Mission Produce (AVO) versus The Competition Financial Analysis

Mission Produce (NASDAQ:AVO) is one of 328 public companies in the “Food Products” industry, but how does it weigh in compared to its rivals? We will compare Mission Produce to similar businesses based on the strength of its institutional ownership, earnings, profitability, risk, dividends, valuation and analyst recommendations.

Profitability

This table compares Mission Produce and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Mission Produce	0.12%	5.91%	3.41%
Mission Produce Competitors	-12.89%	-118.90%	-2.05%

Risk & Volatility

Mission Produce has a beta of 0.45, indicating that its stock price is 55% less volatile than the S&P 500. Comparatively, Mission Produce’s rivals have a beta of -3.82, indicating that their average stock price is 482% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of current recommendations for Mission Produce and its rivals, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Mission Produce	1	0	4	1	2.83
Mission Produce Competitors	2459	8310	8389	405	2.34

Mission Produce presently has a consensus target price of $16.00, suggesting a potential upside of 35.88%. As a group, “Food Products” companies have a potential upside of 15.67%. Given Mission Produce’s stronger consensus rating and higher probable upside, equities analysts plainly believe Mission Produce is more favorable than its rivals.

Insider and Institutional Ownership

63.6% of Mission Produce shares are held by institutional investors. Comparatively, 38.8% of shares of all “Food Products” companies are held by institutional investors. 30.8% of Mission Produce shares are held by insiders. Comparatively, 18.4% of shares of all “Food Products” companies 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.

Earnings & Valuation

This table compares Mission Produce and its rivals gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Mission Produce	$1.39 billion	$37.70 million	392.50
Mission Produce Competitors	$6.86 billion	$703.44 million	-2,425.81

Mission Produce’s rivals have higher revenue and earnings than Mission Produce. Mission Produce is trading at a higher price-to-earnings ratio than its rivals, indicating that it is currently more expensive than other companies in its industry.

Summary

Mission Produce beats its rivals on 11 of the 13 factors compared.

About Mission Produce

Mission Produce is a global producer, packer and distributor of fresh avocados and other fruit. The company sources produce from growing regions around the world and provides services that include packing, ripening, quality control and distribution. Founded in 1983 by Steve Barnard, Mission Produce has built a global supply chain serving customers in North America, Europe and Asia. Its sourcing network includes countries such as Mexico, Peru, Chile and Colombia, helping supply fruit across different growing seasons.