Comparing Westrock Coffee (NASDAQ:WEST) and Crimson Wine Group (OTCMKTS:CWGL)

Westrock Coffee (NASDAQ:WEST) and Crimson Wine Group (OTCMKTS:CWGL) are both small-cap consumer staples companies, but which is the superior business? We will compare the two companies based on the strength of their dividends, analyst recommendations, earnings, risk, profitability, valuation and institutional ownership.

Volatility and Risk

Westrock Coffee has a beta of 0.46, suggesting that its stock price is 54% less volatile than the S&P 500. Comparatively, Crimson Wine Group has a beta of 0.47, suggesting that its stock price is 53% less volatile than the S&P 500.

Profitability

This table compares Westrock Coffee and Crimson Wine Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Westrock Coffee	-4.05%	-41.02%	-2.83%
Crimson Wine Group	4.31%	1.67%	1.43%

Analyst Recommendations

This is a breakdown of recent ratings and price targets for Westrock Coffee and Crimson Wine Group, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Westrock Coffee	0	0	3	0	3.00
Crimson Wine Group	0	0	0	0	N/A

Westrock Coffee presently has a consensus target price of $12.33, suggesting a potential upside of 20.56%. Given Westrock Coffee’s higher probable upside, equities analysts plainly believe Westrock Coffee is more favorable than Crimson Wine Group.

Insider & Institutional Ownership

45.1% of Westrock Coffee shares are owned by institutional investors. Comparatively, 17.0% of Crimson Wine Group shares are owned by institutional investors. 42.1% of Westrock Coffee shares are owned by company insiders. Comparatively, 32.5% of Crimson Wine Group shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Earnings and Valuation

This table compares Westrock Coffee and Crimson Wine Group’s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Westrock Coffee	$864.71 million	1.04	-$34.58 million	($0.56)	-18.27
Crimson Wine Group	$72.40 million	1.67	$3.12 million	$0.15	38.63

Crimson Wine Group has lower revenue, but higher earnings than Westrock Coffee. Westrock Coffee is trading at a lower price-to-earnings ratio than Crimson Wine Group, indicating that it is currently the more affordable of the two stocks.

Summary

Crimson Wine Group beats Westrock Coffee on 8 of the 13 factors compared between the two stocks.

About Westrock Coffee

Westrock Coffee Company, LLC operates as an integrated coffee, tea, flavors, extracts, and ingredients solutions provider in the United States and internationally. It operates through two segments, Beverage Solutions, and Sustainable Sourcing & Traceability (SS&T). The Beverage Solutions segment provides various packaging, including branded and private label coffee in bags, fractional packs, and single serve cups, as well as extract solutions for applications in cold brew and ready-to-drink offerings. The SS&T segment engages in delivery and settlement of forward sales contracts for green coffee. The company offers coffee sourcing, supply chain management, product development, roasting, packaging, and distribution services to the retail, food service and restaurant, convenience store and travel center, non-commercial account, CPG, and hospitality industries. Westrock Coffee Company, LLC was founded in 2009 and is headquartered in Little Rock, Arkansas.

About Crimson Wine Group

Crimson Wine Group, Ltd., through its subsidiaries, engages in the production and sale of wines in the United States and internationally. The company operates through two segments, Wholesale and Direct to Consumer. It also sells bulk wines and grapes; and other non-wine products, such as merchandise custom winemaking, as well as provides custom winemaking services. The company sells its products under the Pine Ridge Vineyards, Archery Summit, Chamisal Vineyards, Seghesio Family Vineyards, Double Canyon, Seven Hills Winery, and Malene Wines brand names. It offers wines to distributors, as well as directly to consumers through wine club memberships, e-commerce platforms, and direct phone calls. The company was formerly known as Leucadia Cellars, Ltd. and changed its name to Crimson Wine Group, Ltd. in November 2007. Crimson Wine Group, Ltd. was incorporated in 1991 and is headquartered in Napa, California.