Analyzing Mondelez International (NASDAQ:MDLZ) & Bunzl (OTCMKTS:BZLFY)

Mondelez International (NASDAQ:MDLZ) and Bunzl (OTCMKTS:BZLFY) are both consumer staples companies, but which is the better stock? We will compare the two businesses based on the strength of their risk, earnings, valuation, profitability, dividends, institutional ownership and analyst recommendations.

Analyst Recommendations

This is a summary of recent ratings and price targets for Mondelez International and Bunzl, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Mondelez International	1	6	14	0	2.62
Bunzl	0	4	1	3	2.88

Mondelez International currently has a consensus target price of $71.95, suggesting a potential upside of 12.54%. Given Mondelez International’s higher probable upside, equities research analysts plainly believe Mondelez International is more favorable than Bunzl.

Institutional & Insider Ownership

78.3% of Mondelez International shares are held by institutional investors. Comparatively, 0.1% of Bunzl shares are held by institutional investors. 0.4% of Mondelez International shares are held by insiders. Comparatively, 1.0% of Bunzl shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Dividends

Mondelez International pays an annual dividend of $1.88 per share and has a dividend yield of 2.9%. Bunzl pays an annual dividend of $0.69 per share and has a dividend yield of 4.6%. Mondelez International pays out 68.9% of its earnings in the form of a dividend. Mondelez International has increased its dividend for 13 consecutive years.

Valuation and Earnings

This table compares Mondelez International and Bunzl”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Mondelez International	$36.44 billion	2.27	$4.61 billion	$2.73	23.42
Bunzl	$15.05 billion	0.65	$640.23 million	N/A	N/A

Mondelez International has higher revenue and earnings than Bunzl.

Profitability

This table compares Mondelez International and Bunzl’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Mondelez International	9.84%	15.35%	5.85%
Bunzl	N/A	N/A	N/A

Volatility & Risk

Mondelez International has a beta of 0.46, suggesting that its share price is 54% less volatile than the S&P 500. Comparatively, Bunzl has a beta of 0.87, suggesting that its share price is 13% less volatile than the S&P 500.

Summary

Mondelez International beats Bunzl on 10 of the 16 factors compared between the two stocks.

About Mondelez International

Mondelez International, Inc., through its subsidiaries, manufactures, markets, and sells snack food and beverage products in the Latin America, North America, Asia, the Middle East, Africa, and Europe. It provides biscuits and baked snacks, including cookies, crackers, salted snacks, snack bars, and cakes and pastries; chocolates; and gums and candies, as well as various cheese and grocery, and powdered beverage products. The company's brand portfolio includes Oreo, Ritz, LU, CLIF Bar, and Tate's Bake Shop biscuits and baked snacks, as well as Cadbury Dairy Milk, Milka, and Toblerone chocolate. It serves supermarket chains, wholesalers, supercenters, club stores, mass merchandisers, distributors, convenience stores, gasoline stations, drug stores, value stores, and other retail food outlets through direct store delivery, company-owned and satellite warehouses, distribution centers, third party distributors, and other facilities, as well as through independent sales offices and agents. The company also sells products directly to businesses and consumers through e-retail platforms, retailer digital platforms, as well as through its direct-to-consumer websites and social media platforms. Mondelez International, Inc. was formerly known as Kraft Foods Inc. and changed its name to Mondelez International, Inc. in October 2012. The company was incorporated in 2000 and is headquartered in Chicago, Illinois.

About Bunzl

Bunzl plc operates as a distribution and services company in the North America, Continental Europe, the United Kingdom, Ireland, and internationally. The company offers food packaging, films, labels, cleaning and hygiene supplies, and personal protection equipment to grocery stores, supermarkets, and convenience stores. It also provides food packaging, disposable tableware, guest amenities, catering equipment, agricultural supplies, cleaning and hygiene products, and safety items to hotels, restaurants, contract caterers, food processors, commercial growers, and the leisure sector; and gloves, boots, hard hats, ear and eye protection, and other workwear, as well as cleaning and hygiene supplies, and asset protection products to industrial and construction, and ecommerce sectors. In addition, the company offers chemicals and hygiene paper to cleaning and facilities management companies, and industrial and public sector customers; gloves, masks, swabs, gowns, bandages, and other healthcare related equipment; and healthcare devices to hospitals, care homes, and other facilities serving the healthcare sector. Further, it provides packaging and other store supplies to retail chains, boutiques, department stores, home improvement chains, office supply companies, and related e-commerce sales channels. Bunzl plc was founded in 1854 and is headquartered in London, the United Kingdom.