Freshpet (NASDAQ:FRPT) and Kerry Group (OTCMKTS:KRYAY) Financial Review

Kerry Group (OTCMKTS:KRYAY) and Freshpet (NASDAQ:FRPT) are both consumer staples companies, but which is the better business? We will contrast the two businesses based on the strength of their valuation, analyst recommendations, earnings, profitability, institutional ownership, dividends and risk.

Valuation & Earnings

This table compares Kerry Group and Freshpet”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Kerry Group	$7.64 billion	1.63	$745.03 million	N/A	N/A
Freshpet	$1.10 billion	2.52	$139.14 million	$2.57	22.02

Kerry Group has higher revenue and earnings than Freshpet.

Profitability

This table compares Kerry Group and Freshpet’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Kerry Group	N/A	N/A	N/A
Freshpet	12.63%	6.93%	4.64%

Volatility and Risk

Kerry Group has a beta of 0.63, suggesting that its share price is 37% less volatile than the S&P 500. Comparatively, Freshpet has a beta of 1.66, suggesting that its share price is 66% more volatile than the S&P 500.

Institutional & Insider Ownership

0.2% of Kerry Group shares are owned by institutional investors. 4.4% of Freshpet shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Analyst Recommendations

This is a summary of current recommendations and price targets for Kerry Group and Freshpet, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Kerry Group	0	1	3	0	2.75
Freshpet	1	8	9	0	2.44

Freshpet has a consensus price target of $76.00, indicating a potential upside of 34.28%. Given Freshpet’s higher probable upside, analysts clearly believe Freshpet is more favorable than Kerry Group.

Summary

Freshpet beats Kerry Group on 8 of the 12 factors compared between the two stocks.

About Kerry Group

Kerry Group plc, together with its subsidiaries, provides taste and nutrition solutions. The company operates in two segments, Taste & Nutrition, and Dairy Ireland. The Taste & Nutrition segment offers taste and nutrition solutions for the food, beverage, and pharmaceutical markets. The Dairy Ireland segment provides value-add dairy ingredients and consumer products, including functional proteins and nutritional bases. It operates in Ireland, rest of Europe, the Americas, the Asia Pacific, the Middle East, and Africa. Kerry Group plc was founded in 1972 and is headquartered in Tralee, Ireland.

About Freshpet

Freshpet, Inc., together with its subsidiaries, manufactures, distributes, and markets natural fresh meals and treats for dogs and cats in the United States, Canada, and Europe. It sells dog food, cat food, and dog treats under the Freshpet brand name; and Dognation and Dog Joy labels through various classes of retail, including grocery, mass, club, pet specialty, and natural, as well as online. The company was incorporated in 2004 and is headquartered in Secaucus, New Jersey.