Critical Review: Heritage Distilling (IPST) vs. Its Competitors

Heritage Distilling (NASDAQ:IPST) is one of 30 public companies in the “BEVERAGES – ALCOH” industry, but how does it weigh in compared to its peers? We will compare Heritage Distilling to similar businesses based on the strength of its profitability, analyst recommendations, institutional ownership, earnings, dividends, valuation and risk.

Institutional & Insider Ownership

37.9% of shares of all “BEVERAGES – ALCOH” companies are held by institutional investors. 13.2% of Heritage Distilling shares are held by insiders. Comparatively, 18.9% of shares of all “BEVERAGES – ALCOH” companies 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.

Profitability

This table compares Heritage Distilling and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Heritage Distilling	2,132.99%	-13.65%	-10.11%
Heritage Distilling Competitors	157.96%	5.66%	2.77%

Valuation & Earnings

This table compares Heritage Distilling and its peers top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Heritage Distilling	$8.40 million	$710,000.00	-0.29
Heritage Distilling Competitors	$149.96 billion	$800.12 million	9.36

Heritage Distilling’s peers have higher revenue and earnings than Heritage Distilling. Heritage Distilling is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Analyst Ratings

This is a summary of current ratings and target prices for Heritage Distilling and its peers, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Heritage Distilling	1	0	0	0	1.00
Heritage Distilling Competitors	406	1549	1517	62	2.35

As a group, “BEVERAGES – ALCOH” companies have a potential upside of 30.93%. Given Heritage Distilling’s peers stronger consensus rating and higher probable upside, analysts plainly believe Heritage Distilling has less favorable growth aspects than its peers.

Summary

Heritage Distilling peers beat Heritage Distilling on 11 of the 12 factors compared.

About Heritage Distilling

Heritage Distilling Holding Company Inc. is a craft distiller of premium brands, including whiskeys, vodkas, gins, rums and ready-to-drink canned cocktails. Heritage Distilling Holding Company Inc. is based in GIG HARBOR, Wash.