Financial Analysis: BRC (NYSE:BRCC) versus PepsiCo (NASDAQ:PEP)

PepsiCo (NASDAQ:PEPGet Rating) and BRC (NYSE:BRCCGet Rating) are both consumer staples companies, but which is the superior business? We will contrast the two businesses based on the strength of their valuation, profitability, institutional ownership, earnings, dividends, risk and analyst recommendations.

Valuation & Earnings

This table compares PepsiCo and BRC’s gross revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
PepsiCo $79.47 billion 3.01 $7.62 billion $5.49 31.51
BRC $233.10 million 21.70 -$13.85 million N/A N/A

PepsiCo has higher revenue and earnings than BRC.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for PepsiCo and BRC, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
PepsiCo 0 7 8 0 2.53
BRC 0 5 2 0 2.29

PepsiCo currently has a consensus price target of $172.87, indicating a potential downside of 0.08%. BRC has a consensus price target of $19.80, indicating a potential downside of 23.88%. Given PepsiCo’s stronger consensus rating and higher probable upside, analysts plainly believe PepsiCo is more favorable than BRC.

Institutional & Insider Ownership

71.1% of PepsiCo shares are held by institutional investors. 0.1% of PepsiCo shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares PepsiCo and BRC’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
PepsiCo 9.59% 56.42% 9.41%
BRC N/A N/A -4.91%

Summary

PepsiCo beats BRC on 10 of the 11 factors compared between the two stocks.

PepsiCo Company Profile (Get Rating)

PepsiCo, Inc. manufactures, markets, distributes, and sells 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, simply granola, 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. 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 headquartered in Purchase, New York.

BRC Company Profile (Get Rating)

BRC Inc., through its subsidiaries, purchases, roasts, and sells coffee, coffee accessories, and branded apparel. The company also produces media content; podcasts; and digital and print journals, as well as sells coffee brewing equipment, and outdoor and lifestyle gear. It supports active military, veterans, and first responders. The company offers its products through convenience, grocery, drug, and mass merchandise stores; outdoor, do it yourself, and lifestyle retailers; and company operated and franchised Black Rifle Coffee retail coffee shop locations, as well as through e-commerce. BRC Inc. was founded in 2014 and is based in Salt Lake City, Utah.

Receive News & Ratings for PepsiCo Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for PepsiCo and related companies with MarketBeat.com's FREE daily email newsletter.