Mama’s Creations (NASDAQ:MAMA – Get Free Report) and US Foods (NYSE:USFD – Get Free Report) 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, earnings, risk, profitability, valuation, analyst recommendations and dividends.
Analyst Recommendations
This is a breakdown of recent ratings for Mama’s Creations and US Foods, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Mama’s Creations | 0 | 1 | 5 | 0 | 2.83 |
| US Foods | 0 | 3 | 10 | 0 | 2.77 |
Mama’s Creations currently has a consensus price target of $18.80, indicating a potential upside of 26.94%. US Foods has a consensus price target of $106.75, indicating a potential upside of 32.77%. Given US Foods’ higher possible upside, analysts plainly believe US Foods is more favorable than Mama’s Creations.
Earnings & Valuation
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Mama’s Creations | $171.71 million | 3.51 | $5.29 million | $0.12 | 123.42 |
| US Foods | $39.42 billion | 0.45 | $676.00 million | $2.97 | 27.07 |
US Foods has higher revenue and earnings than Mama’s Creations. US Foods is trading at a lower price-to-earnings ratio than Mama’s Creations, indicating that it is currently the more affordable of the two stocks.
Risk and Volatility
Mama’s Creations has a beta of 0.64, meaning that its stock price is 36% less volatile than the S&P 500. Comparatively, US Foods has a beta of 0.9, meaning that its stock price is 10% less volatile than the S&P 500.
Insider and Institutional Ownership
45.2% of Mama’s Creations shares are held by institutional investors. Comparatively, 98.8% of US Foods shares are held by institutional investors. 6.5% of Mama’s Creations shares are held by insiders. Comparatively, 0.7% of US Foods shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.
Profitability
This table compares Mama’s Creations and US Foods’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Mama’s Creations | 3.06% | 15.31% | 8.85% |
| US Foods | 1.71% | 19.37% | 6.14% |
Summary
US Foods beats Mama’s Creations on 8 of the 14 factors compared between the two stocks.
About Mama’s Creations
Mama’s Creations, Inc. engages in the marketing, manufacturing, and distribution of beef meatballs with sauce, turkey meatballs with sauce, beef meat loaf, sausage and peppers, chicken parmesan, and other similar meats and sauces. Its products include beef meatballs, turkey meatballs, stuffed meatballs, lasagna roll ups, retail ready meals, bulk deli, single-size pasta bowls, and packaged refrigerated products. Its brands include MamaMancini’s, Creative Salads, and The Olive Branch. The company was founded by Daniel Dougherty on July 22, 2009 and is headquartered in East Rutherford, NJ.
About US Foods
US Foods Holding Corp., together with its subsidiaries, engages in marketing, sale, and distribution of fresh, frozen, and dry food and non-food products to foodservice customers in the United States. The company's customers include independently owned single and multi-unit restaurants, regional concepts, national restaurant chains, hospitals, nursing homes, hotels and motels, country clubs, government and military organizations, colleges and universities, and retail locations. The company was formerly known as USF Holding Corp. and changed its name to US Foods Holding Corp. in February 2016. US Foods Holding Corp. was incorporated in 2007 and is headquartered in Rosemont, Illinois.
Receive News & Ratings for Mama's Creations Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Mama's Creations and related companies with MarketBeat.com's FREE daily email newsletter.
