NovelStem International (OTCMKTS:NSTM) and Bath & Body Works (NYSE:BBWI) Financial Comparison

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

Valuation and Earnings

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Bath & Body Works	$7.43 billion	1.14	$878.00 million	$4.10	9.56
NovelStem International	$10,000.00	N/A	-$4.19 million	($0.07)	-0.16

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.

Risk & Volatility

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

Institutional & Insider Ownership

95.1% of Bath & Body Works shares are owned by institutional investors. 0.3% of Bath & Body Works shares are owned by insiders. Comparatively, 13.6% of NovelStem International shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Profitability

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

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

Analyst Recommendations

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

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

Bath & Body Works currently has a consensus price target of $41.88, indicating a potential upside of 6.82%. Given Bath & Body Works’ stronger consensus rating and higher possible upside, equities 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 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.

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.