Ocean Bio-Chem (NASDAQ:OBCI) and NewAge (NASDAQ:NBEV) are both small-cap consumer staples companies, but which is the superior business? We will contrast the two businesses based on the strength of their analyst recommendations, institutional ownership, risk, earnings, profitability, valuation and dividends.
Volatility & Risk
Ocean Bio-Chem has a beta of 0.39, suggesting that its share price is 61% less volatile than the S&P 500. Comparatively, NewAge has a beta of 1.97, suggesting that its share price is 97% more volatile than the S&P 500.
Profitability
This table compares Ocean Bio-Chem and NewAge's net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
---|
Ocean Bio-Chem | 17.91% | 27.70% | 21.67% |
NewAge | -40.74% | -61.13% | -23.55% |
Valuation & Earnings
This table compares Ocean Bio-Chem and NewAge's gross revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
---|
Ocean Bio-Chem | $42.26 million | 2.54 | $3.50 million | N/A | N/A |
NewAge | $253.71 million | 1.37 | $-89,830,000.00 | ($0.62) | -4.66 |
Ocean Bio-Chem has higher earnings, but lower revenue than NewAge.
Analyst Recommendations
This is a breakdown of recent ratings and price targets for Ocean Bio-Chem and NewAge, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
---|
Ocean Bio-Chem | 0 | 0 | 0 | 0 | N/A |
NewAge | 0 | 1 | 0 | 0 | 2.00 |
NewAge has a consensus price target of $4.50, suggesting a potential upside of 55.71%. Given NewAge's higher probable upside, analysts clearly believe NewAge is more favorable than Ocean Bio-Chem.
Insider & Institutional Ownership
11.1% of Ocean Bio-Chem shares are held by institutional investors. Comparatively, 21.4% of NewAge shares are held by institutional investors. 62.0% of Ocean Bio-Chem shares are held by company insiders. Comparatively, 4.2% of NewAge shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.
Summary
Ocean Bio-Chem beats NewAge on 7 of the 11 factors compared between the two stocks.