Corteva (NYSE:CTVA) and Village Farms International (NASDAQ:VFF) are both consumer staples companies, but which is the better business? We will compare the two businesses based on the strength of their earnings, analyst recommendations, dividends, risk, valuation, profitability and institutional ownership.
Institutional & Insider Ownership
77.2% of Corteva shares are held by institutional investors. Comparatively, 14.2% of Village Farms International shares are held by institutional investors. 0.2% of Corteva shares are held by insiders. Comparatively, 20.4% of Village Farms International shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.
Analyst Ratings
This is a summary of current ratings and recommmendations for Corteva and Village Farms International, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
|---|
| Corteva | 3 | 7 | 11 | 0 | 2.38 |
| Village Farms International | 0 | 1 | 4 | 1 | 3.00 |
Corteva presently has a consensus price target of $41.6875, indicating a potential downside of 11.36%. Village Farms International has a consensus price target of $23.3333, indicating a potential upside of 97.57%. Given Village Farms International's stronger consensus rating and higher possible upside, analysts plainly believe Village Farms International is more favorable than Corteva.
Risk and Volatility
Corteva has a beta of 0.82, indicating that its share price is 18% less volatile than the S&P 500. Comparatively, Village Farms International has a beta of 4.02, indicating that its share price is 302% more volatile than the S&P 500.
Profitability
This table compares Corteva and Village Farms International's net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
|---|
| Corteva | 4.42% | 4.70% | 2.72% |
| Village Farms International | -1.66% | -4.93% | -3.55% |
Earnings & Valuation
This table compares Corteva and Village Farms International's revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
|---|
| Corteva | $13.85 billion | 2.51 | $-959,000,000.00 | $1.43 | 32.79 |
| Village Farms International | $144.57 million | 6.41 | $2.33 million | $0.05 | 233.00 |
Village Farms International has lower revenue, but higher earnings than Corteva. Corteva is trading at a lower price-to-earnings ratio than Village Farms International, indicating that it is currently the more affordable of the two stocks.
Summary
Corteva beats Village Farms International on 8 of the 15 factors compared between the two stocks.
