Analyzing Blue Gem Enterprise (OTCMKTS:BGEM) & National Beverage (NASDAQ:FIZZ)

National Beverage (NASDAQ:FIZZ) and Blue Gem Enterprise (OTCMKTS:BGEM) are both consumer staples companies, but which is the better business? We will compare the two companies based on the strength of their dividends, risk, institutional ownership, profitability, valuation, earnings and analyst recommendations.

Institutional and Insider Ownership

24.0% of National Beverage shares are held by institutional investors. 74.7% of National Beverage shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares National Beverage and Blue Gem Enterprise’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
National Beverage	15.45%	43.51%	29.01%
Blue Gem Enterprise	N/A	N/A	N/A

Valuation and Earnings

This table compares National Beverage and Blue Gem Enterprise”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
National Beverage	$1.20 billion	2.61	$186.82 million	$1.99	16.86
Blue Gem Enterprise	N/A	N/A	N/A	N/A	N/A

National Beverage has higher revenue and earnings than Blue Gem Enterprise.

Volatility & Risk

National Beverage has a beta of 0.68, indicating that its share price is 32% less volatile than the S&P 500. Comparatively, Blue Gem Enterprise has a beta of 2.42, indicating that its share price is 142% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent ratings for National Beverage and Blue Gem Enterprise, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
National Beverage	1	1	0	0	1.50
Blue Gem Enterprise	0	0	0	0	0.00

National Beverage currently has a consensus target price of $39.00, indicating a potential upside of 16.24%. Given National Beverage’s stronger consensus rating and higher possible upside, analysts plainly believe National Beverage is more favorable than Blue Gem Enterprise.

Summary

National Beverage beats Blue Gem Enterprise on 8 of the 9 factors compared between the two stocks.

About National Beverage

National Beverage Corp., through its subsidiaries, develops, produces, markets, and sells a portfolio of sparkling waters, juices, energy drinks, and carbonated soft drinks primarily in the United States and Canada. The company's Power+ brand portfolio offers sparkling water products under the LaCroix, LaCroix Cúrate, and LaCroix NiCola; non-carbonated flavored water under the Clear Fruit; energy drink and shots under the Rip It; juice and juice-based products under Everfresh, Everfresh Premier Varietals, and Mr. Pure; and carbonated soft drinks under Shasta and Faygo brands. It serves retailers, as well as various smaller up-and-down-the-street accounts through the take-home, convenience, and food-service distribution channels. National Beverage Corp. was incorporated in 1985 and is headquartered in Fort Lauderdale, Florida.

About Blue Gem Enterprise

Blue Gem Enterprise, Inc., through its subsidiaries, engages in full service direct store beverage distribution activities in Florida, the United States. The company manages and distributes select allied brands, including the Title Sports Drink for food and beverage manufacturers pursuant to exclusive agreements with manufacturers. It distributes various non-alcohol beverages, such as ice teas, juices, nutritional shakes, energy shots, and sports drinks, as well as food products. The company also distributes refrigerated dairy products, fresh produce, and food and beverages, including milk; fruits, such as watermelon; nut and snack bars under the Wings of Nature Bars brand name; Apple Rush, an apple flavored fruit beverage; Xingtea, a tea beverage; and Myoplex, a shake. It serves independent retail stores and chain stores. Blue Gem Enterprise, Inc. is based in Opa-locka, Florida.