SpartanNash (NASDAQ:SPTN) & Drinks Americas (OTCMKTS:DKAM) Critical Analysis

SpartanNash (NASDAQ:SPTN) and Drinks Americas (OTCMKTS:DKAM) are both retail/wholesale companies, but which is the better stock? We will contrast the two companies based on the strength of their institutional ownership, dividends, analyst recommendations, profitability, valuation, risk and earnings.

Insider & Institutional Ownership

84.6% of SpartanNash shares are held by institutional investors. 1.4% of SpartanNash shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Volatility & Risk

SpartanNash has a beta of 0.44, indicating that its share price is 56% less volatile than the S&P 500. Comparatively, Drinks Americas has a beta of 1.16, indicating that its share price is 16% more volatile than the S&P 500.

Valuation and Earnings

This table compares SpartanNash and Drinks Americas”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SpartanNash	$9.55 billion	0.09	$300,000.00	($0.32)	-82.97
Drinks Americas	N/A	N/A	N/A	N/A	N/A

SpartanNash has higher revenue and earnings than Drinks Americas.

Profitability

This table compares SpartanNash and Drinks Americas’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SpartanNash	-0.11%	8.26%	2.51%
Drinks Americas	N/A	N/A	N/A

Analyst Ratings

This is a breakdown of current ratings and target prices for SpartanNash and Drinks Americas, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SpartanNash	0	2	0	0	2.00
Drinks Americas	0	0	0	0	0.00

SpartanNash currently has a consensus target price of $18.45, suggesting a potential downside of 30.51%. Given Drinks Americas’ higher probable upside, analysts plainly believe Drinks Americas is more favorable than SpartanNash.

Summary

SpartanNash beats Drinks Americas on 6 of the 9 factors compared between the two stocks.

About SpartanNash

SpartanNash Company distributes and retails grocery products in the United States of America. It operates through Wholesale and Retail segments. The Wholesale segment offers grocery products and perishable food products, including dry groceries, produce, dairy products, meat, delicatessen items, bakery goods, frozen food, seafood, floral products, general merchandise, beverages, tobacco products, health and beauty care, and pharmaceutical products to independent retailers, national accounts, food service distributors, e-commerce providers, and corporate owned retail stores. This segment offers various support services to independent retailers. The Retail segment operates retail stores, fuel centers, and pharmacies primarily under the banners of Family Fare, Martin’s Super Markets, D&W Fresh Market, VG’s Grocery, Family Fresh Market, Supermercado Nuestra Familia, Forest Hills Foods, Dillonvale IGA, and Fresh City Market. It supplies private brand products to military commissaries. The company was formerly known as Spartan Stores, Inc. and changed its name to SpartanNash Company in November 2013. SpartanNash Company was founded in 1917 and is headquartered in Grand Rapids, Michigan.

About Drinks Americas

Drinks Americas Holdings, Ltd. produces, imports, distributes, and markets premium wine and spirits, and alcoholic beverages to beverage wholesalers in the United States and internationally. The company offers premium authentic Mexican beer products under the brand names of Day of the Dead Beer, Mexicali, Rio Bravo, Red Pig, and Chili Beer. The company also markets and distributes non-alcoholic beverages. It offers its products through various retailers and restaurant chains. Drinks Americas Holdings, Ltd. was founded in 1986 and is based in Los Angeles, California.