Analyzing Arca Continental (EMBVF) and Its Rivals

Arca Continental (OTCMKTS:EMBVF) is one of 140 publicly-traded companies in the “Beverages” industry, but how does it compare to its peers? We will compare Arca Continental to related companies based on the strength of its earnings, dividends, analyst recommendations, valuation, profitability, institutional ownership and risk.

Dividends

Arca Continental pays an annual dividend of $1.50 per share and has a dividend yield of 13.0%. Arca Continental pays out 38.9% of its earnings in the form of a dividend. As a group, “Beverages” companies pay a dividend yield of 2.5% and pay out 40.3% of their earnings in the form of a dividend. Arca Continental is clearly a better dividend stock than its peers, given its higher yield and lower payout ratio.

Valuation & Earnings

This table compares Arca Continental and its peers gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Arca Continental	N/A	N/A	2.99
Arca Continental Competitors	$51.07 billion	$874.57 million	12.37

Arca Continental’s peers have higher revenue and earnings than Arca Continental. Arca Continental is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Profitability

This table compares Arca Continental and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Arca Continental	N/A	N/A	N/A
Arca Continental Competitors	-9.25%	-39.52%	-0.98%

Analyst Recommendations

This is a summary of recent recommendations and price targets for Arca Continental and its peers, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Arca Continental	0	0	4	0	3.00
Arca Continental Competitors	1249	4215	5635	221	2.43

As a group, “Beverages” companies have a potential upside of 10.19%. Given Arca Continental’s peers higher probable upside, analysts plainly believe Arca Continental has less favorable growth aspects than its peers.

Institutional & Insider Ownership

6.2% of Arca Continental shares are owned by institutional investors. Comparatively, 36.7% of shares of all “Beverages” companies are owned by institutional investors. 19.0% of shares of all “Beverages” companies are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Summary

Arca Continental beats its peers on 7 of the 13 factors compared.

About Arca Continental

Arca Continental, S.A.B. de C.V., together with its subsidiaries, produces, distributes, and sells non-alcoholic beverages in Mexico, Peru, the United States, Argentina, and Ecuador. It operates through Beverages and Other segments. The company's products include soft drinks, milk whole/light/flavored, fruit/soy, and energy/sports drinks; water; tea; sugar/candies; coffee; ice cream snow/cones; yogurt/cream cheese; potato, plantain, and tortilla chips; corn puffs, popcorn, pork rinds, peanuts/seeds, sauces/dips, and baked goods; and other carbonated and non-carbonated, and dairy beverages. It sells its products under the Coca-Cola Company, Aybal, DASANI, Ciel, Cepita Del Valle, Del Valle, Aquarius, Minute Maid, POWERADE, Fuze Tea, Ingenio Famaillá, Dulna, El Manjar Toni, Golos, Lato, BLaK, DUNKIN´DONUTS, Toni, Santa Clara, fairlife, Topsy, Tortolines, Prispas, Enre2, Tostitos, Bony, La Abeja, Bokados, Inalecsa, and Wise and Deep River brand names. The company sells its non-alcoholic beverages under the Coca-Cola Company brand; and snacks under the Bokados, Wise, Deep River, and other brands. Arca Continental, S.A.B. de C.V. is based in Monterrey, Mexico.