Analyzing Curaleaf (OTCMKTS:CURLF) and Smart for Life (NASDAQ:SMFL)

Curaleaf (OTCMKTS:CURLF) and Smart for Life (NASDAQ:SMFL) are both small-cap consumer discretionary companies, but which is the superior stock? We will compare the two businesses based on the strength of their risk, earnings, analyst recommendations, institutional ownership, profitability, dividends and valuation.

Risk and Volatility

Curaleaf has a beta of 0.83, indicating that its stock price is 17% less volatile than the S&P 500. Comparatively, Smart for Life has a beta of 0.88, indicating that its stock price is 12% less volatile than the S&P 500.

Profitability

This table compares Curaleaf and Smart for Life’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Curaleaf	-18.59%	-14.75%	-5.19%
Smart for Life	N/A	N/A	N/A

Insider & Institutional Ownership

0.0% of Curaleaf shares are owned by institutional investors. Comparatively, 28.4% of Smart for Life shares are owned by institutional investors. 31.7% of Smart for Life shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Valuation & Earnings

This table compares Curaleaf and Smart for Life”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Curaleaf	$1.35 billion	1.44	-$281.20 million	($0.39)	-7.68
Smart for Life	$11.11 million	0.00	-$22.68 million	($1,115.67)	0.00

Smart for Life has lower revenue, but higher earnings than Curaleaf. Curaleaf is trading at a lower price-to-earnings ratio than Smart for Life, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a summary of recent recommendations for Curaleaf and Smart for Life, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Curaleaf	0	0	1	0	3.00
Smart for Life	0	0	0	0	N/A

Curaleaf presently has a consensus target price of $6.25, indicating a potential upside of 108.68%. Given Curaleaf’s higher probable upside, analysts clearly believe Curaleaf is more favorable than Smart for Life.

Summary

Smart for Life beats Curaleaf on 8 of the 13 factors compared between the two stocks.

About Curaleaf

Curaleaf Holdings, Inc. operates a cannabis operator in the United States. It operates through two segments, Domestic Operations and International Operations. The company offers flower, pre-rolls, flower pots, and dry-herb vaporizer cartridges; concentrates for vaporizing which includes pre-filled vaporizer cartridges and disposable vaporizer pens; and concentrates for dabbing, such as mints, distillate droppers, mints, topical balms and lotions, tinctures, lozenges, capsules, and edibles. It also provides hemp-based products and cannabinoids, such as cannabidiol and cannabigerol. In addition, the company engages in the cultivation, production, and sale of cannabis products through retail and wholesale channels. The company is headquartered in New York, New York.

About Smart for Life

Smart for Life, Inc. acquires, develops, manufactures, operates, markets, and sells nutraceutical and related products in the United States and internationally. It offers natural health and wellness meal replacement products, including nutrition bars, cookies, soups and shakes, vitamins, and supplements under the Smart for Life brand; dietary supplements; and nutritional products, including whey protein isolate powder, tablet supplements for joint health, nitric oxide, post workout blends, Omega-3 supplements, and pre-workout supplements under the Sports Illustrated Nutrition brand for athletes and active lifestyle consumers. The company also provides various nutritional products, including antioxidant rich supplements, plant-based proteins, alkalizing nutrients, and weight management products. It sells its products through online market platforms. The company was formerly known as Bonne Santé Group, Inc. and changed its name to Smart for Life, Inc. in August 2021. Smart for Life, Inc. was founded in 2002 and is based in Boca Raton, Florida.