PepsiCo (NASDAQ:PEP – Get Free Report) and Eastside Distilling (NASDAQ:BLNE – Get Free Report) are both consumer staples companies, but which is the superior business? We will compare the two companies based on the strength of their risk, valuation, earnings, dividends, institutional ownership, profitability and analyst recommendations.
Volatility and Risk
PepsiCo has a beta of 0.47, indicating that its share price is 53% less volatile than the S&P 500. Comparatively, Eastside Distilling has a beta of 1.15, indicating that its share price is 15% more volatile than the S&P 500.
Insider & Institutional Ownership
73.1% of PepsiCo shares are held by institutional investors. Comparatively, 0.6% of Eastside Distilling shares are held by institutional investors. 0.1% of PepsiCo shares are held by insiders. Comparatively, 20.4% of Eastside Distilling shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.
Earnings & Valuation
Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
PepsiCo | $91.52 billion | 1.95 | $9.58 billion | $6.80 | 19.16 |
Eastside Distilling | $3.91 million | 2.77 | -$7.53 million | ($37.00) | -0.04 |
PepsiCo has higher revenue and earnings than Eastside Distilling. Eastside Distilling is trading at a lower price-to-earnings ratio than PepsiCo, indicating that it is currently the more affordable of the two stocks.
Analyst Ratings
This is a summary of current ratings and price targets for PepsiCo and Eastside Distilling, as provided by MarketBeat.
Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
PepsiCo | 1 | 13 | 4 | 0 | 2.17 |
Eastside Distilling | 0 | 0 | 0 | 0 | 0.00 |
PepsiCo currently has a consensus target price of $160.69, suggesting a potential upside of 23.31%. Given PepsiCo’s stronger consensus rating and higher possible upside, research analysts clearly believe PepsiCo is more favorable than Eastside Distilling.
Profitability
This table compares PepsiCo and Eastside Distilling’s net margins, return on equity and return on assets.
Net Margins | Return on Equity | Return on Assets | |
PepsiCo | 10.43% | 58.87% | 11.28% |
Eastside Distilling | -74.63% | -2,066.36% | -31.99% |
Summary
PepsiCo beats Eastside Distilling on 11 of the 14 factors compared between the two stocks.
About PepsiCo
PepsiCo, Inc. engages in the manufacture, marketing, distribution, and sale of various beverages and convenient foods worldwide. The company operates through seven segments: Frito-Lay North America; Quaker Foods North America; PepsiCo Beverages North America; Latin America; Europe; Africa, Middle East and South Asia; and Asia Pacific, Australia and New Zealand and China Region. It provides dips, cheese-flavored snacks, and spreads, as well as corn, potato, and tortilla chips; cereals, rice, pasta, mixes and syrups, granola bars, grits, oatmeal, rice cakes, and side dishes; beverage concentrates, fountain syrups, and finished goods; ready-to-drink tea, coffee, and juices; dairy products; and sparkling water makers and related products, as well as distributes alcoholic beverages under Hard MTN Dew brand. The company offers its products primarily under the Lay’s, Doritos, Fritos, Tostitos, BaiCaoWei, Cheetos, Cap’n Crunch, Life, Pearl Milling Company, Gatorade, Pepsi-Cola, Mountain Dew, Quaker, Rice-A-Roni, Aquafina, Bubly, Emperador, Diet Mountain Dew, Diet Pepsi, Gatorade Zero, Crush, Propel, Dr Pepper, Schweppes, Marias Gamesa, Ruffles, Sabritas, Saladitas, Tostitos, 7UP, Diet 7UP, H2oh!, Manzanita Sol, Mirinda, Pepsi Black, Pepsi Max, San Carlos, Toddy, Walkers, Chipsy, Kurkure, Sasko, Spekko, White Star, Smith’s, Sting, SodaStream, Lubimyj Sad, Agusha, Chudo, Domik v Derevne, Lipton, and other brands. It serves wholesale and other distributors, foodservice customers, grocery stores, drug stores, convenience stores, discount/dollar stores, mass merchandisers, membership stores, hard discounters, e-commerce retailers and authorized independent bottlers, and others through a network of direct-store-delivery, customer warehouse, and distributor networks, as well as directly to consumers through e-commerce platforms and retailers. The company was founded in 1898 and is based in Purchase, New York.
About Eastside Distilling
Eastside Distilling, Inc. manufactures, acquires, blends, bottles, imports, exports, markets, and sells various alcoholic beverages. It operates through two segments, Spirits and Craft Canning and Bottling. The company provides whiskey under the Burnside Whiskey brand; vodka under the Portland Potato Vodka brand; rum under the Hue-Hue Coffee Rum brand; and tequila under the Azuñia Tequila brand. It also offers gin and ready-to-drink products; and canning and bottling services to the craft beer and cider industries. The company sells its products on a wholesale basis to distributors in the United States. Eastside Distilling, Inc. was founded in 2008 and is headquartered in Portland, Oregon.
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