Critical Review: Synergy CHC (NASDAQ:SNYR) & Henkel AG & Co. (OTCMKTS:HENKY)

Henkel AG & Co. (OTCMKTS:HENKY) and Synergy CHC (NASDAQ:SNYR) are both consumer staples companies, but which is the better stock? We will contrast the two companies based on the strength of their institutional ownership, dividends, risk, analyst recommendations, profitability, valuation and earnings.

Profitability

This table compares Henkel AG & Co. and Synergy CHC’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Henkel AG & Co.	N/A	N/A	N/A
Synergy CHC	-42.59%	-19.51%	-5.29%

Institutional & Insider Ownership

0.0% of Henkel AG & Co. shares are owned by institutional investors. 56.6% of Synergy CHC shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Earnings & Valuation

This table compares Henkel AG & Co. and Synergy CHC”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Henkel AG & Co.	$23.18 billion	1.39	$2.30 billion	N/A	N/A
Synergy CHC	$30.38 million	0.22	-$12.34 million	($1.07)	-0.54

Henkel AG & Co. has higher revenue and earnings than Synergy CHC.

Analyst Recommendations

This is a breakdown of current ratings and recommmendations for Henkel AG & Co. and Synergy CHC, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Henkel AG & Co.	0	3	0	1	2.50
Synergy CHC	0	1	2	0	2.67

Synergy CHC has a consensus target price of $6.00, indicating a potential upside of 943.48%. Given Synergy CHC’s stronger consensus rating and higher possible upside, analysts plainly believe Synergy CHC is more favorable than Henkel AG & Co..

Risk and Volatility

Henkel AG & Co. has a beta of 0.62, suggesting that its share price is 38% less volatile than the S&P 500. Comparatively, Synergy CHC has a beta of 2.92, suggesting that its share price is 192% more volatile than the S&P 500.

Summary

Henkel AG & Co. beats Synergy CHC on 8 of the 13 factors compared between the two stocks.

About Henkel AG & Co.

Henkel AG & Co. KGaA, together with its subsidiaries, engages in the adhesive technologies and beauty care, and laundry and home care businesses worldwide. It operates in two segments, Adhesive Technologies and Consumer Brands segments. The company offers adhesives, sealants, and functional coatings for various business areas, including packaging and consumer goods; mobility and electronics; and craftsmen, construction, and professional industries. It also provides hair styling, hair coloring, and hair care products; and body products, as well as distributes its products through brick-and-mortar stores, hair salons, and digital channels. In addition, the company offers heavy-duty and specialty detergents, fabric softeners, laundry performance enhancers, and other fabric care products; hand and automatic dishwashing products; cleaners for bathroom and toilet applications; household, glass, and specialty cleaners; and insect control products. The company was founded in 1876 and is headquartered in Düsseldorf, Germany.

About Synergy CHC

Synergy CHC Corp. engages in the marketing and distribution of branded health and wellness products. The company was founded on December 29, 2010 and is headquartered in Westbrook, ME.