Analyzing Sow Good (OTCMKTS:SOWG) & Kewpie (OTCMKTS:KWPCY)

Sow Good (OTCMKTS:SOWG) and Kewpie (OTCMKTS:KWPCY) are both consumer defensive companies, but which is the superior investment? We will contrast the two businesses based on the strength of their institutional ownership, profitability, earnings, risk, valuation, dividends and analyst recommendations.

Valuation & Earnings

This table compares Sow Good and Kewpie’s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Sow Good	$27.28 million	7.11	-$3.06 million	($0.35)	-54.60
Kewpie	N/A	N/A	N/A	N/A	N/A

Kewpie has lower revenue, but higher earnings than Sow Good.

Profitability

This table compares Sow Good and Kewpie’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Sow Good	-19.05%	-91.69%	-23.25%
Kewpie	N/A	N/A	N/A

Analyst Ratings

This is a breakdown of recent ratings and price targets for Sow Good and Kewpie, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Sow Good	0	0	2	0	3.00
Kewpie	0	0	0	0	N/A

Sow Good currently has a consensus target price of $17.50, indicating a potential downside of 8.42%. Given Sow Good’s higher probable upside, equities research analysts clearly believe Sow Good is more favorable than Kewpie.

Insider and Institutional Ownership

10.7% of Sow Good shares are held by institutional investors. 62.3% of Sow Good shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Summary

Sow Good beats Kewpie on 5 of the 8 factors compared between the two stocks.

About Sow Good

Sow Good Inc. produces and sells freeze-dried candy, snacks, smoothies, and granola in the United States. It markets its products through direct-to-consumer focused websites, as well as through the business-to-business sales channels. The company offers its products under the Sow Good and Sustain Us brands. The company was formerly known as Black Ridge Oil & Gas, Inc. and changed its name to Sow Good Inc. in January 2021. Sow Good Inc. was incorporated in 2010 and is based in Irving, Texas.

About Kewpie

Kewpie Corporation, through its subsidiaries, engages in the manufacturing, wholesaling, transporting, and warehousing of food products in Japan and internationally. It offers condiments, including mayonnaise and dressings, and vinegar; egg products, such as liquid eggs, frozen eggs, dried eggs, egg spreads, and thick omelets; and delicatessen products comprising salads and delicatessen foods, and packaged salads. The company also provides processed foods consisting of bottled and/or canned foods, such as jams, fruit, pasta sauces, baby foods, and nursing care foods; and fine chemical products, including hyaluronic acid and others. In addition, it produces and sells fresh vegetables, dried meat, and machinery and equipment; provides consigned clerical work; engages in transportation and warehousing of food products, and sells equipment for cars, as well as is involved in the mail-order business. Further, the company offers advertising, publicity, and exhibitions services, as well as financial and business management services. The company was founded in 1919 and is headquartered in Tokyo, Japan.