Reviewing PepsiCo (NASDAQ:PEP) and Jammin Java (OTCMKTS:JAMN)

PepsiCo (NASDAQ:PEP) and Jammin Java (OTCMKTS:JAMN) are both consumer staples companies, but which is the better business? We will compare the two companies based on the strength of their risk, analyst recommendations, institutional ownership, earnings, valuation, dividends and profitability.

Valuation & Earnings

This table compares PepsiCo and Jammin Java”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
PepsiCo	$91.85 billion	2.08	$9.58 billion	$5.26	26.60
Jammin Java	N/A	N/A	-$230,000.00	N/A	N/A

PepsiCo has higher revenue and earnings than Jammin Java.

Profitability

This table compares PepsiCo and Jammin Java’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
PepsiCo	7.82%	57.58%	10.43%
Jammin Java	N/A	N/A	N/A

Risk and Volatility

PepsiCo has a beta of 0.42, meaning that its stock price is 58% less volatile than the S&P 500. Comparatively, Jammin Java has a beta of 1.21, meaning that its stock price is 21% more volatile than the S&P 500.

Insider and Institutional Ownership

73.1% of PepsiCo shares are held by institutional investors. 0.1% of PepsiCo shares are held by company insiders. Comparatively, 18.2% of Jammin Java shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of recent ratings and target prices for PepsiCo and Jammin Java, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
PepsiCo	1	12	8	0	2.33
Jammin Java	0	0	0	0	0.00

PepsiCo presently has a consensus target price of $158.68, indicating a potential upside of 13.42%. Given PepsiCo’s stronger consensus rating and higher probable upside, equities analysts plainly believe PepsiCo is more favorable than Jammin Java.

Summary

PepsiCo beats Jammin Java on 9 of the 11 factors compared between the two stocks.

About PepsiCo

PepsiCo, Inc. engages in the manufacture, marketing, distribution, and sale of various beverages and convenient foods worldwide. The company operates through seven segments: Frito-Lay North America; Quaker Foods North America; PepsiCo Beverages North America; Latin America; Europe; Africa, Middle East and South Asia; and Asia Pacific, Australia and New Zealand and China Region. It provides dips, cheese-flavored snacks, and spreads, as well as corn, potato, and tortilla chips; cereals, rice, pasta, mixes and syrups, granola bars, grits, oatmeal, rice cakes, and side dishes; beverage concentrates, fountain syrups, and finished goods; ready-to-drink tea, coffee, and juices; dairy products; and sparkling water makers and related products, as well as distributes alcoholic beverages under Hard MTN Dew brand. The company offers its products primarily under the Lay’s, Doritos, Fritos, Tostitos, BaiCaoWei, Cheetos, Cap’n Crunch, Life, Pearl Milling Company, Gatorade, Pepsi-Cola, Mountain Dew, Quaker, Rice-A-Roni, Aquafina, Bubly, Emperador, Diet Mountain Dew, Diet Pepsi, Gatorade Zero, Crush, Propel, Dr Pepper, Schweppes, Marias Gamesa, Ruffles, Sabritas, Saladitas, Tostitos, 7UP, Diet 7UP, H2oh!, Manzanita Sol, Mirinda, Pepsi Black, Pepsi Max, San Carlos, Toddy, Walkers, Chipsy, Kurkure, Sasko, Spekko, White Star, Smith’s, Sting, SodaStream, Lubimyj Sad, Agusha, Chudo, Domik v Derevne, Lipton, and other brands. It serves wholesale and other distributors, foodservice customers, grocery stores, drug stores, convenience stores, discount/dollar stores, mass merchandisers, membership stores, hard discounters, e-commerce retailers and authorized independent bottlers, and others through a network of direct-store-delivery, customer warehouse, and distributor networks, as well as directly to consumers through e-commerce platforms and retailers. The company was founded in 1898 and is based in Purchase, New York.

About Jammin Java

Jammin Java Corp. produces and sells roasted coffee under the Marley Coffee brand name in the United States and internationally. It distributes roasted coffee to grocery, retail, online, service, hospitality, office coffee service, and big box store industries. The company was formerly known as Marley Coffee Inc. and changed its name to Jammin Java Corp. in July 2009. Jammin Java Corp. was founded in 2004 and is headquartered in Denver, Colorado.