BellRing Brands (NYSE:BRBR) vs. US Foods (NYSE:USFD) Head to Head Review

BellRing Brands (NYSE:BRBR) and US Foods (NYSE:USFD) are both consumer staples companies, but which is the superior business? We will contrast the two companies based on the strength of their analyst recommendations, risk, profitability, earnings, institutional ownership, valuation and dividends.

Profitability

This table compares BellRing Brands and US Foods’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
BellRing Brands	9.33%	-95.87%	29.63%
US Foods	1.43%	17.71%	5.88%

Volatility & Risk

BellRing Brands has a beta of 0.65, meaning that its stock price is 35% less volatile than the S&P 500. Comparatively, US Foods has a beta of 1.03, meaning that its stock price is 3% more volatile than the S&P 500.

Insider and Institutional Ownership

95.0% of BellRing Brands shares are held by institutional investors. Comparatively, 98.8% of US Foods shares are held by institutional investors. 1.5% of BellRing Brands shares are held by company insiders. Comparatively, 0.6% of US Foods shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Valuation & Earnings

This table compares BellRing Brands and US Foods”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
BellRing Brands	$2.32 billion	1.28	$216.20 million	$1.68	14.79
US Foods	$37.88 billion	0.49	$494.00 million	$2.40	34.81

US Foods has higher revenue and earnings than BellRing Brands. BellRing Brands is trading at a lower price-to-earnings ratio than US Foods, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of recent ratings and target prices for BellRing Brands and US Foods, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
BellRing Brands	1	6	11	0	2.56
US Foods	0	2	9	0	2.82

BellRing Brands currently has a consensus price target of $40.25, suggesting a potential upside of 62.00%. US Foods has a consensus price target of $90.00, suggesting a potential upside of 7.71%. Given BellRing Brands’ higher probable upside, research analysts plainly believe BellRing Brands is more favorable than US Foods.

Summary

US Foods beats BellRing Brands on 8 of the 14 factors compared between the two stocks.

About BellRing Brands

BellRing Brands, Inc., together with its subsidiaries, provides various nutrition products in the United States. The company offers ready-to-drink (RTD) protein shakes, other RTD beverages, powders, nutrition bars, and other products primarily under the Premier Protein and Dymatize brands. It distributes its products through club, food, drug, mass, eCommerce, specialty, and convenience channels. BellRing Brands, Inc. was incorporated in 2019 and is headquartered in Saint Louis, Missouri.

About US Foods

US Foods Holding Corp., together with its subsidiaries, engages in marketing, sale, and distribution of fresh, frozen, and dry food and non-food products to foodservice customers in the United States. The company's customers include independently owned single and multi-unit restaurants, regional concepts, national restaurant chains, hospitals, nursing homes, hotels and motels, country clubs, government and military organizations, colleges and universities, and retail locations. The company was formerly known as USF Holding Corp. and changed its name to US Foods Holding Corp. in February 2016. US Foods Holding Corp. was incorporated in 2007 and is headquartered in Rosemont, Illinois.