Contrasting SunOpta (NASDAQ:STKL) and Post (NYSE:POST)

SunOpta (NASDAQ:STKL) and Post (NYSE:POST) are both consumer staples companies, but which is the better stock? We will compare the two companies based on the strength of their risk, dividends, institutional ownership, earnings, analyst recommendations, profitability and valuation.

Risk and Volatility

SunOpta has a beta of 1.03, meaning that its stock price is 3% more volatile than the S&P 500. Comparatively, Post has a beta of 0.44, meaning that its stock price is 56% less volatile than the S&P 500.

Valuation and Earnings

This table compares SunOpta and Post”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SunOpta	$817.72 million	0.96	$15.77 million	$0.13	49.85
Post	$8.36 billion	0.58	$335.70 million	$5.41	18.69

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

Analyst Ratings

This is a summary of current ratings for SunOpta and Post, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SunOpta	1	2	2	0	2.20
Post	0	3	5	0	2.63

SunOpta currently has a consensus price target of $8.00, indicating a potential upside of 23.46%. Post has a consensus price target of $128.00, indicating a potential upside of 26.62%. Given Post’s stronger consensus rating and higher probable upside, analysts plainly believe Post is more favorable than SunOpta.

Profitability

This table compares SunOpta and Post’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SunOpta	1.93%	13.31%	3.10%
Post	3.82%	12.37%	3.54%

Institutional & Insider Ownership

85.4% of SunOpta shares are owned by institutional investors. Comparatively, 94.8% of Post shares are owned by institutional investors. 1.9% of SunOpta shares are owned by insiders. Comparatively, 14.1% of Post shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Summary

Post beats SunOpta on 10 of the 14 factors compared between the two stocks.

About SunOpta

SunOpta Inc. engages in manufacture and sale of plant-based and fruit-based food and beverage products in the United States, Canada, and internationally. The company provides plant-based beverages utilizing oat, almond, soy, coconut, rice, hemp, and other bases under the Dream and West Life brands; oat-based creamers under the SOWN brand; ready-to-drink protein shakes; and nut, grain, seed, and legume based beverages; packaged teas and concentrates; and meat and vegetable broths and stocks. It also offers plant-based ingredients, such as oatbase, oatgold, soybase, hempbase, and soypowders and okara; ready-to-eat fruit snacks made from apple purée and juice concentrate in bar, bit, twist, strip and sandwich formats; cold pressed fruit bars; liquid and powder ingredients utilizing oat, soy and hemp bases; ready-to-eat fruit smoothie and chia bowls topped with frozen fruit; consumer products, which includes protein shakes, teas, broths, and fruit snacks; and liquid and dry ingredients for internal use and for sale to other food and beverage manufacturers. It sells its products through various distribution channels including private label products to retail customers; branded products under co-manufacturing agreements to other branded food companies for their distribution; and its own branded products to retail and foodservice customers. The company was formerly known as Stake Technology Ltd. and changed its name to SunOpta Inc. in October 2003. SunOpta Inc. was incorporated in 1973 and is headquartered in Eden Prairie, Minnesota.

About Post

Post Holdings, Inc. operates as a consumer packaged goods holding company in the United States and internationally. It operates through four segments: Post Consumer Brands, Weetabix, Foodservice, and Refrigerated Retail. The Post Consumer Brands segment manufactures, markets, and sells branded and private label ready-to-eat (RTE) cereals under Honey Bunches of Oats, Pebbles, and Malt-O-Meal brand names; hot cereal; peanut butter under the Peter Pan brand; and branded and private label dog and cat food products under Rachael Ray Nutrish, Nature's Recipe, 9Lives, Kibbles 'n Bits and Gravy Train brand names. The Weetabix segment primarily manufactures, markets, and distributes branded and private label RTE cereal under Weetabix and Alpen brands; hot cereals and other cereal-based food products; breakfast drinks; protein-based shakes under the UFIT brand, and nutritional snacks, such as muesli. The Foodservice segment produces and distributes egg products primarily under Papetti's and Abbotsford Farms brands, as well as potato products in the foodservice and food ingredient channels. The segment also manufactures certain meat products. The Refrigerated Retail segment produces and distributes side dish, potato, sausage products under Bob Evans, Bob Evans Farms, and Simply Potatoes brands; eggs and egg products under Bob Evans Egg Whites and Egg Beaters brands; and cheese, and other dairy and refrigerated products under Crystal Farms brand. It serves grocery stores, mass merchandise customers, supercenters, club stores, natural/specialty stores, dollar stores, discounters, wholesalers, convenience stores, pet supply retailers, drug store customers, foodservice distributors, and national restaurant chains, as well as sells its products in the military, ecommerce, and foodservice channels. The company was founded in 1895 and is headquartered in Saint Louis, Missouri.