Critical Comparison: Anheuser-Busch InBev SA/NV (NYSE:BUD) vs. Arcadia Biosciences (NASDAQ:RKDA)

Anheuser-Busch InBev SA/NV (NYSE:BUD) and Arcadia Biosciences (NASDAQ:RKDA) are both consumer staples companies, but which is the better investment? We will contrast the two businesses based on the strength of their earnings, institutional ownership, dividends, risk, valuation, profitability and analyst recommendations.

Institutional and Insider Ownership

5.5% of Anheuser-Busch InBev SA/NV shares are held by institutional investors. Comparatively, 17.7% of Arcadia Biosciences shares are held by institutional investors. 4.5% of Anheuser-Busch InBev SA/NV shares are held by insiders. Comparatively, 4.5% of Arcadia Biosciences 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 Recommendations

This is a summary of recent ratings and recommmendations for Anheuser-Busch InBev SA/NV and Arcadia Biosciences, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Anheuser-Busch InBev SA/NV	0	4	12	0	2.75
Arcadia Biosciences	1	0	0	0	1.00

Anheuser-Busch InBev SA/NV presently has a consensus target price of $87.83, suggesting a potential upside of 4.33%. Given Anheuser-Busch InBev SA/NV’s stronger consensus rating and higher possible upside, equities analysts clearly believe Anheuser-Busch InBev SA/NV is more favorable than Arcadia Biosciences.

Risk & Volatility

Anheuser-Busch InBev SA/NV has a beta of 0.57, meaning that its stock price is 43% less volatile than the S&P 500. Comparatively, Arcadia Biosciences has a beta of 0.56, meaning that its stock price is 44% less volatile than the S&P 500.

Earnings & Valuation

This table compares Anheuser-Busch InBev SA/NV and Arcadia Biosciences”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Anheuser-Busch InBev SA/NV	$62.62 billion	2.71	$6.84 billion	$4.72	17.84
Arcadia Biosciences	$4.86 million	0.08	-$2.34 million	($4.56)	-0.04

Anheuser-Busch InBev SA/NV has higher revenue and earnings than Arcadia Biosciences. Arcadia Biosciences is trading at a lower price-to-earnings ratio than Anheuser-Busch InBev SA/NV, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Anheuser-Busch InBev SA/NV and Arcadia Biosciences’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Anheuser-Busch InBev SA/NV	14.90%	16.42%	7.47%
Arcadia Biosciences	-234.53%	-183.50%	-91.25%

Summary

Anheuser-Busch InBev SA/NV beats Arcadia Biosciences on 12 of the 13 factors compared between the two stocks.

About Anheuser-Busch InBev SA/NV

Anheuser-Busch InBev SA/NV produces, distributes, exports, markets, and sells beer and beverages. It offers a portfolio of approximately 500 beer brands, which primarily include Budweiser, Corona, and Stella Artois; Beck's, Hoegaarden, Leffe, and Michelob Ultra; and Aguila, Antarctica, Bud Light, Brahma, Cass, Castle, Castle Lite, Cristal, Harbin, Jupiler, Modelo Especial, Quilmes, Victoria, Sedrin, and Skol brands. The company operates in North America, Middle America, South America, Europe, the Middle East, Africa, and the Asia Pacific. The company was founded in 1366 and is headquartered in Leuven, Belgium.

About Arcadia Biosciences

Arcadia Biosciences, Inc. produces and markets plant-based food and beverage products in the United States. The company develops crop improvements primarily in wheat to enhance farm economics by improving the performance of crops in the field, as well as their value as food ingredients. Its food, beverage, and body case products include GoodWheat, Zola coconut water, ProVault topical pain relief, and SoulSpring. The company was incorporated in 2002 and is headquartered in Dallas, Texas.