Contrasting NovelStem International (OTCMKTS:NSTM) & Bath & Body Works (NYSE:BBWI)

NovelStem International (OTCMKTS:NSTM) and Bath & Body Works (NYSE:BBWI) are both medical companies, but which is the better business? We will contrast the two businesses based on the strength of their dividends, risk, earnings, institutional ownership, analyst recommendations, valuation and profitability.

Risk and Volatility

NovelStem International has a beta of 0.45, suggesting that its share price is 55% less volatile than the S&P 500. Comparatively, Bath & Body Works has a beta of 1.83, suggesting that its share price is 83% more volatile than the S&P 500.

Valuation and Earnings

This table compares NovelStem International and Bath & Body Works”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
NovelStem International	$10,000.00	N/A	-$4.19 million	($0.07)	-0.16
Bath & Body Works	$7.43 billion	1.07	$878.00 million	$4.10	8.97

Bath & Body Works has higher revenue and earnings than NovelStem International. NovelStem International is trading at a lower price-to-earnings ratio than Bath & Body Works, indicating that it is currently the more affordable of the two stocks.

Institutional & Insider Ownership

95.1% of Bath & Body Works shares are held by institutional investors. 13.6% of NovelStem International shares are held by company insiders. Comparatively, 0.3% of Bath & Body Works shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Profitability

This table compares NovelStem International and Bath & Body Works’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
NovelStem International	-25,141.66%	N/A	-167.76%
Bath & Body Works	12.43%	-44.03%	14.45%

Analyst Ratings

This is a breakdown of current ratings and price targets for NovelStem International and Bath & Body Works, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
NovelStem International	0	0	0	0	0.00
Bath & Body Works	1	6	9	0	2.50

Bath & Body Works has a consensus target price of $41.88, indicating a potential upside of 13.85%. Given Bath & Body Works’ stronger consensus rating and higher probable upside, analysts plainly believe Bath & Body Works is more favorable than NovelStem International.

Summary

Bath & Body Works beats NovelStem International on 11 of the 13 factors compared between the two stocks.

About NovelStem International

NovelStem International Corp., a development stage biotechnology holding company, focuses on development and commercialization of stem cell-based diagnostic technology for cancer treatments and to reduce resistance to chemotherapy. The company was formerly known as Hollywood Media Corp. and changed its name to NovelStem International Corp. in September 2018. NovelStem International Corp. was incorporated in 1993 and is headquartered in Boca Raton, Florida.

About Bath & Body Works

Bath & Body Works, Inc. operates a specialty retailer of home fragrance, body care, and soaps and sanitizer products. It sells its products under the Bath & Body Works, White Barn, and other brand names through retail stores and e-commerce sites located in the United States and Canada, as well as through international stores operated by partners under franchise, license, and wholesale arrangements. The company was formerly known as L Brands, Inc. and changed its name to Bath & Body Works, Inc. in August 2021. Bath & Body Works, Inc. was founded in 1963 and is headquartered in Columbus, Ohio.