Comparing Zevia PBC (NYSE:ZVIA) and Coffee (NASDAQ:JVA)

Zevia PBC (NYSE:ZVIA) and Coffee (NASDAQ:JVA) are both small-cap consumer staples companies, but which is the superior stock? We will compare the two businesses based on the strength of their valuation, institutional ownership, analyst recommendations, profitability, dividends, risk and earnings.

Earnings & Valuation

This table compares Zevia PBC and Coffee”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Zevia PBC	$155.05 million	1.24	-$20.00 million	($0.22)	-11.66
Coffee	$89.75 million	0.25	$2.22 million	$0.32	12.05

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

Profitability

This table compares Zevia PBC and Coffee’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Zevia PBC	-8.83%	-30.61%	-18.65%
Coffee	2.06%	6.84%	4.67%

Volatility and Risk

Zevia PBC has a beta of 0.87, indicating that its share price is 13% less volatile than the S&P 500. Comparatively, Coffee has a beta of 1.45, indicating that its share price is 45% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of current ratings and price targets for Zevia PBC and Coffee, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Zevia PBC	1	3	2	0	2.17
Coffee	1	0	0	0	1.00

Zevia PBC presently has a consensus target price of $4.61, suggesting a potential upside of 79.82%. Given Zevia PBC’s stronger consensus rating and higher probable upside, equities research analysts clearly believe Zevia PBC is more favorable than Coffee.

Insider and Institutional Ownership

53.2% of Zevia PBC shares are held by institutional investors. 11.1% of Zevia PBC shares are held by insiders. Comparatively, 22.1% of Coffee shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Summary

Coffee beats Zevia PBC on 8 of the 14 factors compared between the two stocks.

About Zevia PBC

Zevia PBC, a beverage company, develops, markets, sells, and distributes various carbonated beverages in the United States and Canada. It offers soda, energy drinks, organic tea, and kidz drinks. The company offers its products through a network of food, drug, warehouse club, mass, natural, convenience, and e-commerce channels, as well as grocery distributors and natural product stores and specialty outlets. It provides its products under the Zevia brand name. The company was founded in 2007 and is headquartered in Encino, California.

About Coffee

Coffee Holding Co., Inc. engages in manufacturing, roasting, packaging, marketing, and distributing roasted and blended coffees in the United States, Australia, Canada, England, and China. It offers wholesale green coffee products, including unroasted raw beans that are sold to large, medium, and small roasters, as well as coffee shop operators; and roasts, blends, packages, and sells coffee under private labels in cans, brick packages, and instants of various sizes. The company also roasts and blends company label branded coffee to supermarkets, wholesalers, and individually owned stores; and sells tabletop coffee roasting equipment, instant coffees, and tea products for its customers. Its coffee brands include Cafe Caribe, Don Manuel, S&W, Cafe Supremo, Via Roma, Premier Roasters, and Harmony Bay. The company was formerly known as Transpacific International Group Corp and changed its name to Coffee Holding Co., Inc. in April 1998. Coffee Holding Co., Inc. was founded in 1971 and is headquartered in Staten Island, New York.