Head to Head Analysis: Big Tree Cloud (NASDAQ:DSY) versus Krispy Kreme (NASDAQ:DNUT)

Big Tree Cloud (NASDAQ:DSY) and Krispy Kreme (NASDAQ:DNUT) are both small-cap consumer staples companies, but which is the superior investment? We will contrast the two companies based on the strength of their dividends, analyst recommendations, valuation, profitability, institutional ownership, risk and earnings.

Insider & Institutional Ownership

60.2% of Big Tree Cloud shares are held by institutional investors. Comparatively, 81.7% of Krispy Kreme shares are held by institutional investors. 34.1% of Big Tree Cloud shares are held by insiders. Comparatively, 3.0% of Krispy Kreme shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Earnings and Valuation

This table compares Big Tree Cloud and Krispy Kreme”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Big Tree Cloud	$7.32 million	10.47	$640,000.00	N/A	N/A
Krispy Kreme	$1.67 billion	0.35	$3.10 million	($2.65)	-1.29

Krispy Kreme has higher revenue and earnings than Big Tree Cloud.

Risk and Volatility

Big Tree Cloud has a beta of 0.93, meaning that its share price is 7% less volatile than the S&P 500. Comparatively, Krispy Kreme has a beta of 1.34, meaning that its share price is 34% more volatile than the S&P 500.

Profitability

This table compares Big Tree Cloud and Krispy Kreme’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Big Tree Cloud	N/A	N/A	N/A
Krispy Kreme	-29.33%	-5.55%	-1.98%

Analyst Recommendations

This is a breakdown of current ratings for Big Tree Cloud and Krispy Kreme, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Big Tree Cloud	1	0	0	0	1.00
Krispy Kreme	3	5	3	0	2.00

Krispy Kreme has a consensus target price of $6.45, indicating a potential upside of 88.05%. Given Krispy Kreme’s stronger consensus rating and higher probable upside, analysts clearly believe Krispy Kreme is more favorable than Big Tree Cloud.

Summary

Krispy Kreme beats Big Tree Cloud on 7 of the 12 factors compared between the two stocks.

About Big Tree Cloud

Big Tree Cloud Holdings Limited manufactures and sells personal care products and other consumer goods. The company is based in Shenzhen, China. Big Tree Cloud Holdings Limited operates as a subsidiary of Ploutos Group Limited.

About Krispy Kreme

Krispy Kreme, Inc., together with its subsidiaries, produces doughnuts in the United States, the United Kingdom, Ireland, Australia, New Zealand, Mexico, Canada, Japan, and internationally. The company operates through three segments: U.S., International, and Market Development. The company offers doughnut experiences through hot light theater and fresh shops, delivered fresh daily branded cabinets and merchandising units within grocery and convenience stores, quick service restaurants, club memberships, drug stores, and ecommerce, as well as through its branded sweet treat line comprising Krispy Kreme branded sweet treats. It also provides cookies under the Insomnia Cookies brand, cookie cakes, ice cream, cookie-wiches, and brownies; and operates Krispy Kreme company-owned shops and franchise shops. The company was formerly known as Krispy Kreme Doughnuts, Inc. and changed its name to Krispy Kreme, Inc. in May 2021. Krispy Kreme, Inc. was founded in 1937 and is based in Charlotte, North Carolina.