Contrasting Want Want China (OTCMKTS:WWNTY) and Kraft Heinz (NASDAQ:KHC)

Want Want China (OTCMKTS:WWNTY) and Kraft Heinz (NASDAQ:KHC) are both consumer staples companies, but which is the better investment? We will compare the two businesses based on the strength of their profitability, valuation, institutional ownership, risk, dividends, earnings and analyst recommendations.

Insider & Institutional Ownership

78.2% of Kraft Heinz shares are held by institutional investors. 0.4% of Kraft Heinz shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of current ratings and recommmendations for Want Want China and Kraft Heinz, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Want Want China	0	0	0	0	0.00
Kraft Heinz	3	18	0	1	1.95

Kraft Heinz has a consensus price target of $26.63, indicating a potential upside of 13.30%. Given Kraft Heinz’s stronger consensus rating and higher possible upside, analysts clearly believe Kraft Heinz is more favorable than Want Want China.

Earnings & Valuation

This table compares Want Want China and Kraft Heinz”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Want Want China	$3.23 billion	2.18	$600.91 million	N/A	N/A
Kraft Heinz	$25.16 billion	1.11	$2.74 billion	($3.73)	-6.30

Kraft Heinz has higher revenue and earnings than Want Want China.

Profitability

This table compares Want Want China and Kraft Heinz’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Want Want China	N/A	N/A	N/A
Kraft Heinz	-17.35%	7.26%	3.86%

Dividends

Want Want China pays an annual dividend of $0.95 per share and has a dividend yield of 3.2%. Kraft Heinz pays an annual dividend of $1.60 per share and has a dividend yield of 6.8%. Kraft Heinz pays out -42.9% of its earnings in the form of a dividend.

Volatility and Risk

Want Want China has a beta of 0.13, indicating that its share price is 87% less volatile than the S&P 500. Comparatively, Kraft Heinz has a beta of 0.09, indicating that its share price is 91% less volatile than the S&P 500.

Summary

Kraft Heinz beats Want Want China on 11 of the 14 factors compared between the two stocks.

About Want Want China

Want Want China Holdings Limited, an investment holding company, manufactures, distributes, and sells food and beverages. The company operates through four segments: Rice Crackers, Dairy Products and Beverages, Snack Foods, and Other Products. It offers sugar coated crackers, savoury crackers, fried crackers, and gift packs; flavored milk, room temperature yogurt, yogurt drinks, ready-to-drink coffee, juice and sports drinks, herbal tea, and milk powder; candies, popsicles, ball cakes and jellies, beans, nuts, and other snacks; and wine and other food products. The company also trades in food and beverages, and related activities online, as well as raw materials, machineries, etc.; sells chemical materials and plastic films/bags; manufactures and sells machineries and related services; manufactures dehydrating, deoxidating, preservative, and related products; manufactures and sells packaging materials, packing bags, carton boxes, and cans; provides consultancy, information, business, and network technology services; processes and sells rice and oil products; and manufactures and sells rice flour. In addition, it engages in the agricultural planting and management, and livestock and poultry breeding businesses. It serves customers through a sales and distribution network primarily in the People's Republic of China. The company also exports its products to North America, East Asia, South East Asia, and Europe. Want The company was founded in 1962 and is headquartered in Kowloon Bay, Hong Kong.

About Kraft Heinz

The Kraft Heinz Company, together with its subsidiaries, manufactures and markets food and beverage products in North America and internationally. Its products include condiments and sauces, cheese and dairy products, meals, meats, refreshment beverages, coffee, and other grocery products under the Kraft, Oscar Mayer, Heinz, Philadelphia, Lunchables, Velveeta, Ore-Ida, Maxwell House, Kool-Aid, Jell-O, Heinz, ABC, Master, Quero, Kraft, Golden Circle, Wattie's, Pudliszki, and Plasmon brands. It sells its products through its own sales organizations, as well as through independent brokers, agents, and distributors to chain, wholesale, cooperative, and independent grocery accounts; convenience, value, and club stores; pharmacies and drug stores; mass merchants; foodservice distributors; institutions, including hotels, restaurants, bakeries, hospitals, health care facilities, and government agencies; and online through various e-commerce platforms and retailers. The company was formerly known as H.J. Heinz Holding Corporation and changed its name to The Kraft Heinz Company in July 2015. The Kraft Heinz Company was founded in 1869 and is based in Pittsburgh, Pennsylvania.