Head-To-Head Analysis: Marriott Vacations Worldwide (NYSE:VAC) versus Interactive Strength (NASDAQ:TRNR)

Interactive Strength (NASDAQ:TRNR) and Marriott Vacations Worldwide (NYSE:VAC) are both small-cap consumer discretionary companies, but which is the better business? We will contrast the two businesses based on the strength of their institutional ownership, valuation, dividends, earnings, analyst recommendations, profitability and risk.

Volatility and Risk

Interactive Strength has a beta of 0.31, meaning that its stock price is 69% less volatile than the S&P 500. Comparatively, Marriott Vacations Worldwide has a beta of 1.33, meaning that its stock price is 33% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent ratings for Interactive Strength and Marriott Vacations Worldwide, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Interactive Strength	1	0	0	2	3.00
Marriott Vacations Worldwide	5	1	4	0	1.90

Interactive Strength presently has a consensus target price of $2.25, suggesting a potential upside of 556.55%. Marriott Vacations Worldwide has a consensus target price of $61.13, suggesting a potential upside of 11.34%. Given Interactive Strength’s stronger consensus rating and higher probable upside, equities research analysts clearly believe Interactive Strength is more favorable than Marriott Vacations Worldwide.

Earnings and Valuation

This table compares Interactive Strength and Marriott Vacations Worldwide”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Interactive Strength	$5.38 million	0.33	-$34.93 million	($22.64)	-0.02
Marriott Vacations Worldwide	$4.97 billion	0.38	$218.00 million	$4.46	12.31

Marriott Vacations Worldwide has higher revenue and earnings than Interactive Strength. Interactive Strength is trading at a lower price-to-earnings ratio than Marriott Vacations Worldwide, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

0.6% of Interactive Strength shares are owned by institutional investors. Comparatively, 89.5% of Marriott Vacations Worldwide shares are owned by institutional investors. 0.1% of Interactive Strength shares are owned by insiders. Comparatively, 1.6% of Marriott Vacations Worldwide shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Profitability

This table compares Interactive Strength and Marriott Vacations Worldwide’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Interactive Strength	-202.03%	-152.27%	-32.49%
Marriott Vacations Worldwide	3.44%	11.44%	2.83%

Summary

Marriott Vacations Worldwide beats Interactive Strength on 12 of the 15 factors compared between the two stocks.

About Interactive Strength

Interactive Strength Inc., doing business as FORME, operates digital fitness platform that provides connected fitness hardware products and related accessories in the United States. The company offers the Forme Studio, a fitness mirror with touchscreen display; and the Forme Studio Lift, a fitness mirror and cable-based digital resistance. It also provides video on-demand classes, and personal training and expert health coaching services. The company sells its products through retail stores, as well as online. Interactive Strength Inc. was incorporated in 2017 and is headquartered in Austin, Texas.

About Marriott Vacations Worldwide

Marriott Vacations Worldwide Corporation, a vacation company, develops, markets, sells, and manages vacation ownership and related businesses, products, and services in the United States and internationally. It operates through two segments, Vacation Ownership and Exchange & Third-Party Management. The company manages vacation ownership and related products under the Marriott Vacation Club, Grand Residences by Marriott, Sheraton Vacation Club, Westin Vacation Club, Hyatt Vacation Club, and Marriott Vacation Club Pulse brands. It develops, markets, and sells vacation ownership and related products under The Ritz-Carlton Destination Club brand; and holds right to develop, market, and sell ownership residential products under The Ritz-Carlton Residences brand. In addition, the company offers exchange networks and membership programs, as well as provision of management services to other resorts and lodging properties through Interval International, and Aqua-Aston business brands. Further, it provides financing consumer purchases of vacation ownership products, and renting vacation ownership inventory. The company sells its upscale tier vacation ownership products primarily through a network of resort-based sales centers and off-site sales locations. The company was founded in 1984 and is headquartered in Orlando, Florida.