Growlife (OTCMKTS:PHOT) and Alto Ingredients (NASDAQ:ALTO) Financial Comparison

Alto Ingredients (NASDAQ:ALTO) and Growlife (OTCMKTS:PHOT) are both consumer discretionary companies, but which is the superior business? We will compare the two companies based on the strength of their valuation, earnings, dividends, institutional ownership, profitability, analyst recommendations and risk.

Insider & Institutional Ownership

42.4% of Alto Ingredients shares are owned by institutional investors. 5.3% of Alto Ingredients shares are owned by company insiders. Comparatively, 2.8% of Growlife shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Alto Ingredients and Growlife, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Alto Ingredients	0	1	0	1	3.00
Growlife	0	0	0	0	0.00

Given Growlife’s higher possible upside, analysts plainly believe Growlife is more favorable than Alto Ingredients.

Profitability

This table compares Alto Ingredients and Growlife’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Alto Ingredients	1.45%	2.99%	1.69%
Growlife	N/A	N/A	N/A

Valuation & Earnings

This table compares Alto Ingredients and Growlife”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Alto Ingredients	$917.93 million	0.39	$13.34 million	$0.16	29.19
Growlife	N/A	N/A	N/A	($0.16)	N/A

Alto Ingredients has higher revenue and earnings than Growlife. Growlife is trading at a lower price-to-earnings ratio than Alto Ingredients, indicating that it is currently the more affordable of the two stocks.

Summary

Alto Ingredients beats Growlife on 9 of the 10 factors compared between the two stocks.

About Alto Ingredients

Alto Ingredients, Inc. produces, distributes, and markets specialty alcohols, renewable fuel, and essential ingredients in the United States. The company operates in three segments: Marketing and Distribution, Pekin Campus Production, and Western Production. It offers specialty alcohols used in mouthwash, cosmetics, pharmaceuticals, hand sanitizers, disinfectants, and cleaners for health, home, and beauty markets; grain neutral spirits used in alcoholic beverages and vinegar, as well as corn germ used in corn oils in the food and beverage markets; alcohols and other products for paint applications and fertilizers in the industrial and agriculture markets; and essential ingredients include dried yeast, corn protein meal, corn protein feed, distiller's grains, and liquid feed for commercial animal feed and pet food applications, as well as yeast for human consumption. The company also provides fuel-grade ethanol used as transportation fuel and distillers corn oil used as a biodiesel feedstock, as well as fuel-grade ethanol produced by third parties. In addition, it offers transportation, storage, and delivery services through third-party service providers. The company sells ethanol to integrated oil companies and gasoline marketers; essential ingredient feed products to dairies and feedlots; and corn oil to poultry, renewable diesel, and biodiesel customers. It operates alcohol production facilities. The company was formerly known as Pacific Ethanol, Inc. and changed its name to Alto Ingredients, Inc. in January 2021. Alto Ingredients, Inc. was founded in 2003 and is headquartered in Pekin, Illinois.

About Growlife

GrowLife, Inc. focuses on the functional mushroom business. It processes, stores, markets, distributes, and sells fresh and dried mushroom products. The company was founded in 2012 and is headquartered in Kirkland, Washington.