Comparing Atacadão (OTCMKTS:ATAAY) & Chefs’ Warehouse (NASDAQ:CHEF)

Chefs’ Warehouse (NASDAQ:CHEF) and Atacadão (OTCMKTS:ATAAY) are both consumer defensive companies, but which is the superior investment? We will compare the two companies based on the strength of their profitability, dividends, risk, institutional ownership, valuation, analyst recommendations and earnings.

Valuation and Earnings

This table compares Chefs’ Warehouse and Atacadão”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Chefs’ Warehouse	$3.66 billion	0.43	$34.59 million	$0.87	45.80
Atacadão	N/A	N/A	N/A	N/A	N/A

Chefs’ Warehouse has higher revenue and earnings than Atacadão.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Chefs’ Warehouse and Atacadão, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Chefs’ Warehouse	0	0	4	0	3.00
Atacadão	0	0	0	0	N/A

Chefs’ Warehouse presently has a consensus target price of $48.75, indicating a potential upside of 22.33%. Given Chefs’ Warehouse’s higher probable upside, research analysts clearly believe Chefs’ Warehouse is more favorable than Atacadão.

Insider & Institutional Ownership

91.6% of Chefs’ Warehouse shares are owned by institutional investors. 11.9% of Chefs’ Warehouse shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares Chefs’ Warehouse and Atacadão’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Chefs’ Warehouse	1.11%	12.62%	3.36%
Atacadão	N/A	N/A	N/A

Summary

Chefs’ Warehouse beats Atacadão on 8 of the 8 factors compared between the two stocks.

About Chefs’ Warehouse

The Chefs’ Warehouse, Inc., together with its subsidiaries, distributes specialty food and center-of-the-plate products in the United States, the Middle East, and Canada. The company’s product portfolio includes specialty food products, such as artisan charcuterie, specialty cheeses, unique oils and vinegars, truffles, caviar, chocolate, and pastry products; and center-of-the-plate products consisting of custom cut beef, seafood, and hormone-free poultry, as well as broadline food products comprising cooking oils, butter, eggs, milk, and flour. The company serves menu-driven independent restaurants, fine dining establishments, country clubs, hotels, caterers, culinary schools, bakeries, patisseries, chocolatiers, cruise lines, casinos, and specialty food stores. It markets its center-of-the-plate products directly to consumers through a mail and e-commerce platform. The Chefs’ Warehouse, Inc. was founded in 1985 and is headquartered in Ridgefield, Connecticut.

About Atacadão

Atacadão S.A. engages in the wholesale and retail of food, clothing, home appliances, electronics, and other products in Brazil. The company operates through Retail, Atacadão, and Financial Solutions segments. The company offers alcoholic and non-alcoholic beverages; chocolate and cocoa powders, sugar and sweeteners, baby foods, rice, oats and cereals, cookies, toasts and snacks, coffee, teas, canned and uncanned products, sweets and deserts, flour, bean, yeast, grains and seed, pasta and sauces, mixture for bakery and confectionery, oils, fats and lard, soups and creams, and seasonings and condiments; and bathroom, kitchen, pool, clothing, and general cleaning products. It also provides personal hygiene and perfumery products; cold and diary products; meat, poultry, and fish products; packaging and disposables; frozen products; stationery and office products; and food baskets. The company offers its products through a chain of wholesale self-service and wholesale delivery stores, hypermarkets, supermarkets, convenience stores, gas stations, pharmacies, and e-commerce under the Carrefour and Atacadão brands. In addition, the company also credit cards and consumer finance, and other products, such as insurance policies. Atacadão S.A. was founded in 1962 and is headquartered in São Paulo, Brazil.