Head to Head Survey: Davis Commodities (NASDAQ:DTCK) versus S&W Seed (NASDAQ:SANW)

S&W Seed (NASDAQ:SANW) and Davis Commodities (NASDAQ:DTCK) are both small-cap consumer staples companies, but which is the superior investment? We will compare the two businesses based on the strength of their analyst recommendations, institutional ownership, dividends, earnings, risk, valuation and profitability.

Profitability

This table compares S&W Seed and Davis Commodities’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
S&W Seed	-85.38%	-50.81%	-17.71%
Davis Commodities	N/A	N/A	N/A

Analyst Ratings

This is a breakdown of current recommendations for S&W Seed and Davis Commodities, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
S&W Seed	0	0	1	0	3.00
Davis Commodities	1	0	0	0	1.00

S&W Seed presently has a consensus target price of $25.00, indicating a potential upside of 28,148.59%. Given S&W Seed’s stronger consensus rating and higher probable upside, equities research analysts plainly believe S&W Seed is more favorable than Davis Commodities.

Insider & Institutional Ownership

61.7% of S&W Seed shares are held by institutional investors. Comparatively, 81.8% of Davis Commodities shares are held by institutional investors. 11.4% of S&W Seed shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Volatility and Risk

S&W Seed has a beta of 1.89, indicating that its share price is 89% more volatile than the S&P 500. Comparatively, Davis Commodities has a beta of -0.78, indicating that its share price is 178% less volatile than the S&P 500.

Valuation & Earnings

This table compares S&W Seed and Davis Commodities”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
S&W Seed	$54.99 million	0.00	-$30.03 million	($14.24)	-0.01
Davis Commodities	$132.37 million	0.08	-$3.53 million	N/A	N/A

Davis Commodities has higher revenue and earnings than S&W Seed.

Summary

Davis Commodities beats S&W Seed on 7 of the 12 factors compared between the two stocks.

About S&W Seed

S&W Seed Co. engages in the breeding, production, and sale of stevia and alfalfa seeds. The company was founded in 1980 and is headquartered in Longmont, CO.

About Davis Commodities

Davis Commodities Limited, an investment holding company, operates as an agricultural commodity trading company in Asia, Africa, and the Middle East. The company trades in agricultural commodities, including sugar, rice, and oil and fat products under the Maxwill and Taffy brands. It also provides warehouse storage and logistic, as well as agency services. Davis Commodities Limited was founded in 1999 and is headquartered in Singapore. The company operates as a subsidiary of Davis & KT Holdings Pte. Ltd.