Analyzing Reborn Coffee (NASDAQ:REBN) and Ahold (OTCMKTS:ADRNY)

Ahold (OTCMKTS:ADRNY) and Reborn Coffee (NASDAQ:REBN) 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, profitability, risk, earnings and valuation.

Risk & Volatility

Ahold has a beta of 0.5, suggesting that its share price is 50% less volatile than the S&P 500. Comparatively, Reborn Coffee has a beta of 2.13, suggesting that its share price is 113% more volatile than the S&P 500.

Insider & Institutional Ownership

0.2% of Ahold shares are owned by institutional investors. Comparatively, 1.8% of Reborn Coffee shares are owned by institutional investors. 24.0% of Reborn Coffee shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Profitability

This table compares Ahold and Reborn Coffee’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Ahold	2.45%	16.89%	4.90%
Reborn Coffee	-191.48%	-995.56%	-170.77%

Analyst Recommendations

This is a summary of recent ratings for Ahold and Reborn Coffee, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ahold	0	1	0	4	3.60
Reborn Coffee	1	0	0	0	1.00

Earnings and Valuation

This table compares Ahold and Reborn Coffee”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Ahold	$104.46 billion	0.40	$2.56 billion	€2.83	16.40
Reborn Coffee	$5.93 million	1.72	-$4.81 million	($2.56)	-0.67

Ahold has higher revenue and earnings than Reborn Coffee. Reborn Coffee is trading at a lower price-to-earnings ratio than Ahold, indicating that it is currently the more affordable of the two stocks.

Summary

Ahold beats Reborn Coffee on 9 of the 13 factors compared between the two stocks.

About Ahold

Koninklijke Ahold Delhaize N.V. operates retail food stores and e-commerce in the United States, Europe, and internationally. The company's stores offer produce, dairy, meat, deli, bakery, seafood, and frozen products; grocery, beer, and wine; floral, pet food, health and beauty care, kitchen and cookware, gardening tools, general merchandise articles, electronics, newspapers and magazines, tobacco, etc.; gasoline; and pharmacy products. It operates its supermarkets, convenience stores, and online stores under the Food Lion, Stop & Shop, The GIANT Company, Hannaford, Giant Food, FreshDirect, Albert Heijn, bol.com, Etos, Gall & Gall, Delhaize, Albert, Alfa Beta Vassilopoulos, Mega Image, Delhaize Serbia, Peapod Digital labs, and Retail Business Service brands. The company was formerly known as Koninklijke Ahold N.V. and changed its name to Koninklijke Ahold Delhaize N.V. in July 2016. Koninklijke Ahold Delhaize N.V. was founded in 1867 and is headquartered in Zaandam, the Netherlands.

About Reborn Coffee

Reborn Coffee, Inc., through its subsidiaries, operates and franchises retail locations, kiosks, and cafes that focus on serving specialty-roasted coffee in California. It purchases, roasts, and sells coffee, tea and other beverages, and various food items. It offers products in various form factors, such as whole bean roasted coffee bags, single-serve drip bags, and pour over packs. The company also offers its products online. Reborn Coffee, Inc. was founded in 2014 and is headquartered in Brea, California.