Financial Comparison: BellRing Brands (NYSE:BRBR) and Alico (NASDAQ:ALCO)

Alico (NASDAQ:ALCO) and BellRing Brands (NYSE:BRBR) are both small-cap consumer staples companies, but which is the better investment? We will contrast the two businesses based on the strength of their profitability, valuation, dividends, institutional ownership, risk, earnings and analyst recommendations.

Valuation & Earnings

This table compares Alico and BellRing Brands”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Alico	$44.07 million	6.67	-$147.33 million	$0.22	180.05
BellRing Brands	$2.32 billion	0.52	$216.20 million	$1.42	7.26

BellRing Brands has higher revenue and earnings than Alico. BellRing Brands is trading at a lower price-to-earnings ratio than Alico, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a summary of current ratings for Alico and BellRing Brands, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Alico	0	1	1	1	3.00
BellRing Brands	1	8	9	0	2.44

Alico presently has a consensus target price of $45.00, indicating a potential upside of 13.61%. BellRing Brands has a consensus target price of $19.82, indicating a potential upside of 92.39%. Given BellRing Brands’ higher possible upside, analysts plainly believe BellRing Brands is more favorable than Alico.

Profitability

This table compares Alico and BellRing Brands’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Alico	8.98%	-20.77%	-11.09%
BellRing Brands	7.28%	-33.04%	15.63%

Insider and Institutional Ownership

62.3% of Alico shares are owned by institutional investors. Comparatively, 95.0% of BellRing Brands shares are owned by institutional investors. 6.7% of Alico shares are owned by insiders. Comparatively, 1.5% of BellRing Brands shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Risk & Volatility

Alico has a beta of 0.91, meaning that its stock price is 9% less volatile than the S&P 500. Comparatively, BellRing Brands has a beta of 0.45, meaning that its stock price is 55% less volatile than the S&P 500.

Summary

Alico beats BellRing Brands on 8 of the 15 factors compared between the two stocks.

About Alico

Alico, Inc., together with its subsidiaries, operates as an agribusiness and land management company in the United States. The company operates in two segments, Alico Citrus, and Land Management and Other Operations. The Alico Citrus segment engages in planting, owning, cultivating, and/or managing citrus groves to produce fruit for sale to fresh and processed citrus markets, including activities related to the purchase and resale of fruit and value-added services, which include contracting for the harvesting, marketing, and hauling of citrus. The Land Management and Other Operations segment is involved in the activities related to native plant sales, grazing and hunting leasing, management, and/or conservation of unimproved native pastureland; and activities related to rock mining royalties and other insignificant lines of business, as well as in the activities related to owning and/or leasing improved farmland. The company was incorporated in 1960 and is based in Fort Myers, Florida.

About BellRing Brands

BellRing Brands, Inc., together with its subsidiaries, provides various nutrition products in the United States. The company offers ready-to-drink (RTD) protein shakes, other RTD beverages, powders, nutrition bars, and other products primarily under the Premier Protein and Dymatize brands. It distributes its products through club, food, drug, mass, eCommerce, specialty, and convenience channels. BellRing Brands, Inc. was incorporated in 2019 and is headquartered in Saint Louis, Missouri.