CIMG (NASDAQ:IMG) vs. Ingredion (NYSE:INGR) Critical Survey

Ingredion (NYSE:INGR) and CIMG (NASDAQ:IMG) are both consumer staples companies, but which is the superior stock? We will contrast the two businesses based on the strength of their dividends, risk, institutional ownership, earnings, profitability, valuation and analyst recommendations.

Valuation & Earnings

This table compares Ingredion and CIMG”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Ingredion	$7.22 billion	0.85	$729.00 million	$10.38	9.40
CIMG	$10.30 million	0.21	-$4.88 million	($4.00)	-0.06

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

Profitability

This table compares Ingredion and CIMG’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Ingredion	9.36%	15.86%	8.66%
CIMG	N/A	-23.59%	-15.90%

Institutional and Insider Ownership

85.3% of Ingredion shares are owned by institutional investors. Comparatively, 23.4% of CIMG shares are owned by institutional investors. 1.6% of Ingredion shares are owned by company insiders. Comparatively, 0.1% of CIMG shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Analyst Ratings

This is a breakdown of current ratings and price targets for Ingredion and CIMG, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ingredion	1	7	1	0	2.00
CIMG	1	0	0	0	1.00

Ingredion presently has a consensus price target of $122.43, suggesting a potential upside of 25.48%. Given Ingredion’s stronger consensus rating and higher possible upside, analysts clearly believe Ingredion is more favorable than CIMG.

Volatility and Risk

Ingredion has a beta of 0.62, indicating that its stock price is 38% less volatile than the S&P 500. Comparatively, CIMG has a beta of 1.24, indicating that its stock price is 24% more volatile than the S&P 500.

Summary

Ingredion beats CIMG on 13 of the 14 factors compared between the two stocks.

About Ingredion

Ingredion Incorporated, together with its subsidiaries, manufactures and sells sweeteners, starches, nutrition ingredients, and biomaterial solutions derived from wet milling and processing corn, and other starch-based materials to a range of industries in North America, South America, the Asia Pacific, Europe, the Middle East, and Africa. The company offers starch products for use in a range of processed foods; cornstarch; specialty paper starches for enhanced drainage, fiber retention, oil and grease resistance, improved printability, and biochemical oxygen demand control; starches and specialty starches for textile industry; industrial starches are used in the production of construction materials, textiles, adhesives, pharmaceuticals, and cosmetics, as well as in mining and water filtration; and specialty industrial starches for use in biomaterial applications, including biodegradable plastics, fabric softeners and detergents, hair and skin care applications, dusting powders for surgical gloves, and in the production of glass fiber and insulation. It also provides sweetener products comprising glucose syrups, high maltose syrup, high fructose corn syrup, dextrose, polyols, maltodextrin, glucose syrup solids, and non-genetically modified organism syrups for applications in food and beverage products, such as baked goods, snack foods, canned fruits, condiments, candy and other sweets, dairy products, ice cream, jams and jellies, prepared mixes, table syrups, and beverages. In addition, the company sells refined corn oil, corn gluten feed, and corn gluten meal; and other products, including fruit and vegetable products, such as concentrates, purees, and essences, as well as pulse proteins and hydrocolloids systems and blends. The company was formerly known as Corn Products International, Inc. and changed its name to Ingredion Incorporated in June 2012. Ingredion Incorporated was founded in 1906 and is headquartered in Westchester, Illinois.

About CIMG

CIMG Inc. is a digital marketing, sales and distribution company for various consumer products with focuses on food and beverages. CIMG Inc., formerly known as NUZEE INC., is based in BEIJING.