Financial Comparison: Zevia PBC (NYSE:ZVIA) & Vita Coco (NASDAQ:COCO)

Zevia PBC (NYSE:ZVIA) and Vita Coco (NASDAQ:COCO) are both small-cap consumer staples companies, but which is the better investment? We will contrast the two companies based on the strength of their analyst recommendations, institutional ownership, earnings, profitability, valuation, dividends and risk.

Risk and Volatility

Zevia PBC has a beta of 0.9, suggesting that its share price is 10% less volatile than the S&P 500. Comparatively, Vita Coco has a beta of 0.37, suggesting that its share price is 63% less volatile than the S&P 500.

Profitability

This table compares Zevia PBC and Vita Coco’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Zevia PBC	-12.58%	-35.52%	-23.13%
Vita Coco	11.50%	24.99%	17.84%

Insider and Institutional Ownership

53.2% of Zevia PBC shares are held by institutional investors. Comparatively, 88.5% of Vita Coco shares are held by institutional investors. 12.6% of Zevia PBC shares are held by insiders. Comparatively, 34.2% of Vita Coco shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Analyst Recommendations

This is a summary of current ratings and target prices for Zevia PBC and Vita Coco, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Zevia PBC	0	1	1	0	2.50
Vita Coco	0	3	4	0	2.57

Zevia PBC currently has a consensus target price of $4.3750, suggesting a potential upside of 35.24%. Vita Coco has a consensus target price of $38.2857, suggesting a potential upside of 13.10%. Given Zevia PBC’s higher possible upside, research analysts clearly believe Zevia PBC is more favorable than Vita Coco.

Valuation & Earnings

This table compares Zevia PBC and Vita Coco”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Zevia PBC	$155.05 million	1.55	-$20.00 million	($0.31)	-10.44
Vita Coco	$516.01 million	3.73	$55.95 million	$1.07	31.64

Vita Coco has higher revenue and earnings than Zevia PBC. Zevia PBC is trading at a lower price-to-earnings ratio than Vita Coco, indicating that it is currently the more affordable of the two stocks.

Summary

Vita Coco beats Zevia PBC on 12 of the 14 factors compared between the two stocks.

About Zevia PBC

Zevia PBC, a beverage company, develops, markets, sells, and distributes various carbonated beverages in the United States and Canada. It offers soda, energy drinks, organic tea, and kidz drinks. The company offers its products through a network of food, drug, warehouse club, mass, natural, convenience, and e-commerce channels, as well as grocery distributors and natural product stores and specialty outlets. It provides its products under the Zevia brand name. The company was founded in 2007 and is headquartered in Encino, California.

About Vita Coco

The Vita Coco Company, Inc. develops, markets, and distributes coconut water products under the Vita Coco brand name in the United States, Canada, Europe, the Middle East, Africa, and the Asia Pacific. The company offers coconut oil and coconut milk; juice; Runa, a plant-based energy drink; packaged water under the Ever & Ever brand name; and PWR LIFT, a protein-infused fitness drink. It also provides private label coconut water and oil to retailers. It distributes its products through club, food, drug, mass, convenience, e-commerce, and foodservice channels. The company was formerly known as All Market Inc. and changed its name to The Vita Coco Company, Inc. in September 2021.The Vita Coco Company, Inc. was incorporated in 2004 and is headquartered in New York, New York.