Fomento Economico Mexicano (NYSE:FMX) and Vita Coco (NASDAQ:COCO) Head to Head Comparison

Fomento Economico Mexicano (NYSE:FMX) and Vita Coco (NASDAQ:COCO) are both consumer staples companies, but which is the better stock? We will compare the two businesses based on the strength of their analyst recommendations, valuation, institutional ownership, risk, profitability, dividends and earnings.

Risk and Volatility

Fomento Economico Mexicano has a beta of 0.7, suggesting that its share price is 30% less volatile than the S&P 500. Comparatively, Vita Coco has a beta of 0.36, suggesting that its share price is 64% less volatile than the S&P 500.

Valuation & Earnings

This table compares Fomento Economico Mexicano and Vita Coco”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Fomento Economico Mexicano	$812.89 billion	0.04	$1.28 billion	$2.94	33.49
Vita Coco	$516.01 million	4.40	$55.95 million	$1.07	37.35

Fomento Economico Mexicano has higher revenue and earnings than Vita Coco. Fomento Economico Mexicano is trading at a lower price-to-earnings ratio than Vita Coco, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Fomento Economico Mexicano and Vita Coco’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Fomento Economico Mexicano	2.60%	5.32%	2.31%
Vita Coco	11.50%	24.99%	17.84%

Insider and Institutional Ownership

61.0% of Fomento Economico Mexicano shares are held by institutional investors. Comparatively, 88.5% of Vita Coco shares are held by institutional investors. 5.7% of Fomento Economico Mexicano shares are held by company insiders. Comparatively, 32.3% of Vita Coco shares are held 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.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Fomento Economico Mexicano and Vita Coco, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Fomento Economico Mexicano	1	3	4	0	2.38
Vita Coco	0	4	5	0	2.56

Fomento Economico Mexicano currently has a consensus target price of $100.97, suggesting a potential upside of 2.54%. Vita Coco has a consensus target price of $39.00, suggesting a potential downside of 2.40%. Given Fomento Economico Mexicano’s higher possible upside, analysts plainly believe Fomento Economico Mexicano is more favorable than Vita Coco.

Summary

Vita Coco beats Fomento Economico Mexicano on 9 of the 14 factors compared between the two stocks.

About Fomento Economico Mexicano

Fomento Económico Mexicano, S.A.B. de C.V., through its subsidiaries, operates as a bottler of Coca-Cola trademark beverages. The company produces, markets, and distributes Coca-Cola trademark beverages in Mexico, Guatemala, Nicaragua, Costa Rica, Panama, Colombia, Venezuela, Brazil, Argentina, and Uruguay. It also operates small-box retail chain stores in Mexico, Colombia, Peru, Chile, and Brazil under the OXXO name; retail service stations for fuels, motor oils, lubricants, and car care products under the OXXO GAS name in Mexico; and drugstores in Chile, Colombia, Ecuador, and Mexico under the Cruz Verde, Fybeca, SanaSana, YZA, La Moderna, and Farmacon names. In addition, the company is involved in the production and distribution of collers, commercial refrigeration equipment, plastic boxes, food processing, and preservation and weighing equipment; and provision of logistic transportation, distribution and maintenance, point-of-sale refrigeration, and plastics solutions, as well as distribution platform for cleaning products and consumables. Further, it operates small-box retail and food convenience chain stores in Switzerland, Germany, Austria, Luxembourg, and the Netherlands under the k kiosk, Brezelkönig, BackWerk, Ditsch, Press & Books, avec, Caffè Spettacolo, and ok.) names, as well as pretzels under the Ditsch name. The company was founded in 1890 and is based in Monterrey, Mexico.

About Vita Coco

The Vita Coco Company, Inc. develops, markets, and distributes coconut water products under the Vita Coco brand name in the United States, Canada, Europe, the Middle East, Africa, and the Asia Pacific. The company offers coconut oil and coconut milk; juice; Runa, a plant-based energy drink; packaged water under the Ever & Ever brand name; and PWR LIFT, a protein-infused fitness drink. It also provides private label coconut water and oil to retailers. It distributes its products through club, food, drug, mass, convenience, e-commerce, and foodservice channels. The company was formerly known as All Market Inc. and changed its name to The Vita Coco Company, Inc. in September 2021.The Vita Coco Company, Inc. was incorporated in 2004 and is headquartered in New York, New York.