Reviewing ARKO (NASDAQ:ARKO) and Synergy CHC (NASDAQ:SNYR)

ARKO (NASDAQ:ARKO) and Synergy CHC (NASDAQ:SNYR) are both small-cap consumer staples companies, but which is the better business? We will compare the two businesses based on the strength of their dividends, earnings, profitability, valuation, analyst recommendations, institutional ownership and risk.

Profitability

This table compares ARKO and Synergy CHC’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ARKO	0.38%	9.10%	0.80%
Synergy CHC	-60.02%	-19.51%	-30.30%

Institutional & Insider Ownership

78.3% of ARKO shares are owned by institutional investors. 22.5% of ARKO shares are owned by insiders. Comparatively, 32.9% of Synergy CHC shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Earnings and Valuation

This table compares ARKO and Synergy CHC”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ARKO	$7.64 billion	0.11	$22.74 million	$0.19	39.26
Synergy CHC	$27.70 million	0.12	-$12.34 million	($1.40)	-0.16

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

Risk & Volatility

ARKO has a beta of 0.98, meaning that its stock price is 2% less volatile than the S&P 500. Comparatively, Synergy CHC has a beta of -0.27, meaning that its stock price is 127% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for ARKO and Synergy CHC, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ARKO	1	0	0	2	3.00
Synergy CHC	2	0	2	0	2.00

ARKO currently has a consensus target price of $8.00, suggesting a potential upside of 7.24%. Synergy CHC has a consensus target price of $6.25, suggesting a potential upside of 2,690.18%. Given Synergy CHC’s higher possible upside, analysts plainly believe Synergy CHC is more favorable than ARKO.

Summary

ARKO beats Synergy CHC on 11 of the 15 factors compared between the two stocks.

About ARKO

Arko Corp. operates convenience stores in the United States. It operates through Retail, Wholesale, Fleet Fueling, and GPMP segments. The Retail segment engages in the sale of fuel and merchandise to retail consumers. Its Wholesale segment supplies fuel to third-party dealers and consignment agents. The Fleet Fueling segment supplies fuel to proprietary and third-party cardlock, and issuance of proprietary fuel cards. Its GPMP segment supplies fuel to retail and wholesale segments. The company is based in Richmond, Virginia.

About Synergy CHC

Synergy CHC Corp. engages in the marketing and distribution of branded health and wellness products. The company was founded on December 29, 2010 and is headquartered in Westbrook, ME.