Critical Survey: Innovation Beverage Group (NASDAQ:IBG) & Better Choice (NASDAQ:BTTR)

Innovation Beverage Group (NASDAQ:IBG) and Better Choice (NASDAQ:BTTR) are both small-cap consumer staples companies, but which is the better stock? We will contrast the two businesses based on the strength of their profitability, dividends, earnings, valuation, risk, analyst recommendations and institutional ownership.

Profitability

This table compares Innovation Beverage Group and Better Choice’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Innovation Beverage Group	N/A	N/A	N/A
Better Choice	-39.83%	-206.10%	-60.54%

Earnings & Valuation

This table compares Innovation Beverage Group and Better Choice”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Innovation Beverage Group	$3.15 million	2.20	N/A	N/A	N/A
Better Choice	$34.98 million	0.03	-$22.77 million	($0.39)	-1.33

Innovation Beverage Group has higher earnings, but lower revenue than Better Choice.

Analyst Recommendations

This is a breakdown of current ratings and target prices for Innovation Beverage Group and Better Choice, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Innovation Beverage Group	0	0	1	0	3.00
Better Choice	0	0	1	0	3.00

Better Choice has a consensus price target of $10.00, indicating a potential upside of 1,823.08%. Given Better Choice’s higher possible upside, analysts clearly believe Better Choice is more favorable than Innovation Beverage Group.

Insider & Institutional Ownership

12.6% of Better Choice shares are owned by institutional investors. 29.7% of Better Choice shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

About Innovation Beverage Group

Innovation Beverage Group (formerly Australian Boutique Spirits) is an award-winning distillery that produces a variety of brands in-house and imports global brands to sell exclusively to the Australian market through bevmart.com.au. It was recently recognized as the Australian Liqueur Distillery of the year by the Melbourne International Spirits Competition.

About Better Choice

Better Choice Company Inc. operates as a pet health and wellness company. Its products portfolio includes naturally formulated kibble and canned dog and cat foods, freeze-dried raw dog foods and treats, vegan dog foods and treats, oral care products and supplements, as well as toppers, dental products, and chews. The company sells its products under Halo Holistic and Halo Elevate brands. It primarily sells its products through its online portals, as well as through online retailers and pet specialty retailers. The company has operations in the United States, Canada, and select Asian markets, including China. The company was formerly known as Sports Endurance, Inc. and changed its name to Better Choice Company Inc. in March 2019. Better Choice Company Inc. is based in Tampa, Florida.