Greenlane (NASDAQ:GNLN) and SunOpta (NASDAQ:STKL) Critical Review

SunOpta (NASDAQ:STKL) and Greenlane (NASDAQ:GNLN) are both small-cap consumer staples companies, but which is the superior stock? We will compare the two companies based on the strength of their profitability, valuation, risk, analyst recommendations, earnings, dividends and institutional ownership.

Profitability

This table compares SunOpta and Greenlane’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SunOpta	0.16%	14.91%	3.38%
Greenlane	-532.82%	-164.19%	-85.38%

Earnings & Valuation

This table compares SunOpta and Greenlane”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SunOpta	$723.73 million	1.07	-$17.39 million	N/A	N/A
Greenlane	$13.27 million	0.53	-$17.64 million	($255.77)	0.00

SunOpta has higher revenue and earnings than Greenlane.

Volatility & Risk

SunOpta has a beta of 1.13, suggesting that its share price is 13% more volatile than the S&P 500. Comparatively, Greenlane has a beta of 1.23, suggesting that its share price is 23% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of current recommendations for SunOpta and Greenlane, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SunOpta	1	2	2	0	2.20
Greenlane	1	0	0	0	1.00

SunOpta currently has a consensus price target of $8.00, suggesting a potential upside of 24.42%. Given SunOpta’s stronger consensus rating and higher probable upside, research analysts clearly believe SunOpta is more favorable than Greenlane.

Institutional & Insider Ownership

85.4% of SunOpta shares are held by institutional investors. Comparatively, 14.0% of Greenlane shares are held by institutional investors. 1.9% of SunOpta shares are held by insiders. Comparatively, 0.2% of Greenlane shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Summary

SunOpta beats Greenlane on 12 of the 13 factors compared between the two stocks.

About SunOpta

SunOpta Inc. engages in manufacture and sale of plant-based and fruit-based food and beverage products in the United States, Canada, and internationally. The company provides plant-based beverages utilizing oat, almond, soy, coconut, rice, hemp, and other bases under the Dream and West Life brands; oat-based creamers under the SOWN brand; ready-to-drink protein shakes; and nut, grain, seed, and legume based beverages; packaged teas and concentrates; and meat and vegetable broths and stocks. It also offers plant-based ingredients, such as oatbase, oatgold, soybase, hempbase, and soypowders and okara; ready-to-eat fruit snacks made from apple purée and juice concentrate in bar, bit, twist, strip and sandwich formats; cold pressed fruit bars; liquid and powder ingredients utilizing oat, soy and hemp bases; ready-to-eat fruit smoothie and chia bowls topped with frozen fruit; consumer products, which includes protein shakes, teas, broths, and fruit snacks; and liquid and dry ingredients for internal use and for sale to other food and beverage manufacturers. It sells its products through various distribution channels including private label products to retail customers; branded products under co-manufacturing agreements to other branded food companies for their distribution; and its own branded products to retail and foodservice customers. The company was formerly known as Stake Technology Ltd. and changed its name to SunOpta Inc. in October 2003. SunOpta Inc. was incorporated in 1973 and is headquartered in Eden Prairie, Minnesota.

About Greenlane

Greenlane Holdings, Inc. develops and distributes cannabis accessories, vape solutions, and lifestyle products in the United States, Canada, and Europe. It operates in two segments, Consumer Goods and Industrial Goods. The company provides consumption accessories, vaporizers, pipes, rolling papers, grinders, and apparel lines, as well as bubblers, rigs, other smoking and vaporization related accessories, and merchandise. It offers its products under the Groove, Eyce, DaVinci, Higher Standards, Pollen Gear, Marley Natural, and Keith Haring brands. The company also operates e-commerce websites, such as Vapor.com, Vaposhop.com, DaVinciVaporizer.com, PuffItUp.com, HigherStandards.com, EyceMolds.com, and MarleyNaturalShop.com. It serves customers through smoke shops, cannabis dispensaries, and specialty retailers. The company was founded in 2005 and is headquartered in Boca Raton, Florida.