Contrasting Perfect Moment (NASDAQ:PMNT) & Li Ning (OTCMKTS:LNNGY)

Perfect Moment (NASDAQ:PMNT) and Li Ning (OTCMKTS:LNNGY) are both consumer discretionary companies, but which is the better investment? We will contrast the two businesses based on the strength of their risk, profitability, valuation, analyst recommendations, dividends, earnings and institutional ownership.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Perfect Moment and Li Ning, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Perfect Moment	0	0	1	0	3.00
Li Ning	0	0	0	0	0.00

Perfect Moment presently has a consensus target price of $6.00, suggesting a potential upside of 580.50%. Given Perfect Moment’s stronger consensus rating and higher possible upside, analysts plainly believe Perfect Moment is more favorable than Li Ning.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Perfect Moment	-47.69%	-1,524.40%	-88.86%
Li Ning	N/A	N/A	N/A

Earnings and Valuation

This table compares Perfect Moment and Li Ning”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Perfect Moment	$24.44 million	0.58	-$8.72 million	($1.07)	-0.82
Li Ning	$3.90 billion	1.37	$450.31 million	N/A	N/A

Li Ning has higher revenue and earnings than Perfect Moment.

Insider and Institutional Ownership

23.0% of Perfect Moment shares are owned by institutional investors. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Summary

Li Ning beats Perfect Moment on 6 of the 10 factors compared between the two stocks.

About Perfect Moment

Perfect Moment Ltd., together with its subsidiaries, owns and operates a fashion brand that offers ski, surf, and activewear collections under the brand name of Perfect Moment. It offers skiwear, outerwear, swimwear and activewear for women, men, and children. The company sells its collections directly to customers through e-commerce and to wholesale accounts, as well as through other sales partnerships. Perfect Moment Ltd. was founded in 1984 and is based in London, the United Kingdom.

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.