Head to Head Review: Alico (NASDAQ:ALCO) and BellRing Brands (NYSE:BRBR)

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

Volatility and Risk

BellRing Brands has a beta of 0.43, suggesting that its stock price is 57% less volatile than the S&P 500. Comparatively, Alico has a beta of 0.92, suggesting that its stock price is 8% less volatile than the S&P 500.

Analyst Ratings

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

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

BellRing Brands presently has a consensus price target of $19.82, indicating a potential upside of 107.01%. Alico has a consensus price target of $45.00, indicating a potential upside of 13.56%. Given BellRing Brands’ higher probable upside, research analysts clearly believe BellRing Brands is more favorable than Alico.

Earnings & Valuation

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
BellRing Brands	$2.32 billion	0.48	$216.20 million	$1.42	6.74
Alico	$44.07 million	6.67	-$147.33 million	$0.22	180.11

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.

Profitability

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

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

Insider and Institutional Ownership

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

Summary

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

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.

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.