Beyond Meat (NASDAQ:BYND) versus Tyson Foods (NYSE:TSN) Critical Comparison

Beyond Meat (NASDAQ:BYND) and Tyson Foods (NYSE:TSN) are both consumer staples companies, but which is the better stock? We will contrast the two businesses based on the strength of their dividends, profitability, risk, analyst recommendations, valuation, earnings and institutional ownership.

Analyst Ratings

This is a breakdown of current ratings for Beyond Meat and Tyson Foods, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Beyond Meat	2	1	0	0	1.33
Tyson Foods	0	12	2	0	2.14

Beyond Meat currently has a consensus price target of $3.00, suggesting a potential upside of 20.00%. Tyson Foods has a consensus price target of $61.25, suggesting a potential upside of 7.83%. Given Beyond Meat’s higher probable upside, analysts plainly believe Beyond Meat is more favorable than Tyson Foods.

Profitability

This table compares Beyond Meat and Tyson Foods’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Beyond Meat	-52.27%	N/A	-22.97%
Tyson Foods	1.45%	7.49%	3.77%

Institutional and Insider Ownership

52.5% of Beyond Meat shares are held by institutional investors. Comparatively, 67.0% of Tyson Foods shares are held by institutional investors. 7.5% of Beyond Meat shares are held by company insiders. Comparatively, 2.0% of Tyson Foods shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Volatility and Risk

Beyond Meat has a beta of 2.22, meaning that its share price is 122% more volatile than the S&P 500. Comparatively, Tyson Foods has a beta of 0.59, meaning that its share price is 41% less volatile than the S&P 500.

Valuation & Earnings

This table compares Beyond Meat and Tyson Foods”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Beyond Meat	$326.45 million	0.59	-$160.28 million	($2.18)	-1.15
Tyson Foods	$53.31 billion	0.38	$800.00 million	$2.20	25.82

Tyson Foods has higher revenue and earnings than Beyond Meat. Beyond Meat is trading at a lower price-to-earnings ratio than Tyson Foods, indicating that it is currently the more affordable of the two stocks.

Summary

Tyson Foods beats Beyond Meat on 10 of the 14 factors compared between the two stocks.

About Beyond Meat

Beyond Meat, Inc., a plant-based meat company, develops, manufactures, markets, and sells plant-based meat products in the United States and internationally. The company sells a range of plant-based meat products across the platforms of beef, pork, and poultry. It sells its products through grocery, mass merchandiser, club stores, and natural retailer channels, as well as various food-away-from-home channels, including restaurants, foodservice outlets, and schools. The company was formerly known as Savage River, Inc. and changed its name to Beyond Meat, Inc. in September 2018. Beyond Meat, Inc. was incorporated in 2008 and is headquartered in El Segundo, California.

About Tyson Foods

Tyson Foods, Inc., together with its subsidiaries, operates as a food company worldwide. It operates through four segments: Beef, Pork, Chicken, and Prepared Foods. The company processes live fed cattle and hogs; fabricates dressed beef and pork carcasses into primal and sub-primal meat cuts, as well as case ready beef and pork, and fully cooked meats; raises and processes chickens into fresh, frozen, and value-added chicken products, including breaded chicken strips, nuggets, patties, and other ready-to-fix or fully cooked chicken parts; and supplies poultry breeding stock. It also manufactures and markets frozen and refrigerated food products, including ready-to-eat sandwiches, flame-grilled hamburgers, Philly steaks, pepperoni, bacon, breakfast sausage, turkey, lunchmeat, hot dogs, flour and corn tortilla products, appetizers, snacks, prepared meals, ethnic foods, side dishes, meat dishes, breadsticks, and processed meats under the Tyson, Jimmy Dean, Hillshire Farm, Ball Park, Wright, Aidells, ibp, and State Fair brands. The company sells its products through its sales staff to grocery retailers, grocery wholesalers, meat distributors, warehouse club stores, military commissaries, industrial food processing companies, chain restaurants or their distributors, live markets, international export companies, and domestic distributors who serve restaurants and food service operations, such as plant and school cafeterias, convenience stores, hospitals, and other vendors, as well as through independent brokers and trading companies. The company was founded in 1935 and is headquartered in Springdale, Arkansas.