Alico (NASDAQ:ALCO) and Farmmi (NASDAQ:FAMI) Head to Head Review

Alico (NASDAQ:ALCO) and Farmmi (NASDAQ:FAMI) are both small-cap consumer staples companies, but which is the better business? We will contrast the two businesses based on the strength of their earnings, profitability, analyst recommendations, valuation, risk, dividends and institutional ownership.

Earnings & Valuation

This table compares Alico and Farmmi”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Alico	$44.07 million	7.18	-$147.33 million	($19.28)	-2.14
Farmmi	$64.13 million	0.03	-$4.66 million	N/A	N/A

Farmmi has higher revenue and earnings than Alico.

Profitability

This table compares Alico and Farmmi’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Alico	-334.35%	-78.98%	-45.51%
Farmmi	N/A	N/A	N/A

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Alico and Farmmi, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Alico	1	0	1	0	2.00
Farmmi	1	0	0	0	1.00

Alico currently has a consensus target price of $42.00, indicating a potential upside of 1.67%. Given Alico’s stronger consensus rating and higher probable upside, analysts clearly believe Alico is more favorable than Farmmi.

Risk & Volatility

Alico has a beta of 1.02, meaning that its share price is 2% more volatile than the S&P 500. Comparatively, Farmmi has a beta of 1.66, meaning that its share price is 66% more volatile than the S&P 500.

Institutional & Insider Ownership

62.3% of Alico shares are owned by institutional investors. Comparatively, 0.3% of Farmmi shares are owned by institutional investors. 6.7% of Alico shares are owned by company insiders. Comparatively, 1.7% of Farmmi shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

About Alico

Alico, Inc., together with its subsidiaries, operates as an agribusiness and land management company in the United States. The company operates in two segments, Alico Citrus, and Land Management and Other Operations. The Alico Citrus segment engages in planting, owning, cultivating, and/or managing citrus groves to produce fruit for sale to fresh and processed citrus markets, including activities related to the purchase and resale of fruit and value-added services, which include contracting for the harvesting, marketing, and hauling of citrus. The Land Management and Other Operations segment is involved in the activities related to native plant sales, grazing and hunting leasing, management, and/or conservation of unimproved native pastureland; and activities related to rock mining royalties and other insignificant lines of business, as well as in the activities related to owning and/or leasing improved farmland. The company was incorporated in 1960 and is based in Fort Myers, Florida.

About Farmmi

Farmmi, Inc., through its subsidiaries, engages in processing and sale of agricultural products in China, the United States, Japan, Canada, Europe, Korea, and the Middle East. The company offers Shiitake mushrooms, Mu Er mushrooms, and other edible fungi, such as bamboo fungi, agrocybe aegerila, pleurotus eryngii, grifola frondose, coprinus comatus, and hericium erinaceus, as well as dried edible fungi. It is also involved in trading of cotton, corn, and other agricultural products. The company's products are offered under Lishui Shangeng, Farmmi Liangpin, Forasen, and Puyangtang brands. It offers its products through local distributors to processing manufacturers, supermarkets, restaurants, cafeterias, and local specialty stores. The company was founded in 1994 and is headquartered in Lishui, China.