Industrias Bachoco, S.A. de C.V. (NYSE: IBA) and Pilgrim’s Pride Corporation (NASDAQ:PPC) are both mid-cap consumer staples companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, risk, profitability, valuation, analyst recommendations, dividends and institutional ownership.

Earnings & Valuation

This table compares Industrias Bachoco, S.A. de C.V. and Pilgrim’s Pride Corporation’s top-line revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio EBITDA Earnings Per Share Price/Earnings Ratio
Industrias Bachoco, S.A. de C.V. $3.11 billion 1.08 $447.42 million $4.38 15.35
Pilgrim’s Pride Corporation $8.21 billion 0.85 $1.00 billion $1.99 14.16

Pilgrim’s Pride Corporation has higher revenue and earnings than Industrias Bachoco, S.A. de C.V.. Pilgrim’s Pride Corporation is trading at a lower price-to-earnings ratio than Industrias Bachoco, S.A. de C.V., indicating that it is currently the more affordable of the two stocks.

Dividends

Industrias Bachoco, S.A. de C.V. pays an annual dividend of $0.82 per share and has a dividend yield of 1.2%. Pilgrim’s Pride Corporation does not pay a dividend. Industrias Bachoco, S.A. de C.V. pays out 18.7% of its earnings in the form of a dividend.

Profitability

This table compares Industrias Bachoco, S.A. de C.V. and Pilgrim’s Pride Corporation’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Industrias Bachoco, S.A. de C.V. 7.54% 12.91% 9.16%
Pilgrim’s Pride Corporation 6.05% 49.65% 14.88%

Risk & Volatility

Industrias Bachoco, S.A. de C.V. has a beta of 0.37, suggesting that its share price is 63% less volatile than the S&P 500. Comparatively, Pilgrim’s Pride Corporation has a beta of 0.13, suggesting that its share price is 87% less volatile than the S&P 500.

Analyst Ratings

This is a summary of current recommendations for Industrias Bachoco, S.A. de C.V. and Pilgrim’s Pride Corporation, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Industrias Bachoco, S.A. de C.V. 0 0 0 0 N/A
Pilgrim’s Pride Corporation 0 4 1 0 2.20

Pilgrim’s Pride Corporation has a consensus target price of $23.33, suggesting a potential downside of 17.17%. Given Pilgrim’s Pride Corporation’s higher possible upside, analysts plainly believe Pilgrim’s Pride Corporation is more favorable than Industrias Bachoco, S.A. de C.V..

Insider and Institutional Ownership

3.8% of Industrias Bachoco, S.A. de C.V. shares are held by institutional investors. Comparatively, 24.3% of Pilgrim’s Pride Corporation shares are held by institutional investors. 78.8% of Pilgrim’s Pride Corporation shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Summary

Pilgrim’s Pride Corporation beats Industrias Bachoco, S.A. de C.V. on 9 of the 15 factors compared between the two stocks.

About Industrias Bachoco, S.A. de C.V.

Industrias Bachoco, S.A.B. de C.V. (Bachoco) is a holding company. The Company owns and manages over 1,000 facilities, organized in approximately 10 production complexes and over 60 distribution centers in Mexico, and a production complex in the United States. Bachoco operates through two segments: poultry and others. The poultry segment consists of chicken and egg operations. The others segment includes the operations of pigs, balanced feed for animal consumption and other by-products. The Company participates in the food industry in Mexico and in the United States, mainly in the poultry industry. In Mexico, the Company’s core business is poultry (chicken and egg products). It also produces and sells a range of other products, which it refers to as other business lines, which include the production and selling of balanced feed, live swine, beef and turkey products, as well as a laboratory that produces vaccines for the poultry industry and other similar industries.

About Pilgrim’s Pride Corporation

Pilgrim’s Pride Corporation is a retail feed store. It is a producer and seller of chicken with operations in the United States, Mexico and Puerto Rico. It is engaged in the production, processing, marketing and distribution of fresh, frozen and value-added chicken products to retailers, distributors and foodservice operators. It offers a range of products to its customers through national and international distribution channels. Its fresh chicken products consist of refrigerated (non-frozen) whole chickens, whole cut-up chickens and selected chicken parts that are either marinated or non-marinated. Its prepared chicken products include ready-to-cook and individually frozen chicken parts, strips, nuggets and patties, some of which are either breaded or non-breaded and either marinated or non-marinated. As of December 25, 2016, the Company marketed its portfolio of fresh, prepared and value-added chicken products across the United States, Mexico and in approximately 80 other countries.

Receive News & Stock Ratings for Industrias Bachoco S.A. de C.V. Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Industrias Bachoco S.A. de C.V. and related stocks with our FREE daily email newsletter.