Critical Analysis: Australian Oilseeds (COOT) and The Competition

Australian Oilseeds (NASDAQ:COOT) is one of 69 public companies in the “FOOD – MISC/DIVERSIFIED” industry, but how does it weigh in compared to its peers? We will compare Australian Oilseeds to related businesses based on the strength of its profitability, valuation, institutional ownership, earnings, dividends, risk and analyst recommendations.

Risk & Volatility

Australian Oilseeds has a beta of -0.01, meaning that its stock price is 101% less volatile than the S&P 500. Comparatively, Australian Oilseeds’ peers have a beta of 0.80, meaning that their average stock price is 20% less volatile than the S&P 500.

Institutional and Insider Ownership

12.9% of Australian Oilseeds shares are held by institutional investors. Comparatively, 54.9% of shares of all “FOOD – MISC/DIVERSIFIED” companies are held by institutional investors. 69.1% of Australian Oilseeds shares are held by company insiders. Comparatively, 15.1% of shares of all “FOOD – MISC/DIVERSIFIED” companies are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares Australian Oilseeds and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Australian Oilseeds	-2.98%	-104.19%	-4.15%
Australian Oilseeds Competitors	-5.86%	-18.89%	1.38%

Analyst Recommendations

This is a summary of current recommendations and price targets for Australian Oilseeds and its peers, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Australian Oilseeds	1	0	0	0	1.00
Australian Oilseeds Competitors	819	3654	3916	167	2.40

As a group, “FOOD – MISC/DIVERSIFIED” companies have a potential upside of 27.16%. Given Australian Oilseeds’ peers stronger consensus rating and higher possible upside, analysts plainly believe Australian Oilseeds has less favorable growth aspects than its peers.

Earnings and Valuation

This table compares Australian Oilseeds and its peers gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Australian Oilseeds	$41.70 million	-$840,000.00	-32.75
Australian Oilseeds Competitors	$8.99 billion	$395.89 million	43.26

Australian Oilseeds’ peers have higher revenue and earnings than Australian Oilseeds. Australian Oilseeds is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Summary

Australian Oilseeds peers beat Australian Oilseeds on 11 of the 13 factors compared.

Australian Oilseeds Company Profile

Australian Oilseeds Holdings Ltd. engages in the manufacture and sale oil seeds through its subsidiaries. It focuses on acquiring, engaging in a share exchange, share reconstruction, and amalgamation with, purchasing all or substantially all the assets of, entering contractual arrangements with, or engaging in any other similar business combination with one or more businesses or entities. The company was founded on December 29, 2022 and is headquartered in Cootamundra, Australia.