Constellation Brands (NYSE:STZ – Get Free Report) and Arcadia Biosciences (NASDAQ:RKDA – Get Free Report) are both consumer staples companies, but which is the better investment? We will compare the two businesses based on the strength of their profitability, earnings, analyst recommendations, valuation, institutional ownership, dividends and risk.
Volatility and Risk
Constellation Brands has a beta of 0.41, suggesting that its share price is 59% less volatile than the S&P 500. Comparatively, Arcadia Biosciences has a beta of 0.53, suggesting that its share price is 47% less volatile than the S&P 500.
Valuation & Earnings
This table compares Constellation Brands and Arcadia Biosciences”s revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Constellation Brands | $9.76 billion | 1.97 | $1.69 billion | $10.48 | 10.75 |
| Arcadia Biosciences | $4.86 million | 0.14 | -$2.34 million | ($4.56) | -0.06 |
Constellation Brands has higher revenue and earnings than Arcadia Biosciences. Arcadia Biosciences is trading at a lower price-to-earnings ratio than Constellation Brands, indicating that it is currently the more affordable of the two stocks.
Institutional & Insider Ownership
77.3% of Constellation Brands shares are held by institutional investors. Comparatively, 17.7% of Arcadia Biosciences shares are held by institutional investors. 12.2% of Constellation Brands shares are held by insiders. Comparatively, 4.5% of Arcadia Biosciences shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.
Profitability
This table compares Constellation Brands and Arcadia Biosciences’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Constellation Brands | 18.87% | 25.58% | 9.61% |
| Arcadia Biosciences | -234.53% | -183.50% | -91.25% |
Analyst Ratings
This is a summary of current ratings and target prices for Constellation Brands and Arcadia Biosciences, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Constellation Brands | 2 | 9 | 12 | 0 | 2.43 |
| Arcadia Biosciences | 1 | 0 | 0 | 0 | 1.00 |
Constellation Brands currently has a consensus price target of $159.33, indicating a potential upside of 41.36%. Given Constellation Brands’ stronger consensus rating and higher possible upside, equities analysts clearly believe Constellation Brands is more favorable than Arcadia Biosciences.
Summary
Constellation Brands beats Arcadia Biosciences on 13 of the 14 factors compared between the two stocks.
About Constellation Brands
Constellation Brands, Inc., together with its subsidiaries, produces, imports, markets, and sells beer, wine, and spirits in the United States, Canada, Mexico, New Zealand, and Italy. The company provides beer primarily under the Corona Extra, Corona Familiar, Corona Hard Seltzer, Corona Light, Corona Non-Alcoholic, Corona Premier, Corona Refresca, Modelo Especial, Modelo Chelada, Modelo Negra, Modelo Oro, Victoria, Vicky Chamoy, and Pacifico brands. It also offers wine under the Cook’s California Champagne, Kim Crawford, Meiomi, Mount Veeder, Ruffino, SIMI, My Favorite Neighbor, Robert Mondavi Winery, Schrader, and The Prisoner Wine Company brands; and spirits under the Casa Noble, Copper & Kings, High West, Mi CAMPO, Nelson’s Green Brier, and SVEDKA brands. The company provides its products to wholesale distributors, retailers, on-premise locations, and state alcohol beverage control agencies. Constellation Brands, Inc. was founded in 1945 and is headquartered in Victor, New York.
About Arcadia Biosciences
Arcadia Biosciences, Inc. produces and markets plant-based food and beverage products in the United States. The company develops crop improvements primarily in wheat to enhance farm economics by improving the performance of crops in the field, as well as their value as food ingredients. Its food, beverage, and body case products include GoodWheat, Zola coconut water, ProVault topical pain relief, and SoulSpring. The company was incorporated in 2002 and is headquartered in Dallas, Texas.
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