Contrasting Tyson Foods (NYSE:TSN) and Mama’s Creations (NASDAQ:MAMA)

Mama’s Creations (NASDAQ:MAMA) and Tyson Foods (NYSE:TSN) are both consumer staples companies, but which is the better stock? We will contrast the two companies based on the strength of their dividends, earnings, analyst recommendations, profitability, institutional ownership, valuation and risk.

Institutional & Insider Ownership

45.2% of Mama’s Creations shares are held by institutional investors. Comparatively, 67.0% of Tyson Foods shares are held by institutional investors. 1.0% of Mama’s Creations shares are held by company insiders. Comparatively, 2.1% of Tyson Foods shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Risk and Volatility

Mama’s Creations has a beta of 0.56, indicating that its share price is 44% less volatile than the S&P 500. Comparatively, Tyson Foods has a beta of 0.4, indicating that its share price is 60% less volatile than the S&P 500.

Earnings and Valuation

This table compares Mama’s Creations and Tyson Foods”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Mama’s Creations	$171.71 million	3.92	$5.29 million	$0.14	117.43
Tyson Foods	$54.44 billion	0.38	$474.00 million	$1.62	36.06

Tyson Foods has higher revenue and earnings than Mama’s Creations. Tyson Foods is trading at a lower price-to-earnings ratio than Mama’s Creations, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a breakdown of current recommendations for Mama’s Creations and Tyson Foods, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Mama’s Creations	0	2	5	1	2.88
Tyson Foods	1	8	4	0	2.23

Mama’s Creations currently has a consensus target price of $19.83, indicating a potential upside of 20.64%. Tyson Foods has a consensus target price of $70.67, indicating a potential upside of 20.96%. Given Tyson Foods’ higher probable upside, analysts clearly believe Tyson Foods is more favorable than Mama’s Creations.

Profitability

This table compares Mama’s Creations and Tyson Foods’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Mama’s Creations	3.21%	14.69%	8.91%
Tyson Foods	1.03%	7.77%	3.94%

Summary

Mama’s Creations beats Tyson Foods on 9 of the 15 factors compared between the two stocks.

About Mama’s Creations

Mama’s Creations, Inc. engages in the marketing, manufacturing, and distribution of beef meatballs with sauce, turkey meatballs with sauce, beef meat loaf, sausage and peppers, chicken parmesan, and other similar meats and sauces. Its products include beef meatballs, turkey meatballs, stuffed meatballs, lasagna roll ups, retail ready meals, bulk deli, single-size pasta bowls, and packaged refrigerated products. Its brands include MamaMancini’s, Creative Salads, and The Olive Branch. The company was founded by Daniel Dougherty on July 22, 2009 and is headquartered in East Rutherford, NJ.

About Tyson Foods

Tyson Foods, Inc., together with its subsidiaries, operates as a food company worldwide. It operates through four segments: Beef, Pork, Chicken, and Prepared Foods. The company processes live fed cattle and hogs; fabricates dressed beef and pork carcasses into primal and sub-primal meat cuts, as well as case ready beef and pork, and fully cooked meats; raises and processes chickens into fresh, frozen, and value-added chicken products, including breaded chicken strips, nuggets, patties, and other ready-to-fix or fully cooked chicken parts; and supplies poultry breeding stock. It also manufactures and markets frozen and refrigerated food products, including ready-to-eat sandwiches, flame-grilled hamburgers, Philly steaks, pepperoni, bacon, breakfast sausage, turkey, lunchmeat, hot dogs, flour and corn tortilla products, appetizers, snacks, prepared meals, ethnic foods, side dishes, meat dishes, breadsticks, and processed meats under the Tyson, Jimmy Dean, Hillshire Farm, Ball Park, Wright, Aidells, ibp, and State Fair brands. The company sells its products through its sales staff to grocery retailers, grocery wholesalers, meat distributors, warehouse club stores, military commissaries, industrial food processing companies, chain restaurants or their distributors, live markets, international export companies, and domestic distributors who serve restaurants and food service operations, such as plant and school cafeterias, convenience stores, hospitals, and other vendors, as well as through independent brokers and trading companies. The company was founded in 1935 and is headquartered in Springdale, Arkansas.