Analyzing Solo Brands (NYSE:DTC) and Articore Group (OTC:RDBBF)

Solo Brands (NYSE:DTC) and Articore Group (OTC:RDBBF) are both consumer cyclical companies, but which is the better stock? We will contrast the two companies based on the strength of their valuation, analyst recommendations, risk, earnings, institutional ownership, profitability and dividends.

Insider and Institutional Ownership

84.5% of Solo Brands shares are held by institutional investors. 0.7% of Solo Brands shares are held by company 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.

Profitability

This table compares Solo Brands and Articore Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Solo Brands	-25.62%	6.02%	3.55%
Articore Group	N/A	N/A	N/A

Valuation & Earnings

This table compares Solo Brands and Articore Group”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Solo Brands	$492.52 million	0.24	-$111.35 million	($2.01)	-0.65
Articore Group	N/A	N/A	N/A	N/A	N/A

Articore Group has lower revenue, but higher earnings than Solo Brands.

Analyst Ratings

This is a breakdown of current recommendations for Solo Brands and Articore Group, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Solo Brands	1	6	1	0	2.00
Articore Group	0	0	0	0	N/A

Solo Brands presently has a consensus target price of $2.93, indicating a potential upside of 124.78%. Given Solo Brands’ higher probable upside, research analysts clearly believe Solo Brands is more favorable than Articore Group.

Summary

Solo Brands beats Articore Group on 7 of the 8 factors compared between the two stocks.

About Solo Brands

Solo Brands, Inc. operates a direct-to-consumer platform that offers outdoor and lifestyle branded products in the United States. The company provides camp stoves under the Solo Stove Lite brand name; fire pits under the Solo Stove brand name; kayaks under the Oru brand name; paddle boards under the ISLE brand name; and storage solutions for fire pits, firewood, and other accessories. It also offers swim trunks, casual shorts, sport products, polos, shirts, and lounge products under the Chubbies brand name; consumables, such as color packs, starters, natural charcoal, fuel, pellets, and firewood products; and accessories comprising shelters, shields, roasting sticks, tools, paddles, and pumps under the Solo Stove, Oru, and ISLE brands. Solo Brands, Inc. was founded in 2011 and is headquartered in Grapevine, Texas.

About Articore Group

Articore Group Limited operates as an online marketplace that facilitates the sale of art and design products. It offers clothing, stickers, face masks, phone cases, home and living products, wall arts, kids and babies clothing, pet products, accessories, stationery and office products, and gifts. The company provides its services through its website Redbubble.com and TeePublic.com in Australia, the United States, the United Kingdom, and internationally. The company was formerly known as Redbubble Limited and changed its name to Articore Group Limited in October 2023. The company was incorporated in 2006 and is based in Docklands, Australia.