Head-To-Head Analysis: Advantage Solutions (NASDAQ:ADV) and Kaya (OTCMKTS:KAYS)

Kaya (OTCMKTS:KAYS) and Advantage Solutions (NASDAQ:ADV) are both small-cap consumer discretionary companies, but which is the better investment? We will contrast the two businesses based on the strength of their earnings, institutional ownership, valuation, risk, dividends, profitability and analyst recommendations.

Institutional & Insider Ownership

49.8% of Advantage Solutions shares are owned by institutional investors. 23.5% of Kaya shares are owned by company insiders. Comparatively, 9.4% of Advantage Solutions shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Kaya and Advantage Solutions, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Kaya	0	0	0	0	0.00
Advantage Solutions	2	1	1	0	1.75

Advantage Solutions has a consensus price target of $1.13, suggesting a potential upside of 24.58%. Given Advantage Solutions’ stronger consensus rating and higher probable upside, analysts clearly believe Advantage Solutions is more favorable than Kaya.

Risk & Volatility

Kaya has a beta of 0.44, meaning that its stock price is 56% less volatile than the S&P 500. Comparatively, Advantage Solutions has a beta of 2.28, meaning that its stock price is 128% more volatile than the S&P 500.

Valuation & Earnings

This table compares Kaya and Advantage Solutions”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Kaya	$10,000.00	150.48	-$2.08 million	($0.16)	-0.23
Advantage Solutions	$3.54 billion	0.08	-$227.74 million	($0.70)	-1.29

Kaya has higher earnings, but lower revenue than Advantage Solutions. Advantage Solutions is trading at a lower price-to-earnings ratio than Kaya, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Kaya and Advantage Solutions’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Kaya	-44,929.98%	N/A	-5,461.05%
Advantage Solutions	-6.43%	-34.48%	-7.70%

Summary

Advantage Solutions beats Kaya on 8 of the 14 factors compared between the two stocks.

About Kaya

Kaya Holdings, Inc., a vertically integrated legal cannabis enterprise, engages in the operation of psychedelic treatment clinics and medical cannabis dispensaries primarily in the United States. It offers a range of cannabis products, including flower, oils, vape cartridges and cannabis infused confections, baked goods, and beverages. The company also operates retail outlets under the Kaya Shack brand name, as well as offers strain specific cannabis cigarettes under the Kaya Buddies name, and strains of cannabis under the Kaya Farms name. In addition, it is involved in the development of a psychedelic treatment center under The Sacred Mushroom name, that provides its guests access to psilocybin treatments, located in Portland, Oregon. The company was formerly known as Alternative Fuels America, Inc. and changed its name to Kaya Holdings, Inc. in April 2015. Kaya Holdings, Inc. is headquartered in Fort Lauderdale, Florida.

About Advantage Solutions

Advantage Solutions Inc. provides business solutions to consumer goods manufacturers and retailers in North America and internationally. It operates in two segments, Sales and Marketing. The Sales segment offers brand-centric services, such as headquarter relationship management; analytics, insights, and intelligence; and brand-centric merchandising services. This segment also provides retailer-centric services comprising retailer-centric merchandising and in-store media services. The Marketing segment offers brand-centric services, including shopper and consumer marketing, and brand experiential services; retailer-centric services, such as retail experiential and private label services; and digital marketing, and digital media and advertising services. The company was formerly known as Karman Holding Corp. and changed its name to Advantage Solutions Inc. in March 2016. The company was founded in 1987 and is headquartered in Irvine, California.