Synergy CHC (NASDAQ:SNYR) & L’Oreal (OTCMKTS:LRLCY) Head to Head Analysis

L’Oreal (OTCMKTS:LRLCY) and Synergy CHC (NASDAQ:SNYR) are both consumer staples companies, but which is the better stock? We will contrast the two businesses based on the strength of their profitability, valuation, risk, dividends, analyst recommendations, institutional ownership and earnings.

Profitability

This table compares L’Oreal and Synergy CHC’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
L’Oreal	N/A	N/A	N/A
Synergy CHC	-60.02%	N/A	-30.30%

Earnings & Valuation

This table compares L’Oreal and Synergy CHC”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
L’Oreal	$49.83 billion	4.81	$6.93 billion	N/A	N/A
Synergy CHC	$30.38 million	0.06	-$12.34 million	($1.40)	-0.08

L’Oreal has higher revenue and earnings than Synergy CHC.

Volatility and Risk

L’Oreal has a beta of 0.9, suggesting that its stock price is 10% less volatile than the S&P 500. Comparatively, Synergy CHC has a beta of -0.14, suggesting that its stock price is 114% less volatile than the S&P 500.

Insider & Institutional Ownership

0.4% of L’Oreal shares are held by institutional investors. 32.9% of Synergy CHC shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of current ratings and target prices for L’Oreal and Synergy CHC, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
L’Oreal	1	4	7	1	2.62
Synergy CHC	1	1	2	0	2.25

L’Oreal presently has a consensus target price of $100.00, suggesting a potential upside of 11.10%. Synergy CHC has a consensus target price of $6.25, suggesting a potential upside of 5,274.03%. Given Synergy CHC’s higher probable upside, analysts plainly believe Synergy CHC is more favorable than L’Oreal.

Summary

L’Oreal beats Synergy CHC on 10 of the 12 factors compared between the two stocks.

About L’Oreal

L'Oréal S.A., through its subsidiaries, manufactures and sells cosmetic products for women and men worldwide. The company operates through four divisions: Consumer Products, L'oréal Luxe, Professional Products, and Dermatological Beauty. It offers skincare, make-up, hair colourants, haircare, perfumes, and hygiene products. The company provides its products under the L'Oréal Paris, Garnier, Maybelline New York, NYX Professional Makeup, Stylenanda, Essie, Dark & Lovely, Mixa, Magic Mask, Niley, Lancôme, Yves Saint Laurent, Armani, Kiehl's Since 1851, Helena Rubinstein, Biotherm, Shu Uemura, IT Cosmetics, Ralph Lauren Fragrance, Urban Decay, Mugler, Valentino, Viktor&Rolf, Azzaro, Prada, Cacharel, Maison Margela Fragrance, Diesel, Yue Sai, Atelier Colonge, Carita, Takami, Aesop, L'Oréal Professionnel Paris, Kérastase, Redken, Matrix, Pureology, Pulp Riot, La Roche-Posay, Vichy, CeraVe, SkinCeuticals, and Skinbetter Science brands. It sells its products through distribution channels, such as hair salons, local stores, e-commerce, travel retail, mass market retail, department store perfumeries, pharmacies, drug stores, medi-spas, and free-standing stores. L'Oréal S.A. was founded in 1909 and is headquartered in Clichy, France.

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.