Comparing Soupman (OTCMKTS:SOUPQ) and RealReal (NASDAQ:REAL)

RealReal (NASDAQ:REAL) and Soupman (OTCMKTS:SOUPQ) are both consumer discretionary companies, but which is the better business? We will contrast the two businesses based on the strength of their risk, institutional ownership, valuation, dividends, analyst recommendations, earnings and profitability.

Institutional and Insider Ownership

64.7% of RealReal shares are held by institutional investors. 9.0% of RealReal shares are held by company insiders. Comparatively, 12.1% of Soupman shares are held by company insiders. 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.

Earnings & Valuation

This table compares RealReal and Soupman”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
RealReal	$600.48 million	0.96	-$134.20 million	($1.13)	-4.50
Soupman	N/A	N/A	N/A	N/A	N/A

Soupman has lower revenue, but higher earnings than RealReal.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for RealReal and Soupman, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
RealReal	0	2	3	1	2.83
Soupman	0	0	0	0	0.00

RealReal currently has a consensus target price of $8.40, indicating a potential upside of 65.03%. Given RealReal’s stronger consensus rating and higher possible upside, research analysts clearly believe RealReal is more favorable than Soupman.

Profitability

This table compares RealReal and Soupman’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
RealReal	-6.60%	N/A	-10.99%
Soupman	N/A	N/A	N/A

Summary

RealReal beats Soupman on 6 of the 9 factors compared between the two stocks.

About RealReal

The RealReal, Inc. operates an online marketplace for resale luxury goods in the United State. The company offers various product categories, including women's fashion, men's fashion, jewelry, and watches. It primarily sells products through online marketplace and retail stores. The company was incorporated in 2011 and is headquartered in San Francisco, California.

About Soupman

Soupman, Inc., together with its subsidiaries, manufactures and sells soups in the United States. It markets and sells its products to grocery chains, school systems, and franchisees under The Original Soupman brand name. The company also franchises Original Soupman restaurants and mobile unit; and other high-traffic locations, such as casinos, airports, theme parks, and other tourist locations. It has 9 franchise locations, including co-branded locations. The company was formerly known as Passport Arts, Inc. and changed its name to Soupman, Inc. in January 2011. Soupman, Inc. was founded in 1984 and is based in Staten Island, New York.