Central Garden & Pet (NASDAQ:CENTA) versus Koala (OTCMKTS:KARE) Head to Head Analysis

Central Garden & Pet (NASDAQ:CENTA) and Koala (OTCMKTS:KARE) are both consumer discretionary companies, but which is the better business? We will contrast the two businesses based on the strength of their dividends, earnings, institutional ownership, analyst recommendations, valuation, profitability and risk.

Profitability

This table compares Central Garden & Pet and Koala’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Central Garden & Pet	4.44%	10.77%	4.65%
Koala	N/A	N/A	N/A

Analyst Ratings

This is a breakdown of recent ratings and price targets for Central Garden & Pet and Koala, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Central Garden & Pet	0	5	1	0	2.17
Koala	0	0	0	0	0.00

Central Garden & Pet currently has a consensus price target of $38.67, indicating a potential upside of 33.06%. Given Central Garden & Pet’s stronger consensus rating and higher possible upside, equities research analysts clearly believe Central Garden & Pet is more favorable than Koala.

Institutional and Insider Ownership

50.8% of Central Garden & Pet shares are owned by institutional investors. 20.3% of Central Garden & Pet shares are owned by company insiders. Comparatively, 8.1% of Koala shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Valuation and Earnings

This table compares Central Garden & Pet and Koala”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Central Garden & Pet	$3.20 billion	0.57	$107.98 million	$2.20	13.21
Koala	N/A	N/A	N/A	N/A	N/A

Central Garden & Pet has higher revenue and earnings than Koala.

Summary

Central Garden & Pet beats Koala on 9 of the 9 factors compared between the two stocks.

About Central Garden & Pet

Central Garden & Pet Co. engages in the production and distribution of branded and private label products for the lawn, garden, and pet supplies markets. It operates through the Pet and Garden segments. The Pet segment focuses on dog and cat supplies such as dog treats and chews, toys, pet beds and containment, grooming products, waste management and training pads, supplies for aquatics, small animals, reptiles and pet birds including toys, cages and habitats, bedding, food and supplements, products for equine and livestock, animal and household health and insect control products, live fish, and small animals, as well as outdoor cushions. The Garden segment includes lawn and garden consumables such as grass, vegetable, flower and herb seed, wild bird feed, bird houses and other birding accessories, weed, grass, and other herbicides, insecticide and pesticide products, fertilizers, and live plants. The company was founded by William E. Brown in 1980 and is headquartered in Walnut Creek, CA.

About Koala

Koala Corporation, doing business as Tech World, Inc., a technology company, offers technical services in the areas of security administration, architecture and paradigms, access management system and processes, applications development, operations, data encryption, telecommunications, network and WAN, business continuity planning, crime law, and investigation and ethics. It also provides alternative energy sources for commercial offices and residential houses, and retirement homes; secure and phone encryption communication services; cellular and wireless data services; and staff augmentation and forensic recovery services, as well as writes applications for mobile phones. In addition, the company offers products for the government market that include thermal imaging cameras, secure communication systems, cellular and satellite phones, ERP and CRM software, and RFID and tracking equipment; and the fuel industry, such as car and truck HHO systems, fuel additives, water-engine heating and home cooking systems, and acetylene replacements. Further, it provides products for the television (TV) market, including 2-D to 3-D conversion boxes, cable TV networks, Internet over cable systems, and satellite TV and data systems; and the telecom market, such as calling cards, direct VOIP systems, WI-max and mobile banking systems, network management products, and unified communication systems, as well as for green-energy and bank markets. The company was incorporated in 1993 and is based in Vienna, Virginia.