Critical Comparison: Spirits Capital (OTCMKTS:SSCC) versus Anheuser-Busch InBev SA/NV (NYSE:BUD)

Spirits Capital (OTCMKTS:SSCC) and Anheuser-Busch InBev SA/NV (NYSE:BUD) are both consumer staples companies, but which is the superior investment? We will contrast the two businesses based on the strength of their institutional ownership, dividends, analyst recommendations, earnings, risk, profitability and valuation.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Spirits Capital and Anheuser-Busch InBev SA/NV, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Spirits Capital	0	0	0	0	0.00
Anheuser-Busch InBev SA/NV	0	3	10	1	2.86

Anheuser-Busch InBev SA/NV has a consensus target price of $71.00, indicating a potential upside of 15.84%. Given Anheuser-Busch InBev SA/NV’s stronger consensus rating and higher possible upside, analysts plainly believe Anheuser-Busch InBev SA/NV is more favorable than Spirits Capital.

Profitability

This table compares Spirits Capital and Anheuser-Busch InBev SA/NV’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Spirits Capital	N/A	N/A	N/A
Anheuser-Busch InBev SA/NV	12.16%	16.21%	6.99%

Institutional and Insider Ownership

5.5% of Anheuser-Busch InBev SA/NV shares are owned by institutional investors. 29.8% of Spirits Capital shares are owned by company insiders. Comparatively, 4.5% of Anheuser-Busch InBev SA/NV 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.

Valuation & Earnings

This table compares Spirits Capital and Anheuser-Busch InBev SA/NV”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Spirits Capital	N/A	N/A	-$5.59 million	($0.07)	-31.71
Anheuser-Busch InBev SA/NV	$59.77 billion	2.00	$5.86 billion	$3.56	17.22

Anheuser-Busch InBev SA/NV has higher revenue and earnings than Spirits Capital. Spirits Capital is trading at a lower price-to-earnings ratio than Anheuser-Busch InBev SA/NV, indicating that it is currently the more affordable of the two stocks.

Risk and Volatility

Spirits Capital has a beta of 0.25, meaning that its stock price is 75% less volatile than the S&P 500. Comparatively, Anheuser-Busch InBev SA/NV has a beta of 0.76, meaning that its stock price is 24% less volatile than the S&P 500.

Summary

Anheuser-Busch InBev SA/NV beats Spirits Capital on 13 of the 14 factors compared between the two stocks.

About Spirits Capital

Spirits Cap Corp. operates a financial technology platform. Its platform provides secured purchase of American whiskey while maturing. The company was incorporated in 1995 and is based in Newport Beach, California.

About Anheuser-Busch InBev SA/NV

Anheuser-Busch InBev SA/NV produces, distributes, exports, markets, and sells beer and beverages. It offers a portfolio of approximately 500 beer brands, which primarily include Budweiser, Corona, and Stella Artois; Beck's, Hoegaarden, Leffe, and Michelob Ultra; and Aguila, Antarctica, Bud Light, Brahma, Cass, Castle, Castle Lite, Cristal, Harbin, Jupiler, Modelo Especial, Quilmes, Victoria, Sedrin, and Skol brands. The company operates in North America, Middle America, South America, Europe, the Middle East, Africa, and the Asia Pacific. The company was founded in 1366 and is headquartered in Leuven, Belgium.