Coffee (NASDAQ:JVA – Get Free Report) and BranchOut Food (NASDAQ:BOF – Get Free Report) are both small-cap consumer staples companies, but which is the better investment? We will compare the two businesses based on the strength of their valuation, risk, analyst recommendations, profitability, institutional ownership, dividends and earnings.
Institutional and Insider Ownership
2.6% of BranchOut Food shares are owned by institutional investors. 21.9% of Coffee shares are owned by company insiders. Comparatively, 21.5% of BranchOut Food shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.
Volatility and Risk
Coffee has a beta of 1.44, meaning that its share price is 44% more volatile than the S&P 500. Comparatively, BranchOut Food has a beta of 0.64, meaning that its share price is 36% less volatile than the S&P 500.
Analyst Recommendations
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Coffee | 0 | 2 | 0 | 0 | 2.00 |
| BranchOut Food | 1 | 0 | 1 | 0 | 2.00 |
Coffee presently has a consensus target price of $9.50, suggesting a potential upside of 133.99%. BranchOut Food has a consensus target price of $6.00, suggesting a potential upside of 61.73%. Given Coffee’s higher possible upside, analysts clearly believe Coffee is more favorable than BranchOut Food.
Profitability
This table compares Coffee and BranchOut Food’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Coffee | 4.85% | 16.20% | 11.61% |
| BranchOut Food | -56.77% | -153.95% | -51.07% |
Earnings and Valuation
This table compares Coffee and BranchOut Food”s top-line revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Coffee | $96.28 million | 0.24 | $1.40 million | $0.84 | 4.83 |
| BranchOut Food | $14.34 million | 4.21 | -$6.12 million | ($0.60) | -6.18 |
Coffee has higher revenue and earnings than BranchOut Food. BranchOut Food is trading at a lower price-to-earnings ratio than Coffee, indicating that it is currently the more affordable of the two stocks.
Summary
Coffee beats BranchOut Food on 10 of the 13 factors compared between the two stocks.
About Coffee
Coffee Holding Co., Inc. engages in manufacturing, roasting, packaging, marketing, and distributing roasted and blended coffees in the United States, Australia, Canada, England, and China. It offers wholesale green coffee products, including unroasted raw beans that are sold to large, medium, and small roasters, as well as coffee shop operators; and roasts, blends, packages, and sells coffee under private labels in cans, brick packages, and instants of various sizes. The company also roasts and blends company label branded coffee to supermarkets, wholesalers, and individually owned stores; and sells tabletop coffee roasting equipment, instant coffees, and tea products for its customers. Its coffee brands include Cafe Caribe, Don Manuel, S&W, Cafe Supremo, Via Roma, Premier Roasters, and Harmony Bay. The company was formerly known as Transpacific International Group Corp and changed its name to Coffee Holding Co., Inc. in April 1998. Coffee Holding Co., Inc. was founded in 1971 and is headquartered in Staten Island, New York.
About BranchOut Food
BranchOut Food Inc. develops, markets, sells, and distributes plant-based dehydrated fruit and vegetable snacks, and powders in the United States. The company offers dehydrated fruit and vegetable-based snacks, including avocado chips, chewy banana bites, pineapple chips, brussels sprout crisps, and bell pepper crisps; avocado, banana, and blueberry powders; and industrial ingredients, such as bulk avocado powder, dried avocado pieces, and other fruit powders/pieces. It also provides chocolate covered fruit items and private label products for retailers. The company was formerly known as AvoLov, LLC and changed its name to BranchOut Food Inc. in November 2021. BranchOut Food Inc. was incorporated in 2017 and is headquartered in Bend, Oregon.
Receive News & Ratings for Coffee Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Coffee and related companies with MarketBeat.com's FREE daily email newsletter.
