BellRing Brands (NYSE:BRBR) and J. M. Smucker (NYSE:SJM) Financial Contrast

J. M. Smucker (NYSE:SJM) and BellRing Brands (NYSE:BRBR) are both consumer staples companies, but which is the superior stock? We will compare the two businesses based on the strength of their profitability, institutional ownership, risk, valuation, analyst recommendations, dividends and earnings.

Volatility and Risk

J. M. Smucker has a beta of 0.27, indicating that its share price is 73% less volatile than the S&P 500. Comparatively, BellRing Brands has a beta of 0.43, indicating that its share price is 57% less volatile than the S&P 500.

Profitability

This table compares J. M. Smucker and BellRing Brands’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
J. M. Smucker	2.51%	19.85%	6.76%
BellRing Brands	7.28%	-33.04%	15.63%

Analyst Recommendations

This is a breakdown of recent recommendations for J. M. Smucker and BellRing Brands, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
J. M. Smucker	0	8	10	0	2.56
BellRing Brands	1	8	9	0	2.44

J. M. Smucker currently has a consensus price target of $136.25, suggesting a potential upside of 5.81%. BellRing Brands has a consensus price target of $19.82, suggesting a potential upside of 89.14%. Given BellRing Brands’ higher possible upside, analysts clearly believe BellRing Brands is more favorable than J. M. Smucker.

Earnings and Valuation

This table compares J. M. Smucker and BellRing Brands”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
J. M. Smucker	$9.05 billion	1.52	-$138.70 million	$2.14	60.17
BellRing Brands	$2.32 billion	0.53	$216.20 million	$1.42	7.38

BellRing Brands has lower revenue, but higher earnings than J. M. Smucker. BellRing Brands is trading at a lower price-to-earnings ratio than J. M. Smucker, indicating that it is currently the more affordable of the two stocks.

Institutional & Insider Ownership

81.7% of J. M. Smucker shares are owned by institutional investors. Comparatively, 95.0% of BellRing Brands shares are owned by institutional investors. 2.8% of J. M. Smucker shares are owned by insiders. Comparatively, 1.5% of BellRing Brands shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Summary

J. M. Smucker beats BellRing Brands on 8 of the 14 factors compared between the two stocks.

About J. M. Smucker

The J. M. Smucker Company manufactures and markets branded food and beverage products worldwide. It operates in three segments: U.S. Retail Pet Foods, U.S. Retail Coffee, and U.S. Retail Consumer Foods. The company offers mainstream roast, ground, single serve, and premium coffee; peanut butter and specialty spreads; fruit spreads, toppings, and syrups; jelly products; nut mix products; shortening and oils; frozen sandwiches and snacks; pet food and pet snacks; and foodservice hot beverage, foodservice portion control, and flour products, as well as dog and cat food, frozen handheld products, juices and beverages, and baking mixes and ingredients. It provides its products under the Meow Mix, Milk-Bone, Pup-Peroni, Canine Carry Outs, Folgers, Café Bustelo, Dunkin', Folgers, Café Bustelo, 1850, Jif, Smucker's, Smucker's Uncrustables, Robin Hood, and Five Roses. The company sells its products through direct sales and brokers to food retailers, club stores, discount and dollar stores, online retailers, pet specialty stores, natural foods stores and distributors, drug stores, military commissaries, and mass merchandisers. Smucker Company was founded in 1897 and is headquartered in Orrville, Ohio.

About BellRing Brands

BellRing Brands, Inc., together with its subsidiaries, provides various nutrition products in the United States. The company offers ready-to-drink (RTD) protein shakes, other RTD beverages, powders, nutrition bars, and other products primarily under the Premier Protein and Dymatize brands. It distributes its products through club, food, drug, mass, eCommerce, specialty, and convenience channels. BellRing Brands, Inc. was incorporated in 2019 and is headquartered in Saint Louis, Missouri.