Celsius (NASDAQ:CELH) and Seneca Foods (NASDAQ:SENEA) Critical Analysis

Seneca Foods (NASDAQ:SENEA) and Celsius (NASDAQ:CELH) are both consumer staples companies, but which is the superior investment? We will compare the two companies based on the strength of their dividends, risk, profitability, earnings, analyst recommendations, institutional ownership and valuation.

Valuation and Earnings

This table compares Seneca Foods and Celsius”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Seneca Foods	$1.58 billion	0.51	$41.22 million	$8.62	13.76
Celsius	$1.36 billion	10.78	$145.07 million	$0.10	566.90

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

Insider & Institutional Ownership

42.5% of Seneca Foods shares are held by institutional investors. Comparatively, 61.0% of Celsius shares are held by institutional investors. 8.4% of Seneca Foods shares are held by company insiders. Comparatively, 2.2% of Celsius shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of current ratings and price targets for Seneca Foods and Celsius, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Seneca Foods	0	0	1	0	3.00
Celsius	2	3	20	0	2.72

Celsius has a consensus target price of $64.16, suggesting a potential upside of 13.17%. Given Celsius’ higher possible upside, analysts clearly believe Celsius is more favorable than Seneca Foods.

Risk and Volatility

Seneca Foods has a beta of 0.13, suggesting that its share price is 87% less volatile than the S&P 500. Comparatively, Celsius has a beta of 0.89, suggesting that its share price is 11% less volatile than the S&P 500.

Profitability

This table compares Seneca Foods and Celsius’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Seneca Foods	3.73%	9.68%	5.03%
Celsius	3.03%	41.88%	10.94%

Summary

Celsius beats Seneca Foods on 9 of the 14 factors compared between the two stocks.

About Seneca Foods

Seneca Foods Corporation provides packaged fruits and vegetables in the United States and internationally. The company offers canned, frozen, and jarred produce; jarred fruit; and snack chips and other food products under the private label, as well as under various national and regional brands that the company owns or licenses, including Seneca, Libby’s, Aunt Nellie’s, Cherryman, Green Valley, and READ. In addition, it packs canned and frozen vegetables under contract packing agreements. Further, the company engages in the sale of cans, ends, and seeds, as well as trucking and aircraft operations. It provides its products to grocery outlets, including supermarkets, mass merchandisers, limited assortment stores, club stores, and dollar stores; specialty retailers; and food service distributors, restaurant chains, industrial markets, other food packagers, and export customers in approximately 55 countries, as well as federal, state, and local governments for school and other feeding programs. Seneca Foods Corporation was incorporated in 1949 and is headquartered in Fairport, New York.

About Celsius

Celsius Holdings, Inc. develops, processes, markets, distributes, and sells functional energy drinks and liquid supplements in the United States, Australia, New Zealand, Canadian, European, Middle Eastern, Asia-Pacific, and internationally. The company offers CELSIUS, a fitness drink or supplement designed to accelerate metabolism and burn body fat; various flavors and carbonated and non-carbonated functional energy drinks under the CELSIUS Originals and Vibe name, as well as functional energy drink under the CELSIUS Essentials and CELSIUS On-the-Go Powder names; and CELSIUS ready-to drink products. It distributes its products through direct-to-store delivery, distributors, supermarkets, convenience stores, drug stores, nutritional stores, and mass merchants, as well as health clubs, gyms, the military, and e-commerce websites. The company was formerly known as Vector Ventures, Inc. and changed its name to Celsius Holdings, Inc. in January 2007. Celsius Holdings, Inc. was founded in 2004 and is headquartered in Boca Raton, Florida.