Mission Produce (NASDAQ:AVO) and Scheid Vineyards (OTCMKTS:SVIN) Critical Review

Mission Produce (NASDAQ:AVO) and Scheid Vineyards (OTCMKTS:SVIN) are both consumer staples companies, but which is the better business? We will contrast the two businesses based on the strength of their analyst recommendations, earnings, dividends, valuation, institutional ownership, profitability and risk.

Earnings and Valuation

This table compares Mission Produce and Scheid Vineyards”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Mission Produce	$1.39 billion	0.67	$36.70 million	$0.52	25.38
Scheid Vineyards	$58.41 million	N/A	-$17.80 million	($27.83)	-0.06

Mission Produce has higher revenue and earnings than Scheid Vineyards. Scheid Vineyards is trading at a lower price-to-earnings ratio than Mission Produce, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Mission Produce and Scheid Vineyards’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Mission Produce	2.71%	8.29%	4.87%
Scheid Vineyards	-45.56%	N/A	N/A

Institutional and Insider Ownership

63.6% of Mission Produce shares are owned by institutional investors. 35.4% of Mission Produce shares are owned by company insiders. Comparatively, 9.6% of Scheid Vineyards shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Analyst Ratings

This is a summary of current ratings for Mission Produce and Scheid Vineyards, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Mission Produce	0	2	2	0	2.50
Scheid Vineyards	0	0	0	0	0.00

Mission Produce currently has a consensus price target of $17.00, indicating a potential upside of 28.79%. Given Mission Produce’s stronger consensus rating and higher probable upside, equities research analysts plainly believe Mission Produce is more favorable than Scheid Vineyards.

Risk & Volatility

Mission Produce has a beta of 0.58, suggesting that its stock price is 42% less volatile than the S&P 500. Comparatively, Scheid Vineyards has a beta of -0.34, suggesting that its stock price is 134% less volatile than the S&P 500.

Summary

Mission Produce beats Scheid Vineyards on 13 of the 13 factors compared between the two stocks.

About Mission Produce

Mission Produce, Inc. engages in the sourcing, farming, packaging, marketing, and distribution of avocados, mangoes, and blueberries to food retailers, distributors, and foodservice customers in the United States and internationally. The company operates through three segments, Marketing and Distribution; International Farming; and Blueberries. It also provides ripening, bagging, custom packing, logistical management, and quality assurance services. In addition, the company offers merchandising and promotional support, and insights on market trends, and training services. Mission Produce, Inc. was founded in 1983 and is headquartered in Oxnard, California.

About Scheid Vineyards

Scheid Vineyards Inc. manufactures and sells wine in the United States. The company operates vineyards in Monterey and San Benito counties of California. It offers red, white, reserve, dessert wines, as well as accessories, such as wine glass. The company was incorporated in 1971 and is based in Salinas, California.