Critical Contrast: Big Tree Cloud (NASDAQ:DSY) and Colgate-Palmolive (NYSE:CL)

Big Tree Cloud (NASDAQ:DSY) and Colgate-Palmolive (NYSE:CL) are both consumer staples companies, but which is the superior business? We will contrast the two businesses based on the strength of their risk, valuation, dividends, profitability, institutional ownership, earnings and analyst recommendations.

Earnings & Valuation

This table compares Big Tree Cloud and Colgate-Palmolive”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Big Tree Cloud	$2.56 million	7.54	-$32.53 million	N/A	N/A
Colgate-Palmolive	$20.38 billion	3.78	$2.13 billion	$2.62	36.48

Colgate-Palmolive has higher revenue and earnings than Big Tree Cloud.

Insider & Institutional Ownership

60.2% of Big Tree Cloud shares are held by institutional investors. Comparatively, 80.4% of Colgate-Palmolive shares are held by institutional investors. 34.1% of Big Tree Cloud shares are held by company insiders. Comparatively, 0.4% of Colgate-Palmolive shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of recent recommendations and price targets for Big Tree Cloud and Colgate-Palmolive, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Big Tree Cloud	1	0	0	0	1.00
Colgate-Palmolive	0	6	11	0	2.65

Colgate-Palmolive has a consensus price target of $94.38, suggesting a potential downside of 1.25%. Given Colgate-Palmolive’s stronger consensus rating and higher possible upside, analysts clearly believe Colgate-Palmolive is more favorable than Big Tree Cloud.

Volatility and Risk

Big Tree Cloud has a beta of 1.14, suggesting that its stock price is 14% more volatile than the S&P 500. Comparatively, Colgate-Palmolive has a beta of 0.29, suggesting that its stock price is 71% less volatile than the S&P 500.

Profitability

This table compares Big Tree Cloud and Colgate-Palmolive’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Big Tree Cloud	N/A	N/A	N/A
Colgate-Palmolive	10.45%	353.72%	17.63%

Summary

Colgate-Palmolive beats Big Tree Cloud on 9 of the 12 factors compared between the two stocks.

About Big Tree Cloud

Big Tree Cloud Holdings Limited manufactures and sells personal care products and other consumer goods. The company is based in Shenzhen, China. Big Tree Cloud Holdings Limited operates as a subsidiary of Ploutos Group Limited.

About Colgate-Palmolive

Colgate-Palmolive Company, together with its subsidiaries, manufactures and sells consumer products in the United States and internationally. It operates through two segments: Oral, Personal and Home Care; and Pet Nutrition. The Oral, Personal and Home Care segment offers toothpaste, toothbrushes, mouthwash, bar and liquid hand soaps, shower gels, shampoos, conditioners, deodorants and antiperspirants, skin health products, dishwashing detergents, fabric conditioners, household cleaners, and other related items. This segment markets and sells its products under various brands, which include Colgate, Darlie, elmex, hello, meridol, Sorriso, Tom's of Maine, Irish Spring, Palmolive, Protex, Sanex, Softsoap, Lady Speed Stick, Speed Stick, EltaMD, Filorga, PCA SKIN, Ajax, Axion, Fabuloso, Murphy, Suavitel, and Soupline to a range of traditional and eCommerce retailers, wholesalers, and distributors. It includes pharmaceutical products for dentists and other oral health professionals. Its Pet Nutrition segment offers pet nutrition products for everyday nutritional needs under the Hill's Science Diet brand; and a range of therapeutic pet products to help nutritionally support dogs and cats in different stages of health under the Hill's Prescription Diet brand. This segment markets and sells its products through pet supply retailers, veterinarians, and eCommerce retailers. Colgate-Palmolive Company was founded in 1806 and is headquartered in New York, New York.