Head-To-Head Comparison: S&W Seed (NASDAQ:SANW) & Davis Commodities (NASDAQ:DTCK)

Davis Commodities (NASDAQ:DTCK) and S&W Seed (NASDAQ:SANW) are both small-cap consumer staples companies, but which is the better business? We will compare the two companies based on the strength of their risk, institutional ownership, valuation, dividends, analyst recommendations, profitability and earnings.

Institutional & Insider Ownership

81.8% of Davis Commodities shares are held by institutional investors. Comparatively, 61.7% of S&W Seed shares are held by institutional investors. 11.4% of S&W Seed shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Earnings & Valuation

This table compares Davis Commodities and S&W Seed”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Davis Commodities	$132.37 million	0.08	-$3.53 million	N/A	N/A
S&W Seed	$54.99 million	0.00	-$30.03 million	($14.24)	-0.01

Davis Commodities has higher revenue and earnings than S&W Seed.

Profitability

This table compares Davis Commodities and S&W Seed’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Davis Commodities	N/A	N/A	N/A
S&W Seed	-85.38%	-50.81%	-17.71%

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Davis Commodities and S&W Seed, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Davis Commodities	1	0	0	0	1.00
S&W Seed	0	0	1	0	3.00

S&W Seed has a consensus price target of $25.00, suggesting a potential upside of 28,148.59%. Given S&W Seed’s stronger consensus rating and higher probable upside, analysts clearly believe S&W Seed is more favorable than Davis Commodities.

Risk and Volatility

Davis Commodities has a beta of -0.78, suggesting that its share price is 178% less volatile than the S&P 500. Comparatively, S&W Seed has a beta of 1.89, suggesting that its share price is 89% more volatile than the S&P 500.

Summary

Davis Commodities beats S&W Seed on 7 of the 12 factors compared between the two stocks.

About Davis Commodities

Davis Commodities Limited, an investment holding company, operates as an agricultural commodity trading company in Asia, Africa, and the Middle East. The company trades in agricultural commodities, including sugar, rice, and oil and fat products under the Maxwill and Taffy brands. It also provides warehouse storage and logistic, as well as agency services. Davis Commodities Limited was founded in 1999 and is headquartered in Singapore. The company operates as a subsidiary of Davis & KT Holdings Pte. Ltd.

About S&W Seed

S&W Seed Co. engages in the breeding, production, and sale of stevia and alfalfa seeds. The company was founded in 1980 and is headquartered in Longmont, CO.