Analyzing Edgewell Personal Care (NYSE:EPC) and Reborn Coffee (NASDAQ:REBN)

Reborn Coffee (NASDAQ:REBNGet Free Report) and Edgewell Personal Care (NYSE:EPCGet Free Report) 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, valuation, institutional ownership, dividends and profitability.

Risk and Volatility

Reborn Coffee has a beta of 2.13, indicating that its stock price is 113% more volatile than the S&P 500. Comparatively, Edgewell Personal Care has a beta of 0.59, indicating that its stock price is 41% less volatile than the S&P 500.

Valuation & Earnings

This table compares Reborn Coffee and Edgewell Personal Care”s gross revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Reborn Coffee $5.93 million 1.97 -$4.81 million ($2.56) -0.76
Edgewell Personal Care $2.22 billion 0.44 $25.40 million ($0.85) -24.77

Edgewell Personal Care has higher revenue and earnings than Reborn Coffee. Edgewell Personal Care is trading at a lower price-to-earnings ratio than Reborn Coffee, indicating that it is currently the more affordable of the two stocks.

Insider & Institutional Ownership

1.8% of Reborn Coffee shares are held by institutional investors. Comparatively, 91.9% of Edgewell Personal Care shares are held by institutional investors. 24.0% of Reborn Coffee shares are held by insiders. Comparatively, 3.0% of Edgewell Personal Care shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Analyst Ratings

This is a breakdown of recent recommendations for Reborn Coffee and Edgewell Personal Care, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Reborn Coffee 1 0 0 0 1.00
Edgewell Personal Care 1 4 3 0 2.25

Edgewell Personal Care has a consensus price target of $23.67, suggesting a potential upside of 12.42%. Given Edgewell Personal Care’s stronger consensus rating and higher possible upside, analysts plainly believe Edgewell Personal Care is more favorable than Reborn Coffee.

Profitability

This table compares Reborn Coffee and Edgewell Personal Care’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Reborn Coffee -191.48% -995.56% -170.77%
Edgewell Personal Care -1.76% 7.16% 2.90%

Summary

Edgewell Personal Care beats Reborn Coffee on 10 of the 14 factors compared between the two stocks.

About Reborn Coffee

(Get Free Report)

Reborn Coffee, Inc., through its subsidiaries, operates and franchises retail locations, kiosks, and cafes that focus on serving specialty-roasted coffee in California. It purchases, roasts, and sells coffee, tea and other beverages, and various food items. It offers products in various form factors, such as whole bean roasted coffee bags, single-serve drip bags, and pour over packs. The company also offers its products online. Reborn Coffee, Inc. was founded in 2014 and is headquartered in Brea, California.

About Edgewell Personal Care

(Get Free Report)

Edgewell Personal Care Company is a manufacturer and marketer of personal care products in the wet shave, sun and skin care, feminine care and infant care categories. As of September 30, 2016, the Company had a portfolio of over 25 brands. It manages its business in four segments: Wet Shave, Sun and Skin Care, Feminine Care and All Other. Its Wet shave products are sold under the Schick, Wilkinson Sword, Edge, Skintimate, Shave Guard and Personna brand names. Its Sun and Skin Care products are sold under the Banana Boat, Hawaiian Tropic, Wet Ones and Playtex brand names and offers Wet Ones, portable hand wipes category, and Playtex household gloves, the branded household glove in the United States. Its Feminine Care segment markets its products under the Playtex, Stayfree, Carefree and o.b. brands and markets pads and liners. Its All Other segment includes infant care, pet care and miscellaneous other products.

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