BJ’s Wholesale Club (NYSE:BJ – Get Free Report) and Synergy CHC (NASDAQ:SNYR – Get Free Report) are both consumer staples companies, but which is the superior business? We will compare the two companies based on the strength of their profitability, earnings, analyst recommendations, risk, valuation, dividends and institutional ownership.
Analyst Recommendations
This is a breakdown of recent recommendations for BJ’s Wholesale Club and Synergy CHC, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| BJ’s Wholesale Club | 0 | 9 | 10 | 0 | 2.53 |
| Synergy CHC | 0 | 1 | 2 | 0 | 2.67 |
BJ’s Wholesale Club currently has a consensus target price of $111.67, indicating a potential upside of 25.53%. Synergy CHC has a consensus target price of $8.50, indicating a potential upside of 310.63%. Given Synergy CHC’s stronger consensus rating and higher probable upside, analysts clearly believe Synergy CHC is more favorable than BJ’s Wholesale Club.
Earnings and Valuation
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| BJ’s Wholesale Club | $20.50 billion | 0.57 | $534.42 million | $4.34 | 20.50 |
| Synergy CHC | $34.83 million | 0.67 | $2.12 million | $0.29 | 7.14 |
BJ’s Wholesale Club has higher revenue and earnings than Synergy CHC. Synergy CHC is trading at a lower price-to-earnings ratio than BJ’s Wholesale Club, indicating that it is currently the more affordable of the two stocks.
Risk & Volatility
BJ’s Wholesale Club has a beta of 0.31, meaning that its share price is 69% less volatile than the S&P 500. Comparatively, Synergy CHC has a beta of 3.46, meaning that its share price is 246% more volatile than the S&P 500.
Insider & Institutional Ownership
98.6% of BJ’s Wholesale Club shares are owned by institutional investors. 1.4% of BJ’s Wholesale Club shares are owned by company insiders. Comparatively, 56.6% of Synergy CHC shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.
Profitability
This table compares BJ’s Wholesale Club and Synergy CHC’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| BJ’s Wholesale Club | 2.72% | 28.66% | 7.99% |
| Synergy CHC | 7.77% | -19.51% | 14.25% |
About BJ’s Wholesale Club
BJ’s Wholesale Club Holdings, Inc. engages in the operation of membership warehouse clubs. Its product categories include grocery, household and pet, television and electronics, furniture, computer and tablets, patio and outdoor living, lawn and garden, baby and kids, toys, home, health and beauty, appliances, and jewelry. The company was founded in 1984 and is headquartered in Marlborough, MA.
About Synergy CHC
Synergy CHC Corp. engages in the marketing and distribution of branded health and wellness products. The company was founded on December 29, 2010 and is headquartered in Westbrook, ME.
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