Analyzing Drinks Americas (OTCMKTS:DKAM) and Natural Grocers by Vitamin Cottage (NYSE:NGVC)

Drinks Americas (OTCMKTS:DKAM) and Natural Grocers by Vitamin Cottage (NYSE:NGVC) are both retail/wholesale companies, but which is the better business? We will compare the two companies based on the strength of their profitability, risk, institutional ownership, earnings, valuation, dividends and analyst recommendations.

Profitability

This table compares Drinks Americas and Natural Grocers by Vitamin Cottage’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Drinks Americas	N/A	N/A	N/A
Natural Grocers by Vitamin Cottage	3.31%	23.47%	6.63%

Analyst Ratings

This is a breakdown of recent ratings and target prices for Drinks Americas and Natural Grocers by Vitamin Cottage, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Drinks Americas	0	0	0	0	0.00
Natural Grocers by Vitamin Cottage	0	1	0	0	2.00

Given Drinks Americas’ higher probable upside, equities research analysts plainly believe Drinks Americas is more favorable than Natural Grocers by Vitamin Cottage.

Valuation and Earnings

This table compares Drinks Americas and Natural Grocers by Vitamin Cottage”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Drinks Americas	N/A	N/A	N/A	N/A	N/A
Natural Grocers by Vitamin Cottage	$1.24 billion	0.72	$33.94 million	$1.88	20.65

Natural Grocers by Vitamin Cottage has higher revenue and earnings than Drinks Americas.

Institutional and Insider Ownership

32.0% of Natural Grocers by Vitamin Cottage shares are owned by institutional investors. 58.8% of Natural Grocers by Vitamin Cottage shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Volatility and Risk

Drinks Americas has a beta of 1.25, suggesting that its stock price is 25% more volatile than the S&P 500. Comparatively, Natural Grocers by Vitamin Cottage has a beta of 1.56, suggesting that its stock price is 56% more volatile than the S&P 500.

Summary

Natural Grocers by Vitamin Cottage beats Drinks Americas on 8 of the 9 factors compared between the two stocks.

About Drinks Americas

Drinks Americas Holdings, Ltd. produces, imports, distributes, and markets premium wine and spirits, and alcoholic beverages to beverage wholesalers in the United States and internationally. The company offers premium authentic Mexican beer products under the brand names of Day of the Dead Beer, Mexicali, Rio Bravo, Red Pig, and Chili Beer. The company also markets and distributes non-alcoholic beverages. It offers its products through various retailers and restaurant chains. Drinks Americas Holdings, Ltd. was founded in 1986 and is based in Los Angeles, California.

About Natural Grocers by Vitamin Cottage

Natural Grocers by Vitamin Cottage, Inc., together with its subsidiaries, retails natural and organic groceries, and dietary supplements in the United States. The company’s stores offer natural and organic grocery products, such as organic produce; private label repackaged bulk products, including dried fruits, nuts, grains, granolas, teas, herbs, and spices, as well as peanut and almond butters; private label products comprising grocery staples, household products, bulk foods, and vitamins and dietary supplements, as well as organic eggs, organic flavored coffee, and organic mustard; dry, frozen, and canned groceries; meat and seafood products; dairy products, dairy substitutes, and eggs; prepared foods; bread and baked products; beverages; and beer, wine, and hard cider products. Its stores also provide name-brand supplements, as well as private label dietary supplements; body care products consisting of cosmetics, skin care, hair care, fragrance, and personal care products containing natural and organic ingredients; pet care and food products; books and handouts; household and general merchandise, including cleaning supplies, paper products, and dish and laundry soaps, as well as other common household products, such as diapers; and books and handouts. The company operates its retail stores under the Natural Grocers by Vitamin Cottage trademark, as well as Vitamin Cottage Natural Grocers and Health Hotline trademarks. The company also offers science-based nutrition education programs to help customers make informed health and nutrition choices. Natural Grocers by Vitamin Cottage, Inc. was founded in 1955 and is headquartered in Lakewood, Colorado.