Contrasting Flowers Foods (NYSE:FLO) and Top Wealth Group (NASDAQ:TWG)

Top Wealth Group (NASDAQ:TWG) and Flowers Foods (NYSE:FLO) are both consumer staples companies, but which is the better investment? We will contrast the two businesses based on the strength of their dividends, profitability, institutional ownership, earnings, valuation, risk and analyst recommendations.

Insider & Institutional Ownership

75.4% of Flowers Foods shares are held by institutional investors. 11.6% of Flowers Foods shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Profitability

This table compares Top Wealth Group and Flowers Foods’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Top Wealth Group	N/A	N/A	N/A
Flowers Foods	4.30%	17.85%	6.52%

Risk and Volatility

Top Wealth Group has a beta of 1.09, indicating that its stock price is 9% more volatile than the S&P 500. Comparatively, Flowers Foods has a beta of 0.26, indicating that its stock price is 74% less volatile than the S&P 500.

Analyst Ratings

This is a summary of recent ratings for Top Wealth Group and Flowers Foods, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Top Wealth Group	1	0	0	0	1.00
Flowers Foods	1	3	0	0	1.75

Flowers Foods has a consensus price target of $15.33, indicating a potential upside of 33.14%. Given Flowers Foods’ stronger consensus rating and higher probable upside, analysts clearly believe Flowers Foods is more favorable than Top Wealth Group.

Earnings & Valuation

This table compares Top Wealth Group and Flowers Foods”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Top Wealth Group	$4.50 million	0.72	-$2.02 million	N/A	N/A
Flowers Foods	$5.13 billion	0.47	$248.12 million	$0.92	12.52

Flowers Foods has higher revenue and earnings than Top Wealth Group.

Summary

Flowers Foods beats Top Wealth Group on 9 of the 11 factors compared between the two stocks.

About Top Wealth Group

Top Wealth Group Holding Limited, through its subsidiaries, provides caviar and caviar-based gourmet products in Hong Kong and internationally. The company also trades in caviars; and offers its products under the Imperial Cristal Caviar brand name. It serves food and beverage related distributors. The company was founded in 2009 and is based in Sai Wan, Hong Kong. Top Wealth Group Holding Limited operates as a subsidiary of Winwin Development Group Limited.

About Flowers Foods

Flowers Foods, Inc. produces and markets packaged bakery food products in the United States. Its principal products include fresh breads, buns, rolls, snack items, bagels, English muffins, and tortillas, as well as frozen breads and rolls under the Nature's Own, Dave's Killer Bread, Wonder, Canyon Bakehouse, Mrs. Freshley's, and Tastykake brand names. The company distributes its products through a direct-store-delivery distribution and a warehouse delivery system, as well as operates bakeries. Its customers include national and regional restaurants, institutions and foodservice distributors, and retail in-store bakeries; wholesale distributors; mass merchandisers, supermarkets, vending outlets, and convenience stores; quick-serve chains, food wholesalers, institutions, dollar stores, and vending companies; and public health care, military commissaries, and prisons, and other governmental institutions. The company was formerly known as Flowers Industries and changed its name to Flowers Foods, Inc. in 2001. Flowers Foods, Inc. was founded in 1919 and is headquartered in Thomasville, Georgia.