Critical Comparison: Origin Agritech (NASDAQ:SEED) and Scheid Vineyards (OTCMKTS:SVIN)

Origin Agritech (NASDAQ:SEED) and Scheid Vineyards (OTCMKTS:SVIN) are both small-cap consumer staples companies, but which is the better stock? We will compare the two businesses based on the strength of their valuation, dividends, risk, profitability, analyst recommendations, earnings and institutional ownership.

Analyst Recommendations

This is a summary of recent recommendations for Origin Agritech and Scheid Vineyards, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Origin Agritech	1	0	0	0	1.00
Scheid Vineyards	0	0	0	0	0.00

Profitability

This table compares Origin Agritech and Scheid Vineyards’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Origin Agritech	N/A	N/A	N/A
Scheid Vineyards	-48.12%	N/A	N/A

Valuation & Earnings

This table compares Origin Agritech and Scheid Vineyards”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Origin Agritech	$12.85 million	0.95	-$7.51 million	N/A	N/A
Scheid Vineyards	$52.47 million	0.02	-$25.25 million	($27.53)	-0.04

Origin Agritech has higher earnings, but lower revenue than Scheid Vineyards.

Institutional & Insider Ownership

1.7% of Origin Agritech shares are owned by institutional investors. 9.6% of Scheid Vineyards shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Risk and Volatility

Origin Agritech has a beta of 1.51, indicating that its stock price is 51% more volatile than the S&P 500. Comparatively, Scheid Vineyards has a beta of -0.4, indicating that its stock price is 140% less volatile than the S&P 500.

Summary

Origin Agritech beats Scheid Vineyards on 6 of the 8 factors compared between the two stocks.

About Origin Agritech

Origin Agritech Limited, together with its subsidiaries, operates as an agricultural biotechnology in the People’s Republic of China. The company engages in the development and distribution of seed products; and research on genetically enhanced breeding technologies in agricultural crops. Its products include corn, soybean, canola, and rice seeds. The company is also involved in the development, production, and distribution of hybrid crop seeds, as well as develops hybrid seed technology. In addition, it operates an e-commerce platform. The company has a collaboration agreement with the Chinese Academy of Agricultural Sciences, the National Maize Improvement Center, Henan Agriculture University, China Agricultural University, and Zhejiang University for seed genetic modifications and biotechnologies. Origin Agritech Limited was founded in 1997 and is headquartered in Beijing, the People’s Republic of China.

About Scheid Vineyards

Scheid Vineyards Inc. manufactures and sells wine in the United States. The company operates vineyards in Monterey and San Benito counties of California. It offers red, white, reserve, dessert wines, as well as accessories, such as wine glass. The company was incorporated in 1971 and is based in Salinas, California.