Comparing BRF (NYSE:BRFS) and Want Want China (OTCMKTS:WWNTY)

BRF (NYSE:BRFS) and Want Want China (OTCMKTS:WWNTY) are both consumer staples companies, but which is the better business? We will compare the two companies based on the strength of their analyst recommendations, institutional ownership, valuation, earnings, risk, dividends and profitability.

Valuation & Earnings

This table compares BRF and Want Want China”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
BRF	$11.38 billion	N/A	$595.74 million	$0.41	8.82
Want Want China	$3.23 billion	2.37	$557.87 million	N/A	N/A

BRF has higher revenue and earnings than Want Want China.

Analyst Ratings

This is a breakdown of recent ratings and target prices for BRF and Want Want China, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
BRF	0	2	0	1	2.67
Want Want China	0	0	0	0	0.00

BRF presently has a consensus price target of $13.75, suggesting a potential upside of 280.36%. Given BRF’s stronger consensus rating and higher probable upside, analysts plainly believe BRF is more favorable than Want Want China.

Dividends

BRF pays an annual dividend of $0.09 per share and has a dividend yield of 2.5%. Want Want China pays an annual dividend of $1.60 per share and has a dividend yield of 4.9%. BRF pays out 22.0% of its earnings in the form of a dividend.

Volatility and Risk

BRF has a beta of 1.33, indicating that its share price is 33% more volatile than the S&P 500. Comparatively, Want Want China has a beta of 0.14, indicating that its share price is 86% less volatile than the S&P 500.

Profitability

This table compares BRF and Want Want China’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
BRF	6.29%	22.05%	6.08%
Want Want China	N/A	N/A	N/A

Institutional & Insider Ownership

4.8% of BRF shares are owned by institutional investors. 1.0% of BRF shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Summary

BRF beats Want Want China on 11 of the 13 factors compared between the two stocks.

About BRF

BRF S.A. raises, produces, and slaughters poultry and pork for processing, production, and sale of fresh meat, processed products, pasta, margarine, pet food, and other products. The company provides frozen whole and cut chicken, frozen pork, and turkey, and halal products for Islamic markets; processed foods, such as marinated, frozen, seasoned whole, and cut chicken, roosters, sausages, ham products, bologna, frankfurters, salamis, bacons, cold meats, and other smoked products; and hamburgers, steaks, breaded meat products, kibbeh, and meatballs, as well as chicken sausages, hot dogs, and chicken bologna. It produces and sells lasagna, macaroni and cheese, pies, ready-to-eat meals, pizzas, and other frozen foods; plant-based products, such as nuggets, pies, vegetables, and burgers; frozen desserts and cheese bread; margarine, butter, cream cheese, sweet specialties, sandwiches, and pate, as well as soy meal, refined soy flour, animal feed, pet food and hatcheries. The company sells its products under the Sadia, Perdigão, Qualy, Sadia Halal, Chester, BRF Ingredients, Kidelli, Perdix, Borella, Hilal, Balance, Onefoods, Banvit, Deline, Sadia Bio, Sadia Salamitos, Sadia Veg&Tal, Sadia Livre&Lev, Sadia Hot Pocket, Perdigão Ouro, Chester Perdigão, Perdigão NaBrasa, Claybom, Biofresh, Three Dogs, Three Cats, and Gran Plus brands. It serves supermarkets, wholesalers, retail and wholesale stores, restaurants, and other institutional buyers. The company provides consultancy, administrative, marketing, and logistics services; generates and commercializes electric energy; distributes nutrients for animals; veterinary activities; road freight; and imports, exports, industrializes, and commercializes of products, as well as real estate. The company was formerly known as BRF-Brasil Foods S.A. and changed its name to BRF S.A. in April 2013. BRF S.A. was founded in 1934 and is headquartered in São Paulo, Brazil. BRF S.A. operates as a subsidiary of Marfrig Global Foods S.A.

About Want Want China

Want Want China Holdings Limited, an investment holding company, manufactures, distributes, and sells food and beverages. The company operates through four segments: Rice Crackers, Dairy Products and Beverages, Snack Foods, and Other Products. It offers sugar coated crackers, savoury crackers, fried crackers, and gift packs; flavored milk, room temperature yogurt, yogurt drinks, ready-to-drink coffee, juice and sports drinks, herbal tea, and milk powder; candies, popsicles, ball cakes and jellies, beans, nuts, and other snacks; and wine and other food products. The company also trades in food and beverages, and related activities online, as well as raw materials, machineries, etc.; sells chemical materials and plastic films/bags; manufactures and sells machineries and related services; manufactures dehydrating, deoxidating, preservative, and related products; manufactures and sells packaging materials, packing bags, carton boxes, and cans; provides consultancy, information, business, and network technology services; processes and sells rice and oil products; and manufactures and sells rice flour. In addition, it engages in the agricultural planting and management, and livestock and poultry breeding businesses. It serves customers through a sales and distribution network primarily in the People's Republic of China. The company also exports its products to North America, East Asia, South East Asia, and Europe. Want The company was founded in 1962 and is headquartered in Kowloon Bay, Hong Kong.