Critical Comparison: Treasury Wine Estates (OTCMKTS:TSRYY) & SNDL (NASDAQ:SNDL)

Treasury Wine Estates (OTCMKTS:TSRYY) and SNDL (NASDAQ:SNDL) are both consumer defensive companies, but which is the superior business? We will contrast the two companies based on the strength of their analyst recommendations, valuation, risk, institutional ownership, dividends, profitability and earnings.

Earnings and Valuation

This table compares Treasury Wine Estates and SNDL’s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Treasury Wine Estates	N/A	N/A	N/A	($0.16)	-43.72
SNDL	$900.96 million	0.28	-$257.77 million	($0.64)	-2.39

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

Insider & Institutional Ownership

0.6% of Treasury Wine Estates shares are held by institutional investors. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Analyst Ratings

This is a breakdown of current ratings and price targets for Treasury Wine Estates and SNDL, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Treasury Wine Estates	0	1	0	0	2.00
SNDL	0	1	0	0	2.00

SNDL has a consensus target price of $3.60, indicating a potential upside of 135.29%. Given SNDL’s higher probable upside, analysts plainly believe SNDL is more favorable than Treasury Wine Estates.

Profitability

This table compares Treasury Wine Estates and SNDL’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Treasury Wine Estates	N/A	N/A	N/A
SNDL	-23.08%	-8.78%	-7.43%

Summary

Treasury Wine Estates beats SNDL on 5 of the 8 factors compared between the two stocks.

About Treasury Wine Estates

Treasury Wine Estates Limited operates as a wine company primarily in Australia, New Zealand, Asia, Europe, the United Kingdom, the Middle East, Africa, and the Americas. The company engages in the viticulture and winemaking; and marketing, sale, and distribution of wine. Its wine portfolio includes luxury, premium and commercial wine brands, such as 19 Crimes, Acacia Vineyard, Annie's Lane, Beaulieu Vineyard, Belcreme de Lys, Beringer Vineyards, Blossom Hill, Cavaliere d'Oro, Coldstream Hills, Devil's Lair, EMBRAZEN, Etude, Fifth Leg, Heemskerk, Hewitt Vineyard, Ingoldby, Jamieson's Run, Killawarra, Leo Buring, Lindeman's, Maison de Grand Esprit, Matua, Penfolds, Pepperjack, Rawson's Retreat, Rosemount Estate, Run Riot, Saltram, Samuel Wynn & Co, Secret Stone, Seppelt, Shingle Peak, Sledgehammer, Squealing pig, St Huberts, Stags' Leap Winery, Stellina di Notte, Sterling Vineyards, T'Gallant, The Walking Dead Wine, Wolf Blass, Wynns Coonawarra Estate, and Yellowglen. The company also provides contract bottling services to third parties; and sells grape and bulk wine. It owns and leases 7,364 planted hectares of vineyards in Australia and New Zealand; 2,393 planted hectares in California, including the Napa Valley, Sonoma County, Lake County, and Central Coast; 175 planted hectares in France's Bordeaux region; and 166 planted hectares in Tuscany, Italy. The company markets and sells its products to distributors, wholesalers, retails chains, independent retailers, and on-premise outlets, as well as directly to consumers. The company was founded in 1843 and is headquartered in Melbourne, Australia.

About SNDL

SNDL Inc. engages in the production, distribution, and sale of cannabis products in Canada. The company operates through four segments: Liquor Retail, Cannabis Retail, Cannabis Operations, and Investments. It engages in the cultivation, distribution, and sale of cannabis for the adult-use and medical markets; sells wines, beers, and spirits through wholly owned liquor stores; and private sale of recreational cannabis through wholly owned and franchised retail cannabis stores. The company also produces and distributes inhalable products, such as flower, pre-rolls, and vapes. It offers its products under the Top Leaf, Sundial Cannabis, Palmetto, and Grasslands brands. The company was formerly known as Sundial Growers Inc. and changed its name to SNDL Inc. in July 2022. SNDL Inc. was incorporated in 2006 and is headquartered in Calgary, Canada.