Molson Coors Beverage (NYSE:TAP) & Spirits Capital (OTCMKTS:SSCC) Critical Survey

Spirits Capital (OTCMKTS:SSCC) and Molson Coors Beverage (NYSE:TAP) are both consumer staples companies, but which is the superior investment? We will contrast the two businesses based on the strength of their institutional ownership, dividends, profitability, risk, valuation, earnings and analyst recommendations.

Risk and Volatility

Spirits Capital has a beta of 0.12, meaning that its stock price is 88% less volatile than the S&P 500. Comparatively, Molson Coors Beverage has a beta of 0.45, meaning that its stock price is 55% less volatile than the S&P 500.

Earnings and Valuation

This table compares Spirits Capital and Molson Coors Beverage”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Spirits Capital	N/A	N/A	-$5.59 million	($0.07)	-31.71
Molson Coors Beverage	$13.73 billion	0.71	$1.12 billion	($10.68)	-4.62

Molson Coors Beverage has higher revenue and earnings than Spirits Capital. Spirits Capital is trading at a lower price-to-earnings ratio than Molson Coors Beverage, indicating that it is currently the more affordable of the two stocks.

Insider and Institutional Ownership

78.5% of Molson Coors Beverage shares are owned by institutional investors. 29.8% of Spirits Capital shares are owned by company insiders. Comparatively, 2.7% of Molson Coors Beverage shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a summary of recent ratings for Spirits Capital and Molson Coors Beverage, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Spirits Capital	0	0	0	0	0.00
Molson Coors Beverage	4	10	5	0	2.05

Molson Coors Beverage has a consensus price target of $53.18, indicating a potential upside of 7.80%. Given Molson Coors Beverage’s stronger consensus rating and higher possible upside, analysts clearly believe Molson Coors Beverage is more favorable than Spirits Capital.

Profitability

This table compares Spirits Capital and Molson Coors Beverage’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Spirits Capital	N/A	N/A	N/A
Molson Coors Beverage	-15.89%	8.78%	4.38%

Summary

Molson Coors Beverage beats Spirits Capital on 10 of the 13 factors compared between the two stocks.

About Spirits Capital

Spirits Cap Corp. operates a financial technology platform. Its platform provides secured purchase of American whiskey while maturing. The company was incorporated in 1995 and is based in Newport Beach, California.

About Molson Coors Beverage

Molson Coors Beverage Company manufactures, markets, and sells beer and other malt beverage products under various brands in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. The company offers flavored malt beverages including hard seltzers, craft, spirits and energy, and ready to drink beverages. It provides its products under Aspall Cider, Blue Moon, Coors Original, Five Trail, Hop Valley brands, Leinenkugel’s, Madri, Miller Genuine Draft, Molson Ultra, Sharp’s, Staropramen, and Vizzy Hard Seltzer above premier brands; Bergenbier, Borsodi, Carling, Coors Banquet, Coors Light, Jelen, Kamenitza, Miller Lite, Molson Canadian, and Niksicko, Ozujsko under the premium brands; and Branik, Icehouse, Keystone, Miller High Life, Milwaukee’s Best, and Steel Reserve under the economy brands. The company was formerly known as Molson Coors Brewing Company and changed its name to Molson Coors Beverage Company in January 2020. Molson Coors Beverage Company was founded in 1774 and is based in Golden, Colorado.