Critical Comparison: Armanino Foods of Distinction (OTCMKTS:AMNF) and Celsius (NASDAQ:CELH)

Celsius (NASDAQ:CELH) and Armanino Foods of Distinction (OTCMKTS:AMNF) are both consumer staples companies, but which is the better investment? We will contrast the two businesses based on the strength of their risk, dividends, valuation, profitability, institutional ownership, earnings and analyst recommendations.

Volatility & Risk

Celsius has a beta of 1.45, indicating that its stock price is 45% more volatile than the S&P 500. Comparatively, Armanino Foods of Distinction has a beta of 0.14, indicating that its stock price is 86% less volatile than the S&P 500.

Valuation and Earnings

This table compares Celsius and Armanino Foods of Distinction”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Celsius	$1.36 billion	8.29	$145.07 million	$0.32	136.28
Armanino Foods of Distinction	$69.40 million	3.74	$14.61 million	$0.50	16.70

Celsius has higher revenue and earnings than Armanino Foods of Distinction. Armanino Foods of Distinction is trading at a lower price-to-earnings ratio than Celsius, indicating that it is currently the more affordable of the two stocks.

Insider and Institutional Ownership

61.0% of Celsius shares are owned by institutional investors. Comparatively, 0.1% of Armanino Foods of Distinction shares are owned by institutional investors. 2.2% of Celsius shares are owned by company insiders. Comparatively, 30.2% of Armanino Foods of Distinction shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Analyst Ratings

This is a breakdown of current ratings and target prices for Celsius and Armanino Foods of Distinction, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Celsius	1	3	13	0	2.71
Armanino Foods of Distinction	0	0	0	0	0.00

Celsius currently has a consensus price target of $46.47, suggesting a potential upside of 6.56%. Given Celsius’ stronger consensus rating and higher possible upside, equities analysts clearly believe Celsius is more favorable than Armanino Foods of Distinction.

Profitability

This table compares Celsius and Armanino Foods of Distinction’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Celsius	8.40%	42.12%	10.05%
Armanino Foods of Distinction	22.72%	46.98%	32.16%

Summary

Celsius beats Armanino Foods of Distinction on 9 of the 14 factors compared between the two stocks.

About Celsius

Celsius Holdings, Inc. develops, processes, markets, distributes, and sells functional energy drinks and liquid supplements in the United States, Australia, New Zealand, Canadian, European, Middle Eastern, Asia-Pacific, and internationally. The company offers CELSIUS, a fitness drink or supplement designed to accelerate metabolism and burn body fat; various flavors and carbonated and non-carbonated functional energy drinks under the CELSIUS Originals and Vibe name, as well as functional energy drink under the CELSIUS Essentials and CELSIUS On-the-Go Powder names; and CELSIUS ready-to drink products. It distributes its products through direct-to-store delivery, distributors, supermarkets, convenience stores, drug stores, nutritional stores, and mass merchants, as well as health clubs, gyms, the military, and e-commerce websites. The company was formerly known as Vector Ventures, Inc. and changed its name to Celsius Holdings, Inc. in January 2007. Celsius Holdings, Inc. was founded in 2004 and is headquartered in Boca Raton, Florida.

About Armanino Foods of Distinction

Armanino Foods of Distinction, Inc. produces and markets frozen food products in the United States. The company offers gourmet beef, Italian style beef and pork, and smoked turkey meatballs; grated parmesan and 3 cheese blend cheese; and various pesto, such as basil, artichoke, cilantro, dried tomato and garlic, roasted garlic, roasted red bell pepper, and southwest chipotle. It also provides frozen pasta, which includes beef cannelloni, cheese manicotti, cheese stuffed shells, cheese tortellini; pasta sheets, potato gnocchi, and tricolor cheese tortellini, as well as beef, butternut squash, four cheese, cheese and spinach, and wild mushroom ravioli; and various sauces, comprising creamy garlic, alfresco, Bolognese, chimichurri, harissa, and romesco. The company offers its products under the Armanino brand. It markets its products through a network of food brokers and sells to retail and foodservice distributors, club-type stores, and industrial accounts. The company was founded in 1978 and is based in Hayward, California.