Zevia PBC (NYSE:ZVIA) & Primo Brands (NYSE:PRMB) Head-To-Head Survey

Zevia PBC (NYSE:ZVIA) and Primo Brands (NYSE:PRMB) are both consumer staples companies, but which is the superior investment? We will contrast the two businesses based on the strength of their profitability, risk, dividends, valuation, analyst recommendations, earnings and institutional ownership.

Insider and Institutional Ownership

53.2% of Zevia PBC shares are owned by institutional investors. Comparatively, 87.7% of Primo Brands shares are owned by institutional investors. 12.6% of Zevia PBC shares are owned by insiders. Comparatively, 2.5% of Primo Brands shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Valuation and Earnings

This table compares Zevia PBC and Primo Brands”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Zevia PBC	$166.42 million	1.49	-$21.49 million	($0.38)	-8.91
Primo Brands	$4.84 billion	2.62	$238.10 million	$1.61	20.79

Primo Brands has higher revenue and earnings than Zevia PBC. Zevia PBC is trading at a lower price-to-earnings ratio than Primo Brands, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of recent ratings and price targets for Zevia PBC and Primo Brands, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Zevia PBC	0	4	0	0	2.00
Primo Brands	0	0	4	0	3.00

Zevia PBC currently has a consensus target price of $2.69, indicating a potential downside of 20.63%. Primo Brands has a consensus target price of $37.75, indicating a potential upside of 12.78%. Given Primo Brands’ stronger consensus rating and higher probable upside, analysts plainly believe Primo Brands is more favorable than Zevia PBC.

Risk & Volatility

Zevia PBC has a beta of 0.65, indicating that its share price is 35% less volatile than the S&P 500. Comparatively, Primo Brands has a beta of 1.1, indicating that its share price is 10% more volatile than the S&P 500.

Profitability

This table compares Zevia PBC and Primo Brands’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Zevia PBC	-14.02%	-38.02%	-25.67%
Primo Brands	13.63%	8.80%	3.62%

Summary

Primo Brands beats Zevia PBC on 13 of the 14 factors compared between the two stocks.

About Zevia PBC

Zevia PBC, a beverage company, develops, markets, sells, and distributes various carbonated beverages in the United States and Canada. It offers soda, energy drinks, organic tea, and kidz drinks. The company offers its products through a network of food, drug, warehouse club, mass, natural, convenience, and e-commerce channels, as well as grocery distributors and natural product stores and specialty outlets. It provides its products under the Zevia brand name. The company was founded in 2007 and is headquartered in Encino, California.

About Primo Brands

Primo Water Corporation is a leading pure-play water solutions provider in North America and Europe. Primo operates largely under a recurring razor/razorblade revenue model. The razor in Primo’s revenue model is its industry leading line-up of sleek and innovative water dispensers, which are sold through major retailers and online at various price points or leased to customers. The dispensers help increase household penetration, which drives recurring purchases of Primo’s razorblade offering. Primo’s razorblade offering is comprised of Water Direct, Water Exchange, and Water Refill. Primo’s water solutions expand consumer access to purified, spring and mineral water to promote a healthier, more sustainable lifestyle while simultaneously reducing plastic waste and pollution. Primo is committed to its water stewardship standards and is proud to partner with the International Bottled Water Association in North America as well as with Watercoolers Europe.