Contrasting Amer Sports (NYSE:AS) and Li Ning (OTCMKTS:LNNGY)

Amer Sports (NYSE:AS) and Li Ning (OTCMKTS:LNNGY) are both consumer discretionary companies, but which is the superior stock? We will contrast the two companies based on the strength of their earnings, risk, analyst recommendations, dividends, valuation, profitability and institutional ownership.

Valuation & Earnings

This table compares Amer Sports and Li Ning”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Amer Sports	$4.84 billion	3.12	-$208.60 million	($0.14)	-197.79
Li Ning	$3.90 billion	1.39	$450.31 million	N/A	N/A

Li Ning has lower revenue, but higher earnings than Amer Sports.

Profitability

This table compares Amer Sports and Li Ning’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Amer Sports	-0.74%	3.15%	1.12%
Li Ning	N/A	N/A	N/A

Institutional and Insider Ownership

40.3% of Amer Sports shares are owned by institutional investors. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of recent ratings and target prices for Amer Sports and Li Ning, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Amer Sports	0	5	10	1	2.75
Li Ning	0	0	0	0	0.00

Amer Sports currently has a consensus target price of $24.79, indicating a potential downside of 10.49%. Given Amer Sports’ stronger consensus rating and higher possible upside, research analysts plainly believe Amer Sports is more favorable than Li Ning.

Summary

Amer Sports beats Li Ning on 9 of the 11 factors compared between the two stocks.

About Amer Sports

Amer Sports, Inc. designs, manufactures, markets, distributes, and sells sports equipment, apparel, footwear, and accessories in Europe, the Middle East, Africa, the Americas, China, and the Asia Pacific. It operates through three segments: Technical Apparel, Outdoor Performance, and Ball & Racquet Sports. The Technical Apparel segment offers outdoor apparel, footwear, and accessories which includes climbing gear. The Outdoor Performance segment provides hiking and running footwear, functional apparel, skiing and snowboarding gear, and lifestyle footwear. The Ball & Racquet Sports segment offers sports equipment for tennis, baseball, american football, basketball, golf, and various other professional and recreational sports. This segment provides custom-fitting protective gear and apparel for baseball, softball, football, and lacrosse. It sells its products under the Arc'teryx, PeakPerformance, Salomon, Atomic, Armada, ENVE, Wilson, Louisville Slugger, DeMarini, EvoShield, and ATEC brands. The company distributes its products through retail stores, general sporting goods retailers, specialty stores, independently operated partner stores, and distributors, as well as its e-commerce websites, and retailer-owned and third-party e-commerce websites. The company was formerly known as Amer Sports Management Holding (Cayman) Limited and changed its name to Amer Sports, Inc. in August 2023. Amer Sports, Inc. was founded in 1950 and is based in Helsinki, Finland.

About Li Ning

Li Ning Company Limited, a sports brand company, engages in the research and development, design, manufacture, marketing, distribution, and retail of sporting goods in the People’s Republic of China. The company offers sporting goods, including professional and leisure footwear, apparel, equipment, and accessories under the LI-NING brand. It also develops, manufactures, markets, distributes, and/or sells outdoor sports products under the AIGLE brand; table tennis products under the Double Happiness brand name; fashionable fitness products for dance and yoga under the Danskin brand; and badminton products under the Kason brand name. The company also provides brand licensing, administrative, and property management services. It operates conventional stores, flagship stores, China LI-NING stores, LI-NING 1990 stores, factory outlets, and multi-brand stores under the LI-NING brand. The company was founded in 1990 and is headquartered in Beijing, the People’s Republic of China.