Contrasting Synergy CHC (NASDAQ:SNYR) & Procter & Gamble (NYSE:PG)

Synergy CHC (NASDAQ:SNYR) and Procter & Gamble (NYSE:PG) are both consumer staples companies, but which is the superior investment? We will compare the two businesses based on the strength of their valuation, institutional ownership, analyst recommendations, profitability, earnings, dividends and risk.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Synergy CHC	7.77%	-19.51%	14.25%
Procter & Gamble	19.74%	32.63%	13.53%

Risk and Volatility

Synergy CHC has a beta of 3.48, meaning that its stock price is 248% more volatile than the S&P 500. Comparatively, Procter & Gamble has a beta of 0.39, meaning that its stock price is 61% less volatile than the S&P 500.

Valuation and Earnings

This table compares Synergy CHC and Procter & Gamble”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Synergy CHC	$34.83 million	0.58	$2.12 million	$0.29	6.24
Procter & Gamble	$84.93 billion	3.90	$15.97 billion	$6.85	20.70

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

Institutional & Insider Ownership

65.8% of Procter & Gamble shares are owned by institutional investors. 56.6% of Synergy CHC shares are owned by company insiders. Comparatively, 0.2% of Procter & Gamble 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.

Analyst Recommendations

This is a summary of current ratings and price targets for Synergy CHC and Procter & Gamble, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Synergy CHC	0	1	2	0	2.67
Procter & Gamble	0	10	15	0	2.60

Synergy CHC currently has a consensus price target of $8.50, indicating a potential upside of 369.61%. Procter & Gamble has a consensus price target of $169.23, indicating a potential upside of 19.33%. Given Synergy CHC’s stronger consensus rating and higher probable upside, research analysts plainly believe Synergy CHC is more favorable than Procter & Gamble.

Summary

Procter & Gamble beats Synergy CHC on 9 of the 14 factors compared between the two stocks.

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.

About Procter & Gamble

Procter & Gamble Co. engages in the provision of branded consumer packaged goods. It operates through the following segments: Beauty, Grooming, Health Care, Fabric and Home Care, and Baby, Feminine and Family Care. The Beauty segment offers hair, skin, and personal care. The Grooming segment consists of shave care like female and male blades and razors, pre and post shave products, and appliances. The Health Care segment includes oral care products like toothbrushes, toothpaste, and personal health care such as gastrointestinal, rapid diagnostics, respiratory, and vitamins, minerals, and supplements. The Fabric and Home care segment consists of fabric enhancers, laundry additives and detergents, and air, dish, and surface care. The Baby, Feminine and Family Care segment sells baby wipes, diapers, and pants, adult incontinence, feminine care, paper towels, tissues, and toilet paper. The company was founded by William Procter and James Gamble in 1837 and is headquartered in Cincinnati, OH.