Analyzing USANA Health Sciences (NYSE:USNA) & Lifevantage (NASDAQ:LFVN)

USANA Health Sciences (NYSE:USNA) and Lifevantage (NASDAQ:LFVN) are both small-cap consumer staples companies, but which is the better business? We will contrast the two companies based on the strength of their analyst recommendations, earnings, risk, valuation, profitability, institutional ownership and dividends.

Earnings and Valuation

This table compares USANA Health Sciences and Lifevantage”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
USANA Health Sciences	$925.26 million	0.27	$10.76 million	($1.21)	-11.13
Lifevantage	$228.53 million	0.37	$9.81 million	$0.45	14.87

USANA Health Sciences has higher revenue and earnings than Lifevantage. USANA Health Sciences is trading at a lower price-to-earnings ratio than Lifevantage, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of recent recommendations and price targets for USANA Health Sciences and Lifevantage, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
USANA Health Sciences	2	0	0	0	1.00
Lifevantage	0	2	0	0	2.00

Lifevantage has a consensus price target of $5.00, indicating a potential downside of 25.26%. Given Lifevantage’s stronger consensus rating and higher possible upside, analysts plainly believe Lifevantage is more favorable than USANA Health Sciences.

Profitability

This table compares USANA Health Sciences and Lifevantage’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
USANA Health Sciences	-2.43%	3.41%	2.50%
Lifevantage	2.94%	23.89%	12.47%

Institutional & Insider Ownership

54.2% of USANA Health Sciences shares are held by institutional investors. Comparatively, 35.3% of Lifevantage shares are held by institutional investors. 0.8% of USANA Health Sciences shares are held by company insiders. Comparatively, 22.0% of Lifevantage shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Volatility and Risk

USANA Health Sciences has a beta of 0.73, suggesting that its stock price is 27% less volatile than the S&P 500. Comparatively, Lifevantage has a beta of 0.72, suggesting that its stock price is 28% less volatile than the S&P 500.

Summary

Lifevantage beats USANA Health Sciences on 9 of the 13 factors compared between the two stocks.

About USANA Health Sciences

USANA Health Sciences, Inc. develops, manufactures, and sells science-based nutritional, personal care, and skincare products in the Asia Pacific, the Americas, and Europe. The company offers USANA nutritional products that comprise essentials/CellSentials, such as vitamin and mineral supplements that provide a foundation of total body nutrition for various age groups; optimizers consisting of targeted supplements that are designed to meet cardiovascular, skeletal/structural, and digestive health needs; and food that include meal replacement shakes, snack bars, and other related products. It also provides Celavive, a skin care regimen for various skin care types and ethnicities; and other products for prenatal, infant, and young child age groups. In addition, the company offers materials and online tools to assist associates in building their businesses, as well as in marketing products. It offers its products through retail stores and online. The company has a research collaboration agreement with Beijing University of Chinese Medicine; and National Sports Training Bureau. USANA Health Sciences, Inc. was founded in 1992 and is headquartered in Salt Lake City, Utah.

About Lifevantage

LifeVantage Corporation engages in the identification, research, development, formulation, and sale of advanced nutrigenomic activators, dietary supplements, nootropics, pre- and pro-biotics, weight management, skin and hair care, bath and body, and targeted relief products. It offers Protandim, a dietary supplement; LifeVantage Omega+, a dietary supplement that combines DHA and EPA Omega-3 fatty acids, Omega-7 fatty acids, and vitamin D3; LifeVantage ProBio, a dietary supplement to support gut health; PhysIQ, a weight management system; LifeVantage IC Bright, a supplement to support eye and brain health, reduce eye fatigue and strain, supports cognitive functions, and support normal sleep patterns; Petandim for Dogs, a supplement to combat oxidative stress in dogs; and Axio, a nootropic energy drink mix. The company also provides anti-aging skin care products, including liquid collagen, facial cleansers, perfecting lotions, eye serums, anti-aging creams, hand creams, beauty serum, as well as hair care products, such as invigorating shampoos, nourishing conditioners, and scalp serums under the LifeVantage TrueScience brand name. In addition, it offers bath and body, and targeted relief products, such as body lotion, body wash, body butter, deodorant, soothing balm, and body rub under the TrueScience brand name. It sells its products through its website and network of independent distributors in the United States, Mexico, Japan, Australia, Hong Kong, Canada, Thailand, the United Kingdom, the Netherlands, Germany, Taiwan, Austria, Spain, Ireland, Belgium, New Zealand, Singapore, and the Philippines. The company was founded in 2003 and is headquartered in Lehi, Utah.