Contrasting Reed's (NYSE:REED) & Zevia PBC (NYSE:ZVIA)

Which is the better investment? We will compare these two companies based on their valuation, risk, analyst ratings, profitability, dividends and institutional ownership.

Volatility, Risk and Cost

Reed's shares are 62% more volatile, according to a beta value of 1.62. MarketBeat has provided a list of the current price targets and recommendations for Reed's PBC and Zevia PBC.

Sell Ratings

Hold Ratings

Buy Ratings

Strong Buy Ratings

Rating Score

Reed's

0

0

0

0

N/A

Zevia PBC

0

2

2

0

2.50

Zevia PBC's consensus target price is $5.13. This indicates a potential upside gain of 34.51%. Analysts clearly prefer Zevia PBC over Reed's because of the higher potential upside.

Insiders & Institutional Ownership

Institutional investors hold 35.8% Reed's shares. Zevia PBC's shares are owned by institutional investors in a similar proportion (43.3%). Insiders own 29.9% Reed's stock. Comparatively speaking, insiders own 13.6% of Zevia PBC's shares. A high level of institutional ownership indicates that hedge funds, endowments, and large money managers believe the company will perform better than the market in the long run.

Earnings and Value

This table compares the top-line revenue of Reed's PBC and Zevia PBC, as well as their earnings per share and market valuation.

Gross Revenue

Price/Sales Ratio

Net Income

Earnings per Share

Price to Earnings Ratio

Reed's

$53,04 Million

0.14

-$19.22 millions

($8.99)

-0.31

Zevia PBC

$163.18 Million

1.64

-$33.86 millions

($0.59)

-6.46

Reed's is more profitable, but has lower revenue. Zevia PBC has a lower Price-to-Earnings Ratio than Reed's. This indicates that Zevia PBC's stock is more affordable.

Profitability

The table below compares the net margins of Reed's PBC and Zevia PBC, as well as their return on equity and assets.

Net Margins

Return on Equity

Return on Assets

Reed's

-36.23%

-12,036.32%

-59.55%

Zevia PBC

-14.87%

-29.90%

-22.86%

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Zevia PBC is better than Reed's in 9 out of 13 factors when comparing the two stocks.

Reed's

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Reed's, Inc. manufactures and distributes carbonated and noncarbonated beverages. Reed's Ginger Brews and Virgil's Root Beer are among its product lines. Christopher J. Reed founded the company in Norwalk in June 1987.

Zevia PBC

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Zevia PBC is a beverage company that develops, markets and sells carbonated and noncarbonated soft drinks throughout the United States and Canada. It sells soda, energy drinks and organic tea. It also offers mixers, kidz drinks and sparkling water. It sells its products via a variety of retail channels including supermarket distributors, national retailers and warehouse clubs, natural products retailers as well as online channels. Zevia is the brand name under which it sells its products. MarketBeat.com offers a FREE daily email newsletter
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