Head to Head Review: Molson Coors Beverage (NYSE:TAP) and Innovation Beverage Group (NASDAQ:IBG)

Innovation Beverage Group (NASDAQ:IBG) and Molson Coors Beverage (NYSE:TAP) are both consumer staples companies, but which is the better stock? We will compare the two businesses based on the strength of their dividends, analyst recommendations, valuation, earnings, risk, institutional ownership and profitability.

Insider and Institutional Ownership

78.5% of Molson Coors Beverage shares are owned by institutional investors. 2.7% of Molson Coors Beverage shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Valuation and Earnings

This table compares Innovation Beverage Group and Molson Coors Beverage”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Innovation Beverage Group	$2.93 million	0.41	-$2.57 million	N/A	N/A
Molson Coors Beverage	$13.04 billion	0.59	-$2.14 billion	($10.85)	-3.79

Innovation Beverage Group has higher earnings, but lower revenue than Molson Coors Beverage.

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Innovation Beverage Group and Molson Coors Beverage, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Innovation Beverage Group	0	0	0	0	0.00
Molson Coors Beverage	5	9	5	0	2.00

Molson Coors Beverage has a consensus target price of $51.35, indicating a potential upside of 24.87%. Given Molson Coors Beverage’s stronger consensus rating and higher possible upside, analysts clearly believe Molson Coors Beverage is more favorable than Innovation Beverage Group.

Profitability

This table compares Innovation Beverage Group and Molson Coors Beverage’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Innovation Beverage Group	N/A	N/A	N/A
Molson Coors Beverage	-16.41%	9.04%	4.40%

Risk and Volatility

Innovation Beverage Group has a beta of 3.92, suggesting that its share price is 292% more volatile than the S&P 500. Comparatively, Molson Coors Beverage has a beta of 0.49, suggesting that its share price is 51% less volatile than the S&P 500.

Summary

Molson Coors Beverage beats Innovation Beverage Group on 9 of the 12 factors compared between the two stocks.

About Innovation Beverage Group

Innovation Beverage Group (formerly Australian Boutique Spirits) is an award-winning distillery that produces a variety of brands in-house and imports global brands to sell exclusively to the Australian market through bevmart.com.au. It was recently recognized as the Australian Liqueur Distillery of the year by the Melbourne International Spirits Competition.

About Molson Coors Beverage

Molson Coors Beverage Company manufactures, markets, and sells beer and other malt beverage products under various brands in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. The company offers flavored malt beverages including hard seltzers, craft, spirits and energy, and ready to drink beverages. It provides its products under Aspall Cider, Blue Moon, Coors Original, Five Trail, Hop Valley brands, Leinenkugel’s, Madri, Miller Genuine Draft, Molson Ultra, Sharp’s, Staropramen, and Vizzy Hard Seltzer above premier brands; Bergenbier, Borsodi, Carling, Coors Banquet, Coors Light, Jelen, Kamenitza, Miller Lite, Molson Canadian, and Niksicko, Ozujsko under the premium brands; and Branik, Icehouse, Keystone, Miller High Life, Milwaukee’s Best, and Steel Reserve under the economy brands. The company was formerly known as Molson Coors Brewing Company and changed its name to Molson Coors Beverage Company in January 2020. Molson Coors Beverage Company was founded in 1774 and is based in Golden, Colorado.