Contrasting Zevia PBC (NYSE:ZVIA) and Boston Beer (NYSE:SAM)

Boston Beer (NYSE:SAM) and Zevia PBC (NYSE:ZVIA) are both small-cap consumer staples companies, but which is the better stock? We will contrast the two businesses based on the strength of their valuation, dividends, earnings, risk, profitability, analyst recommendations and institutional ownership.

Earnings and Valuation

This table compares Boston Beer and Zevia PBC”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Boston Beer	$2.09 billion	0.90	$108.47 million	($6.79)	-26.60
Zevia PBC	$161.26 million	0.60	-$9.92 million	($0.13)	-9.58

Boston Beer has higher revenue and earnings than Zevia PBC. Boston Beer is trading at a lower price-to-earnings ratio than Zevia PBC, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Boston Beer and Zevia PBC’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Boston Beer	-3.42%	9.99%	6.48%
Zevia PBC	-5.34%	-16.92%	-9.56%

Institutional & Insider Ownership

81.1% of Boston Beer shares are held by institutional investors. Comparatively, 53.2% of Zevia PBC shares are held by institutional investors. 27.4% of Boston Beer shares are held by company insiders. Comparatively, 7.7% of Zevia PBC shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Risk & Volatility

Boston Beer has a beta of 0.82, meaning that its share price is 18% less volatile than the S&P 500. Comparatively, Zevia PBC has a beta of 0.93, meaning that its share price is 7% less volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Boston Beer and Zevia PBC, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Boston Beer	2	9	1	0	1.92
Zevia PBC	1	1	2	0	2.25

Boston Beer presently has a consensus price target of $205.09, indicating a potential upside of 13.54%. Zevia PBC has a consensus price target of $4.50, indicating a potential upside of 261.45%. Given Zevia PBC’s stronger consensus rating and higher possible upside, analysts clearly believe Zevia PBC is more favorable than Boston Beer.

Summary

Boston Beer beats Zevia PBC on 8 of the 14 factors compared between the two stocks.

About Boston Beer

The Boston Beer Company, Inc produces and sells alcohol beverages primarily in the United States. The company's flagship beer is Samuel Adams Boston Lager. It offers various beers, hard ciders, flavored malt beverages, and hard seltzers under the Samuel Adams, Twisted Tea, Truly, Angry Orchard, Dogfish Head, Angel City, and Coney Island brand names. The company markets and sells its products to a network wholesaler in the United States, as well as wholesalers, importers, or other agencies that in turn sell to retailers, such as grocery stores, club stores, convenience stores, liquor stores, bars, restaurants, stadiums, and other e-commerce retail outlets. It sells its products in Canada, Europe, Israel, Australia, New Zealand, the Caribbean, the Pacific Rim, Mexico, and Central and South America. The Boston Beer Company, Inc. was founded in 1984 and is based in Boston, Massachusetts.

About Zevia PBC

Zevia PBC, a beverage company, develops, markets, sells, and distributes various carbonated beverages in the United States and Canada. It offers soda, energy drinks, organic tea, and kidz drinks. The company offers its products through a network of food, drug, warehouse club, mass, natural, convenience, and e-commerce channels, as well as grocery distributors and natural product stores and specialty outlets. It provides its products under the Zevia brand name. The company was founded in 2007 and is headquartered in Encino, California.