Mark Yagalla
Gold, currencies, macro, commodities

Tempur Sealy Is The Better Bet In The Mattress Space

Executive summary:

  • Tempur Sealy has a more diversified business model than Select Comfort and will likely outperform Select Comfort going forward.
  • The company is ramping up marketing spending to capture more market share at the expense of Select Comfort.
  • Tempur Sealy remains the only mattress company with exposure to international markets.
  • Look for margin expansion to return later this year as the company completes the integration of Tempur-Pedic and Sealy.

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There's a great deal of debate among investors about which mattress stock should be in one's portfolio. The choice comes down to either Tempur Sealy International (NYSE:TPX) or Select Comfort Corporation (NASDAQ:SCSS). For starters, and what attracts investors, is that everyone needs a mattress. The...

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