92% less volatile than the S&P 500. Comparatively, Xponential Fitness has a beta of 1.18, suggesting that its share price is 18% more volatile than the S&P 500.

Summary

Xponential Fitness beats Clover Leaf Capital on 8 of the 13 factors compared between the two stocks.

About Clover Leaf Capital

Clover Leaf Capital Corp. does not have significant operations. The company focuses on effecting a merger, stock exchange, asset acquisition, stock purchase, reorganization, and other business combination with one or more businesses. It intends to acquire companies operating in the cannabis industry. The company was incorporated in 2021 and is based in Miami, Florida.

About Xponential Fitness

Xponential Fitness, Inc., through its subsidiaries, operates as a boutique fitness franchisor in North America. It offers pilates, indoor cycling, barre, stretching, rowing, dancing, boxing, running, functional training, and yoga services under the Club Pilates, Pure Barre, CycleBar, StretchLab, Row House, YogaSix, Rumble, AKT, Stride, and BFT brands. Xponential Fitness, Inc. was founded in 2017 and is headquartered in Irvine, California.