Critical Review: Zevia PBC (NYSE:ZVIA) & Embotelladora Andina (NYSE:AKO.A)

Zevia PBC (NYSE:ZVIA) and Embotelladora Andina (NYSE:AKO.A) are both consumer staples companies, but which is the better investment? We will contrast the two businesses based on the strength of their institutional ownership, risk, valuation, analyst recommendations, dividends, earnings and profitability.

Profitability

This table compares Zevia PBC and Embotelladora Andina’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Zevia PBC	-4.11%	-13.43%	-7.88%
Embotelladora Andina	8.70%	24.47%	8.89%

Analyst Ratings

This is a summary of current ratings and recommmendations for Zevia PBC and Embotelladora Andina, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Zevia PBC	1	2	3	0	2.33
Embotelladora Andina	0	0	0	0	0.00

Zevia PBC currently has a consensus price target of $4.43, indicating a potential upside of 184.57%. Given Zevia PBC’s stronger consensus rating and higher possible upside, research analysts plainly believe Zevia PBC is more favorable than Embotelladora Andina.

Volatility & Risk

Zevia PBC has a beta of 0.95, suggesting that its stock price is 5% less volatile than the S&P 500. Comparatively, Embotelladora Andina has a beta of 0.44, suggesting that its stock price is 56% less volatile than the S&P 500.

Valuation and Earnings

This table compares Zevia PBC and Embotelladora Andina”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Zevia PBC	$161.26 million	0.74	-$9.92 million	($0.10)	-15.55
Embotelladora Andina	$3.52 billion	1.08	$295.57 million	$2.04	11.79

Embotelladora Andina has higher revenue and earnings than Zevia PBC. Zevia PBC is trading at a lower price-to-earnings ratio than Embotelladora Andina, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

53.2% of Zevia PBC shares are held by institutional investors. Comparatively, 0.1% of Embotelladora Andina shares are held by institutional investors. 11.1% of Zevia PBC shares are held by insiders. Comparatively, 0.0% of Embotelladora Andina shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Summary

Embotelladora Andina beats Zevia PBC on 8 of the 14 factors compared between the two stocks.

About Zevia PBC

Zevia PBC, a beverage company, develops, markets, sells, and distributes various carbonated beverages in the United States and Canada. It offers soda, energy drinks, organic tea, and kidz drinks. The company offers its products through a network of food, drug, warehouse club, mass, natural, convenience, and e-commerce channels, as well as grocery distributors and natural product stores and specialty outlets. It provides its products under the Zevia brand name. The company was founded in 2007 and is headquartered in Encino, California.

About Embotelladora Andina

Embotelladora Andina S.A., together with its subsidiaries, produces, markets, and distributes Coca-Cola soft drinks in Chile, Brazil, Argentina, and Paraguay. It also offers fruit-flavored beverages, juices, sports and energy drinks, ice tea, and bottled water. Embotelladora Andina S.A. was founded in 1946 and is headquartered in Santiago, Chile.