Analyzing Natural Grocers by Vitamin Cottage (NYSE:NGVC) & Metcash (OTCMKTS:MHTLY)

Natural Grocers by Vitamin Cottage (NYSE:NGVC) and Metcash (OTCMKTS:MHTLY) are both consumer staples companies, but which is the better stock? We will compare the two businesses based on the strength of their valuation, profitability, dividends, analyst recommendations, risk, earnings and institutional ownership.

Profitability

This table compares Natural Grocers by Vitamin Cottage and Metcash’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Natural Grocers by Vitamin Cottage	3.55%	21.11%	7.03%
Metcash	N/A	N/A	N/A

Institutional & Insider Ownership

32.0% of Natural Grocers by Vitamin Cottage shares are owned by institutional investors. 58.3% of Natural Grocers by Vitamin Cottage shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Earnings and Valuation

This table compares Natural Grocers by Vitamin Cottage and Metcash”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Natural Grocers by Vitamin Cottage	$1.33 billion	0.48	$46.44 million	$2.06	13.41
Metcash	N/A	N/A	N/A	N/A	N/A

Natural Grocers by Vitamin Cottage has higher revenue and earnings than Metcash.

Analyst Ratings

This is a breakdown of current ratings for Natural Grocers by Vitamin Cottage and Metcash, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Natural Grocers by Vitamin Cottage	0	1	2	0	2.67
Metcash	0	0	0	0	0.00

Natural Grocers by Vitamin Cottage presently has a consensus price target of $47.00, indicating a potential upside of 70.17%. Given Natural Grocers by Vitamin Cottage’s stronger consensus rating and higher probable upside, equities analysts plainly believe Natural Grocers by Vitamin Cottage is more favorable than Metcash.

Summary

Natural Grocers by Vitamin Cottage beats Metcash on 9 of the 9 factors compared between the two stocks.

About Natural Grocers by Vitamin Cottage

Natural Grocers by Vitamin Cottage, Inc., together with its subsidiaries, retails natural and organic groceries, and dietary supplements in the United States. The company’s stores offer natural and organic grocery products, such as organic produce; private label repackaged bulk products, including dried fruits, nuts, grains, granolas, teas, herbs, and spices, as well as peanut and almond butters; private label products comprising grocery staples, household products, bulk foods, and vitamins and dietary supplements, as well as organic eggs, organic flavored coffee, and organic mustard; dry, frozen, and canned groceries; meat and seafood products; dairy products, dairy substitutes, and eggs; prepared foods; bread and baked products; beverages; and beer, wine, and hard cider products. Its stores also provide name-brand supplements, as well as private label dietary supplements; body care products consisting of cosmetics, skin care, hair care, fragrance, and personal care products containing natural and organic ingredients; pet care and food products; books and handouts; household and general merchandise, including cleaning supplies, paper products, and dish and laundry soaps, as well as other common household products, such as diapers; and books and handouts. The company operates its retail stores under the Natural Grocers by Vitamin Cottage trademark, as well as Vitamin Cottage Natural Grocers and Health Hotline trademarks. The company also offers science-based nutrition education programs to help customers make informed health and nutrition choices. Natural Grocers by Vitamin Cottage, Inc. was founded in 1955 and is headquartered in Lakewood, Colorado.

About Metcash

Metcash Limited operates as a wholesale distribution and marketing company in Australia and New Zealand. It operates through Food, Liquor, and Hardware segments. The Food segment distributes a range of products and services to independent supermarket and convenience retail outlets. The Liquor segment engages in the distribution of liquor products to independent retail outlets and hotels. The Hardware segment distributes hardware products to independent retail outlets; and operates company owned retail stores. The company serves independent retailers in the food, liquor, and hardware sectors. Metcash Limited was founded in 1920 and is based in Macquarie Park, Australia.