LQR House (NASDAQ:LQR – Get Free Report) and Westrock Coffee (NASDAQ:WEST – Get Free Report) are both small-cap business services companies, but which is the superior investment? We will contrast the two companies based on the strength of their risk, analyst recommendations, profitability, valuation, dividends, institutional ownership and earnings.
Institutional & Insider Ownership
45.1% of Westrock Coffee shares are owned by institutional investors. 4.6% of LQR House shares are owned by insiders. Comparatively, 42.1% of Westrock Coffee 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.
Analyst Ratings
This is a summary of current recommendations for LQR House and Westrock Coffee, as reported by MarketBeat.com.
Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
LQR House | 0 | 0 | 0 | 0 | 0.00 |
Westrock Coffee | 0 | 0 | 4 | 0 | 3.00 |
Profitability
This table compares LQR House and Westrock Coffee’s net margins, return on equity and return on assets.
Net Margins | Return on Equity | Return on Assets | |
LQR House | -630.38% | -119.93% | -114.73% |
Westrock Coffee | -9.05% | -20.72% | -2.01% |
Volatility & Risk
LQR House has a beta of 5.06, suggesting that its share price is 406% more volatile than the S&P 500. Comparatively, Westrock Coffee has a beta of 0.49, suggesting that its share price is 51% less volatile than the S&P 500.
Earnings & Valuation
This table compares LQR House and Westrock Coffee”s revenue, earnings per share and valuation.
Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
LQR House | $2.27 million | 4.80 | -$15.75 million | ($1.40) | -1.11 |
Westrock Coffee | $836.72 million | 0.72 | -$34.58 million | ($0.86) | -7.49 |
LQR House has higher earnings, but lower revenue than Westrock Coffee. Westrock Coffee is trading at a lower price-to-earnings ratio than LQR House, indicating that it is currently the more affordable of the two stocks.
Summary
Westrock Coffee beats LQR House on 10 of the 14 factors compared between the two stocks.
About LQR House
LQR House Inc. provides digital marketing and brand development services for the alcoholic beverage business in the United States. Its primary business includes the development of limited batch spirit brands and marketing internal and external brands through its CWS Platform. The company serves individual consumers, wholesalers, and third-party alcohol brands. LQR House Inc. was incorporated in 2021 and is based in Miami Beach, Florida.
About Westrock Coffee
Westrock Coffee Company, LLC operates as an integrated coffee, tea, flavors, extracts, and ingredients solutions provider in the United States and internationally. It operates through two segments, Beverage Solutions, and Sustainable Sourcing & Traceability (SS&T). The Beverage Solutions segment provides various packaging, including branded and private label coffee in bags, fractional packs, and single serve cups, as well as extract solutions for applications in cold brew and ready-to-drink offerings. The SS&T segment engages in delivery and settlement of forward sales contracts for green coffee. The company offers coffee sourcing, supply chain management, product development, roasting, packaging, and distribution services to the retail, food service and restaurant, convenience store and travel center, non-commercial account, CPG, and hospitality industries. Westrock Coffee Company, LLC was founded in 2009 and is headquartered in Little Rock, Arkansas.
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