Comparing Vital Farms (NASDAQ:VITL) & Borealis Foods (NASDAQ:BRLS)

Vital Farms (NASDAQ:VITL) and Borealis Foods (NASDAQ:BRLS) are both small-cap consumer staples companies, but which is the superior stock? We will compare the two businesses based on the strength of their profitability, institutional ownership, risk, valuation, analyst recommendations, dividends and earnings.

Volatility and Risk

Vital Farms has a beta of 0.93, indicating that its share price is 7% less volatile than the S&P 500. Comparatively, Borealis Foods has a beta of 0.6, indicating that its share price is 40% less volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent recommendations for Vital Farms and Borealis Foods, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Vital Farms	0	1	6	0	2.86
Borealis Foods	0	0	0	0	0.00

Vital Farms currently has a consensus price target of $41.00, suggesting a potential upside of 8.78%. Given Vital Farms’ stronger consensus rating and higher possible upside, equities research analysts clearly believe Vital Farms is more favorable than Borealis Foods.

Institutional & Insider Ownership

98.6% of Vital Farms shares are owned by institutional investors. Comparatively, 34.7% of Borealis Foods shares are owned by institutional investors. 27.6% of Vital Farms shares are owned by insiders. Comparatively, 16.2% of Borealis Foods shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Earnings & Valuation

This table compares Vital Farms and Borealis Foods”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Vital Farms	$576.13 million	2.86	$25.57 million	$1.12	33.65
Borealis Foods	-$1.62 million	-78.72	-$2.94 million	N/A	N/A

Vital Farms has higher revenue and earnings than Borealis Foods.

Profitability

This table compares Vital Farms and Borealis Foods’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Vital Farms	8.68%	22.29%	16.13%
Borealis Foods	N/A	-28.23%	-3.08%

Summary

Vital Farms beats Borealis Foods on 12 of the 12 factors compared between the two stocks.

About Vital Farms

Vital Farms, Inc., a food company, provides pasture-raised products in the United States. It offers shell eggs, butter, hard-boiled eggs, and liquid whole eggs. The company was founded in 2007 and is headquartered in Austin, Texas.

About Borealis Foods

Borealis Foods Inc. operates as a food technology company that develops plant-based ready-to-eat meals. The company also developed ambient ready-to-eat high-protein meals for U.S. and global humanitarian food programs. Its products include Chef Woo, a plant based instant ramen meals that provides with 20 grams of plant-based complete protein; and Ramen Express, a vegetarian ramen noodles. The company distributes its products via retail partners across the U.S., Canada, Mexico and Europe and also sells its products online. The company is based in Oakville, Canada.