Analyzing Borealis Foods (NASDAQ:BRLS) and Sow Good (NASDAQ:SOWG)

Borealis Foods (NASDAQ:BRLS) and Sow Good (NASDAQ:SOWG) are both small-cap consumer staples companies, but which is the superior business? We will compare the two companies based on the strength of their analyst recommendations, earnings, risk, profitability, institutional ownership, dividends and valuation.

Insider and Institutional Ownership

34.7% of Borealis Foods shares are held by institutional investors. Comparatively, 10.7% of Sow Good shares are held by institutional investors. 16.2% of Borealis Foods shares are held by insiders. Comparatively, 62.3% of Sow Good shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Risk & Volatility

Borealis Foods has a beta of 0.66, suggesting that its share price is 34% less volatile than the S&P 500. Comparatively, Sow Good has a beta of 1.93, suggesting that its share price is 93% more volatile than the S&P 500.

Profitability

This table compares Borealis Foods and Sow Good’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Borealis Foods	N/A	-108.01%	-7.73%
Sow Good	13.24%	37.94%	17.90%

Earnings and Valuation

This table compares Borealis Foods and Sow Good”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Borealis Foods	-$1.58 million	-100.06	-$2.94 million	N/A	N/A
Sow Good	$41.61 million	2.62	-$3.06 million	($0.35)	-30.74

Borealis Foods has higher earnings, but lower revenue than Sow Good.

Analyst Ratings

This is a summary of current recommendations and price targets for Borealis Foods and Sow Good, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Borealis Foods	0	0	0	0	N/A
Sow Good	0	0	2	0	3.00

Sow Good has a consensus target price of $23.00, indicating a potential upside of 113.75%. Given Sow Good’s higher possible upside, analysts plainly believe Sow Good is more favorable than Borealis Foods.

Summary

Sow Good beats Borealis Foods on 9 of the 11 factors compared between the two stocks.

About Borealis Foods

Borealis Foods Inc. engages in the distribution of plant-based protein food products. Its products include Chef Woo, a high-protein instant ramen with 20 grams of plant-based complete protein; and Ramen Express, a vegetarian ramen noodles. The company is based in Oakville, Canada.

About Sow Good

Sow Good Inc. is engaged in producing nutritious products in the freeze-dried food industry. Sow Good Inc., formerly known as Black Ridge Oil and Gas Inc., is based in IRVING, Texas.