Financial Analysis: Fitell (NASDAQ:FTEL) and Clarus (NASDAQ:CLAR)

Clarus (NASDAQ:CLARGet Free Report) and Fitell (NASDAQ:FTELGet Free Report) are both small-cap consumer discretionary companies, but which is the superior business? We will contrast the two companies based on the strength of their analyst recommendations, risk, profitability, earnings, institutional ownership, valuation and dividends.

Profitability

This table compares Clarus and Fitell’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Clarus -21.63% 6.44% 3.70%
Fitell N/A N/A N/A

Insider and Institutional Ownership

81.5% of Clarus shares are held by institutional investors. 22.4% of Clarus shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Valuation & Earnings

This table compares Clarus and Fitell’s top-line revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Clarus $448.11 million 0.53 -$69.78 million ($2.25) -2.74
Fitell $4.80 million 8.02 -$1.59 million N/A N/A

Fitell has lower revenue, but higher earnings than Clarus.

Analyst Recommendations

This is a breakdown of recent ratings and target prices for Clarus and Fitell, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Clarus 0 2 4 0 2.67
Fitell 0 0 0 0 N/A

Clarus currently has a consensus price target of $10.75, suggesting a potential upside of 74.23%. Given Clarus’ higher probable upside, research analysts plainly believe Clarus is more favorable than Fitell.

Summary

Clarus beats Fitell on 7 of the 10 factors compared between the two stocks.

About Clarus

(Get Free Report)

Clarus Corporation designs, develops, manufactures, and distributes outdoor equipment and lifestyle products focusing on the outdoor and consumer markets in the United States, Canada, Europe, the Middle East, Asia, Australia, New Zealand, Africa, and South America. Its Outdoor segment offers shells, insulation, midlayers, pants, and logowear; carabiners, protection devices, harnesses, belay devices, helmets, and ice-climbing gears; technical backpacks and day packs; trekking poles; headlamps and lanterns; gloves and mittens; skincare and other products; and skis, ski poles, ski skins, avalanche airbag systems, avalanche transceivers, shovels, and probes. This segment offers its products for climbing, mountaineering, trail running, backpacking, skiing, and other outdoor recreation activities under the Black Diamond Equipment, PIEPS, and SKINourishment brands. The company's Precision Sport segment manufactures bullets and ammunition products for precision target shooting, hunting, and military and law enforcement purposes under the Sierra and Barnes brands. The company sells its products to mountain, rock, ice, and gym climbers; and winter outdoor enthusiasts, trail runners, backpackers, competitive shooters, hunters, and outdoor consumers. Its Adventure segment offers engineered automotive roof racks, trays, mounting systems, luggage boxes, carriers, and accessories under the Rhino-Rack brand; and overlanding and off-road vehicle recovery and extraction tracks for the overland and the off-road market under the MAXTRAX brand. It markets and distributes its products through independent specialty stores and specialty chains, sporting goods and outdoor recreation stores, distributors, and original equipment manufacturers; and independent distributors, as well as through its websites. The company was formerly known as Black Diamond, Inc. and changed its name to Clarus Corporation in August 2017. The company was founded in 1957 and is headquartered in Salt Lake City, Utah.

About Fitell

(Get Free Report)

Fitell Corporation, together with its subsidiaries, operates as an online retailer of gym and fitness equipment for personal training studios and commercial gyms chains in Australia and Southeast Asia. The company sells fitness equipment, including home gym and commercial strength-training equipment; and cardio equipment, such as rowing machines, exercise bikes, treadmills, and other related products under the Muscle Motion, Rapid Motion, and FleetX brand names. It is also involved in the boutique fitness clubs licensing business. The company sells its products through its online website and offline business, such as phone, e-mail, and showroom sales. Fitell Corporation was founded in 2007 and is headquartered in Taren Point, Australia. Fitell Corporation is a subsidiary of SKMA Capital and Investment Ltd.

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