Critical Survey: Above Food Ingredients (NASDAQ:ABVE) & Ingredion (NYSE:INGR)

Above Food Ingredients (NASDAQ:ABVE) and Ingredion (NYSE:INGR) are both consumer staples companies, but which is the better investment? We will contrast the two businesses based on the strength of their risk, valuation, analyst recommendations, institutional ownership, earnings, profitability and dividends.

Valuation and Earnings

This table compares Above Food Ingredients and Ingredion”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Above Food Ingredients	$273.06 million	0.10	-$39.49 million	N/A	N/A
Ingredion	$7.22 billion	0.89	$729.00 million	$10.38	9.84

Ingredion has higher revenue and earnings than Above Food Ingredients.

Profitability

This table compares Above Food Ingredients and Ingredion’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Above Food Ingredients	N/A	N/A	N/A
Ingredion	9.36%	15.86%	8.66%

Institutional & Insider Ownership

28.8% of Above Food Ingredients shares are owned by institutional investors. Comparatively, 85.3% of Ingredion shares are owned by institutional investors. 64.5% of Above Food Ingredients shares are owned by insiders. Comparatively, 1.6% of Ingredion shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Analyst Ratings

This is a summary of recent recommendations for Above Food Ingredients and Ingredion, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Above Food Ingredients	0	0	0	0	0.00
Ingredion	1	6	2	0	2.11

Ingredion has a consensus price target of $122.43, indicating a potential upside of 19.85%. Given Ingredion’s stronger consensus rating and higher probable upside, analysts clearly believe Ingredion is more favorable than Above Food Ingredients.

Risk and Volatility

Above Food Ingredients has a beta of -0.26, indicating that its stock price is 126% less volatile than the S&P 500. Comparatively, Ingredion has a beta of 0.64, indicating that its stock price is 36% less volatile than the S&P 500.

Summary

Ingredion beats Above Food Ingredients on 11 of the 12 factors compared between the two stocks.

About Above Food Ingredients

Above Food Ingredients Inc., a regenerative ingredient company, produces vertically integrated supply chain products in Canada, the United States, Mexico, China, France, Turkey, and internationally. It operates through two segments: Disruptive Agriculture and Rudimentary Ingredients, and Consumer Packaged Goods. The Disruptive Agriculture and Rudimentary Ingredients segment engages in the provisioning of discrete genetics, origination, purchasing, grading, processing, and sale of regeneratively grown grain; and origination, purchase, and sale of bespoke ingredients products. The Consumer Packaged Goods segment formulates, manufactures, sells, distributes, and markets proprietary consumer product formulations in owned brands; and focuses on manufacturing and distribution for private-labeled retail owned brands. Above Food Ingredients Inc. is based in Regina, Canada.

About Ingredion

Ingredion Incorporated, together with its subsidiaries, manufactures and sells sweeteners, starches, nutrition ingredients, and biomaterial solutions derived from wet milling and processing corn, and other starch-based materials to a range of industries in North America, South America, the Asia Pacific, Europe, the Middle East, and Africa. The company offers starch products for use in a range of processed foods; cornstarch; specialty paper starches for enhanced drainage, fiber retention, oil and grease resistance, improved printability, and biochemical oxygen demand control; starches and specialty starches for textile industry; industrial starches are used in the production of construction materials, textiles, adhesives, pharmaceuticals, and cosmetics, as well as in mining and water filtration; and specialty industrial starches for use in biomaterial applications, including biodegradable plastics, fabric softeners and detergents, hair and skin care applications, dusting powders for surgical gloves, and in the production of glass fiber and insulation. It also provides sweetener products comprising glucose syrups, high maltose syrup, high fructose corn syrup, dextrose, polyols, maltodextrin, glucose syrup solids, and non-genetically modified organism syrups for applications in food and beverage products, such as baked goods, snack foods, canned fruits, condiments, candy and other sweets, dairy products, ice cream, jams and jellies, prepared mixes, table syrups, and beverages. In addition, the company sells refined corn oil, corn gluten feed, and corn gluten meal; and other products, including fruit and vegetable products, such as concentrates, purees, and essences, as well as pulse proteins and hydrocolloids systems and blends. The company was formerly known as Corn Products International, Inc. and changed its name to Ingredion Incorporated in June 2012. Ingredion Incorporated was founded in 1906 and is headquartered in Westchester, Illinois.