Reviewing Unrivaled Brands (OTCMKTS:UNRV) & Lavoro (NASDAQ:LVRO)

Lavoro (NASDAQ:LVRO) and Unrivaled Brands (OTCMKTS:UNRV) are both small-cap consumer staples companies, but which is the better investment? We will contrast the two businesses based on the strength of their risk, profitability, valuation, analyst recommendations, dividends, earnings and institutional ownership.

Profitability

This table compares Lavoro and Unrivaled Brands’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Lavoro	-5.10%	-19.64%	-4.10%
Unrivaled Brands	-2.37%	N/A	-1.16%

Valuation and Earnings

This table compares Lavoro and Unrivaled Brands’ revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Lavoro	$9.29 billion	0.07	-$50.50 million	($0.84)	-6.70
Unrivaled Brands	$52.01 million	6.71	-$188.93 million	$0.01	45.00

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

Risk & Volatility

Lavoro has a beta of 0.24, indicating that its stock price is 76% less volatile than the S&P 500. Comparatively, Unrivaled Brands has a beta of 2.7, indicating that its stock price is 170% more volatile than the S&P 500.

Insider and Institutional Ownership

2.5% of Lavoro shares are owned by institutional investors. 17.2% of Unrivaled Brands shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Lavoro and Unrivaled Brands, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Lavoro	0	1	2	0	2.67
Unrivaled Brands	0	0	0	0	N/A

Lavoro presently has a consensus target price of $9.00, suggesting a potential upside of 59.86%. Given Lavoro’s higher possible upside, analysts plainly believe Lavoro is more favorable than Unrivaled Brands.

Summary

Unrivaled Brands beats Lavoro on 8 of the 13 factors compared between the two stocks.

About Lavoro

Lavoro Limited operates as an agricultural inputs retailer. The company operates through three segments: Brazil Cluster, LATAM Cluster, and Crop Care Cluster. It distributes agricultural inputs, such as crop protection, seeds, fertilizers, foliar fertilizers, biologicals, adjuvants, organominerals, and others for the agricultural industry. The company also produces specialty fertilizers, crop protection products, and biological crop inputs. It operates in Brazil, Colombia, and Uruguay. The company sells its products through its physical stores and digital channel. Lavoro Limited was founded in 2017 and is headquartered in São Paulo, Brazil.

About Unrivaled Brands

Unrivaled Brands, Inc. cultivates, produces, distributes, and retails medical and adult use cannabis products in California, Oregon, and Nevada. It also operates medical marijuana retail and adult use dispensaries, cultivation, and production facilities. The company was formerly known as Terra Tech Corp. and changed its name to Unrivaled Brands, Inc. in July 2021. Unrivaled Brands, Inc. was founded in 2010 and is based in Santa Ana, California.