Reviewing Upexi (NASDAQ:UPXI) and Charlie’s (OTCMKTS:CHUC)

Charlie’s (OTCMKTS:CHUC) and Upexi (NASDAQ:UPXI) are both small-cap consumer staples companies, but which is the superior investment? We will contrast the two businesses based on the strength of their earnings, risk, analyst recommendations, profitability, valuation, dividends and institutional ownership.

Profitability

This table compares Charlie’s and Upexi’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Charlie’s	-26.06%	-711.61%	-63.52%
Upexi	-22.63%	-40.72%	-18.07%

Analyst Recommendations

This is a breakdown of recent ratings for Charlie’s and Upexi, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Charlie’s	0	0	0	0	N/A
Upexi	0	1	0	0	2.00

Upexi has a consensus price target of $1.25, suggesting a potential upside of 161.78%. Given Upexi’s higher probable upside, analysts clearly believe Upexi is more favorable than Charlie’s.

Insider and Institutional Ownership

7.8% of Charlie’s shares are owned by institutional investors. Comparatively, 5.7% of Upexi shares are owned by institutional investors. 22.5% of Charlie’s shares are owned by insiders. Comparatively, 41.6% of Upexi shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Earnings & Valuation

This table compares Charlie’s and Upexi’s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Charlie’s	$16.25 million	1.69	-$1.59 million	($0.01)	-11.97
Upexi	$80.68 million	0.12	-$16.93 million	N/A	N/A

Charlie’s has higher earnings, but lower revenue than Upexi.

Volatility and Risk

Charlie’s has a beta of 3.47, meaning that its stock price is 247% more volatile than the S&P 500. Comparatively, Upexi has a beta of 0.49, meaning that its stock price is 51% less volatile than the S&P 500.

Summary

Upexi beats Charlie’s on 6 of the 10 factors compared between the two stocks.

About Charlie’s

Charlie's Holdings, Inc., together with its subsidiaries, formulates, markets, and distributes nicotine-based vapor products in the United States and internationally. The company also provides non-combustible nicotine-related, alternative alkaloid vapor products, and hemp-derived vapor and edible products. It sells its products through distributors, specialty retailers, and third-party online resellers to approximately 80 countries, primarily, including the United Kingdom, Italy, Spain, New Zealand, Australia, and Canada. The company was formerly known as True Drinks Holdings, Inc. Charlie's Holdings, Inc. was founded in 2014 and is headquartered in Costa Mesa, California.

About Upexi

Upexi, Inc. manufactures and sells various branded products in the health, wellness, pet, beauty, and other markets. The company was formerly known as Grove, Inc. and changed its name to Upexi, Inc. in August 2022. The company was incorporated in 2018 and is headquartered in Clearwater, Florida.