Kenvue (NYSE:KVUE) versus Natural Alternatives International (NASDAQ:NAII) Critical Comparison

Natural Alternatives International (NASDAQ:NAII) and Kenvue (NYSE:KVUE) are both consumer staples companies, but which is the superior stock? We will compare the two businesses based on the strength of their institutional ownership, valuation, earnings, analyst recommendations, profitability, risk and dividends.

Risk and Volatility

Natural Alternatives International has a beta of 0.36, meaning that its stock price is 64% less volatile than the S&P 500. Comparatively, Kenvue has a beta of 0.47, meaning that its stock price is 53% less volatile than the S&P 500.

Institutional & Insider Ownership

32.4% of Natural Alternatives International shares are owned by institutional investors. Comparatively, 97.6% of Kenvue shares are owned by institutional investors. 20.8% of Natural Alternatives International shares are owned by company insiders. Comparatively, 1.6% of Kenvue shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Profitability

This table compares Natural Alternatives International and Kenvue’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Natural Alternatives International	-10.13%	-12.21%	-5.30%
Kenvue	10.76%	21.22%	8.37%

Analyst Recommendations

This is a summary of current recommendations and price targets for Natural Alternatives International and Kenvue, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Natural Alternatives International	1	0	0	0	1.00
Kenvue	0	12	3	0	2.20

Kenvue has a consensus price target of $19.27, suggesting a potential upside of 1.97%. Given Kenvue’s stronger consensus rating and higher possible upside, analysts clearly believe Kenvue is more favorable than Natural Alternatives International.

Valuation & Earnings

This table compares Natural Alternatives International and Kenvue”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Natural Alternatives International	$129.86 million	0.10	-$13.57 million	($2.39)	-0.88
Kenvue	$15.12 billion	2.40	$1.47 billion	$0.87	21.72

Kenvue has higher revenue and earnings than Natural Alternatives International. Natural Alternatives International is trading at a lower price-to-earnings ratio than Kenvue, indicating that it is currently the more affordable of the two stocks.

Summary

Kenvue beats Natural Alternatives International on 13 of the 14 factors compared between the two stocks.

About Natural Alternatives International

Natural Alternatives International, Inc. engages in formulating, manufacturing, and marketing nutritional supplements in the United States, Europe, Australia, Asia, Mexico, and Canada. The company operates in two segments, Private-Label Contract Manufacturing, and Patent and Trademark Licensing. It offers private-label contract manufacturing services to companies that market and distribute vitamins, minerals, herbal, and other nutritional supplements, as well as other health care products. The company also provides strategic partnering services, such as customized product formulation, clinical study design and support, manufacturing, marketing support, international regulatory and label law compliance, international product registration, packaging in multiple formats and labeling design, scientific research, proprietary ingredients, customer-specific nutritional product formulation, product testing and evaluation, marketing management, packaging and delivery system design, regulatory review, and international product registration assistance. In addition, it sells beta-alanine ingredient under the CarnoSyn and SR CarnoSyn names. The company manufactures products in various forms, including capsules, tablets, chewable wafers, and powders. Its private-label contract manufacturing customers include companies that market nutritional supplements through direct sales marketing channels, direct to consumer e-commerce channels, and retail stores. The company was founded in 1980 and is headquartered in Carlsbad, California.

About Kenvue

Kenvue Inc. operates as a consumer health company worldwide. The company operates through three segments: Self Care, Skin Health and Beauty, and Essential Health. The Self Care segment offers cough, cold and allergy, pain care, digestive health, smoking cessation, eye care, and other products under the Tylenol, Motrin, Benadryl, Nicorette, Zarbee's, ORSLTM, Rhinocort, Calpol, and Zyrtec brands. The Skin Health and Beauty segment provides face and body care, hair, sun, and other care products under the Neutrogena, Aveeno, Dr.Ci:Labo, Le Petit Marseillais, Lubriderm, Rogaine, and OGX brand names. The Essential Health segment offers oral and baby, women's health, wound, and other care products under the Listerine, Johnson's, Band-Aid, and Stayfree, o.b., tampons, Carefree, and Desitin Diaper Rash brands. The company was incorporated in 2022 and is headquartered in Skillman, New Jersey.