Head-To-Head Review: Tofutti Brands (OTCMKTS:TOFB) vs. Danone (OTCMKTS:DANOY)

Tofutti Brands (OTCMKTS:TOFB) and Danone (OTCMKTS:DANOY) are both consumer staples companies, but which is the better investment? We will compare the two companies based on the strength of their institutional ownership, earnings, analyst recommendations, dividends, profitability, risk and valuation.

Earnings and Valuation

This table compares Tofutti Brands and Danone”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Tofutti Brands	$7.78 million	0.42	-$780,000.00	($0.17)	-3.76
Danone	$30.86 billion	1.64	$2.06 billion	N/A	N/A

Danone has higher revenue and earnings than Tofutti Brands.

Profitability

This table compares Tofutti Brands and Danone’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Tofutti Brands	-11.25%	-36.07%	-24.39%
Danone	N/A	N/A	N/A

Risk and Volatility

Tofutti Brands has a beta of 0.78, suggesting that its stock price is 22% less volatile than the S&P 500. Comparatively, Danone has a beta of 0.21, suggesting that its stock price is 79% less volatile than the S&P 500.

Institutional & Insider Ownership

5.1% of Tofutti Brands shares are held by institutional investors. Comparatively, 0.1% of Danone shares are held by institutional investors. 9.3% of Tofutti Brands shares are held by insiders. Comparatively, 1.0% of Danone shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Analyst Recommendations

This is a summary of recent ratings and price targets for Tofutti Brands and Danone, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Tofutti Brands	0	0	0	0	0.00
Danone	1	2	2	1	2.50

Summary

Danone beats Tofutti Brands on 9 of the 12 factors compared between the two stocks.

About Tofutti Brands

Tofutti Brands Inc. engages in the development, production, and marketing of plant based, dairy free vegan frozen desserts, cheeses, and other food products under the TOFUTTI brand in the United States, Europe, the Middle East, the Asia Pacific, and Africa. The company offers frozen desserts, including frozen sandwiches and chocolate wafers; ice cream sandwiches; dairy free vegan cheese products, such as cream cheese, sour cream, cheese slices, and dairy free ricotta cheese alternatives; spreads; and frozen food products. It sells its products through independent unaffiliated food brokers to distributors, as well as on a direct basis to retail chain accounts or to warehouse accounts that directly service chain accounts. Tofutti Brands, Inc. was founded in 1981 and is based in Cranford, New Jersey.

About Danone

Danone S.A. operates in the food and beverage industry in Europe, Ukraine, North America, China, North Asia, the Oceania, Latin America, rest of Asia, Africa, Turkey, the Middle East, and the Commonwealth of Independent States. The company operates through Essential Dairy & Plant-Based, Specialized Nutrition, and Waters segments. It produces and distributes yogurts, dairy products, coffee creamers and drinks, beverages, plant-based products, ice creams, frozen desserts, and cheese products under the Actimel, Activia, Alpro, Aptamil, Danette, Danio, Danonino, evian, Nutricia, Nutrilon, Volvic, Danone, Light & Fit, Oikos, YoPRO, International Delight, SToK, Silk, Follow Your Heart, and So Delicious. The company also provides specialized nutrition, including formulas and complementary feeding for babies and young children; and special medical purposes food for children and adults under the Aptamil, Nutrilon, Gallia, Cow & Gate, Bebelac, and Blédina brands. In addition, it offers tube feeding products under the Nutrison name; and oral nutritional supplements under the Fortimel and NutriDrink names. Further, the company provides mineral waters from natural sources, waters infused with natural fruit extracts, fruit juices, and vitamins under the evian, Volvic, AQUA, Mizone, Bonafont, Salus, Hayat, Sirma, Font Vella, Lanjarón, and Zywiec Zdroj brands. It distributes its products through retail chains and traditional market outlets; convenience stores; hotels, restaurants, and coffee outlets; hospitals, clinics, and pharmacies; and e-commerce channels. The company was formerly known as Groupe Danone and changed its name to Danone S.A. in April 2009. Danone S.A. was incorporated in 1899 and is headquartered in Paris, France.