Contrasting Traeger (NYSE:COOK) & SEB (OTCMKTS:SEBYF)

SEB (OTCMKTS:SEBYF) and Traeger (NYSE:COOK) are both consumer discretionary companies, but which is the better investment? We will contrast the two companies based on the strength of their institutional ownership, valuation, earnings, analyst recommendations, profitability, risk and dividends.

Profitability

This table compares SEB and Traeger’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SEB	N/A	N/A	N/A
Traeger	-21.84%	-13.76%	-3.95%

Insider & Institutional Ownership

18.4% of SEB shares are held by institutional investors. Comparatively, 46.8% of Traeger shares are held by institutional investors. 16.2% of Traeger shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Analyst Recommendations

This is a summary of current ratings and recommmendations for SEB and Traeger, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SEB	0	0	0	0	0.00
Traeger	1	4	1	1	2.29

Traeger has a consensus target price of $50.08, indicating a potential downside of 21.47%. Given Traeger’s stronger consensus rating and higher probable upside, analysts clearly believe Traeger is more favorable than SEB.

Earnings & Valuation

This table compares SEB and Traeger”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SEB	N/A	N/A	N/A	C$3.49	15.43
Traeger	$559.52 million	0.32	-$115.18 million	($41.92)	-1.52

SEB has higher earnings, but lower revenue than Traeger. Traeger is trading at a lower price-to-earnings ratio than SEB, indicating that it is currently the more affordable of the two stocks.

Summary

Traeger beats SEB on 7 of the 12 factors compared between the two stocks.

About SEB

SEB SA designs, manufactures, and markets small domestic equipment worldwide. It offers kitchen electrics, such as deep fryers, rice cookers, electrical pressure cookers, informal meal appliances, waffle makers, grills, toasters, multicookers, filter and pod coffee makers, espresso machines, electrical kettles, home beer-taps, soy milk makers, blenders, cooking food processors, kitchen machines, mixers, and beaters. The company also provides home and personal care, which includes irons and steam generators, garment steamers, canister vacuum cleaners with or without dust bag, steam and upright vacuum cleaners, vacuum weepers, versatile vacuums, fans, heaters, air treatment appliances, hair care appliances, depilators, and bathroom scales. In addition, it offers cookware comprising frying pans, saucepans pots, pressure cookers, bakeware, kitchen utensils, food storage containers, carafes, flasks, thermo mugs, cutlery, and woks. Further, the company designs, produces, and markets crepe makers, waffle makers, planchas, and grills for professionals and consumers. The company provides its products under various consumer brands including Arno, Asia Vina, Calor, Clock, EMSA, imusa, Kaiser, Krupus, Maharaj Whiteline, MIRRO, Moulinex, OBH NORDICA, PANEX, Rochedo, Rowenta, Samurai, Seb, SUPOR, Tefal T-fal, umco, and WearEver brands. It offers products under premium brands, which includes All-Clad, Krampouz, Lagostina, Silit, WMF, and Forge Adour brands; and professional brands, such as HEPP, Schaerer, Wilbur Curtis, and Zummo brands. The company was founded in 1857 and is headquartered in Écully, France.

About Traeger

Traeger, Inc., together with its subsidiaries, designs, sources, sells, and supports wood pellet fueled barbecue grills for retailers, distributors, and direct to consumers in the United States. Its wood pellet grills are internet of things devices that allow owners to program, monitor, and control their grill through its Traeger app. The company also produces a library of digital content, including instructional recipes and videos that demonstrate tips, tricks, and cooking techniques that empower Traeger owners to progress their cooking skills; and short- and long-form branded content highlighting stories, community members, and lifestyle content from the Traegerhood. In addition, it provides wood pellets that are used to fire the grills; rubs, spices, and sauces; accessories, such as pop-and-lock accessory rail covers, drip trays, bucket liners, storage bins, and shelves; tools to aid in meal prep, cooking, and cleanup, including pellet storage systems, cleaning solutions, barbecue tools, and MEATER smart thermometer; replacement parts; and apparel and merchandise, including t-shirts, hooded sweatshirts, and baseball hats. Traeger, Inc. was founded in 1987 and is headquartered in Salt Lake City, Utah.