Financial Survey: BranchOut Food (NASDAQ:BOF) versus Real Good Food (NASDAQ:RGF)

Real Good Food (NASDAQ:RGF) and BranchOut Food (NASDAQ:BOF) are both small-cap consumer staples companies, but which is the better investment? We will compare the two businesses based on the strength of their valuation, risk, earnings, profitability, analyst recommendations, institutional ownership and dividends.

Valuation and Earnings

This table compares Real Good Food and BranchOut Food’s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Real Good Food	$156.38 million	0.10	-$10.98 million	($2.07)	-0.22
BranchOut Food	$4.20 million	0.64	-$3.93 million	($1.40)	-0.45

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

Profitability

This table compares Real Good Food and BranchOut Food’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Real Good Food	N/A	N/A	N/A
BranchOut Food	-100.10%	-143.59%	-110.86%

Institutional and Insider Ownership

55.5% of Real Good Food shares are owned by institutional investors. Comparatively, 2.6% of BranchOut Food shares are owned by institutional investors. 24.6% of Real Good Food shares are owned by insiders. Comparatively, 30.5% of BranchOut Food shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Real Good Food and BranchOut Food, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Real Good Food	0	1	1	0	2.50
BranchOut Food	0	0	0	0	N/A

Real Good Food presently has a consensus price target of $5.00, suggesting a potential upside of 1,011.11%. Given Real Good Food’s higher probable upside, equities analysts plainly believe Real Good Food is more favorable than BranchOut Food.

Volatility & Risk

Real Good Food has a beta of 0.54, indicating that its stock price is 46% less volatile than the S&P 500. Comparatively, BranchOut Food has a beta of 0.36, indicating that its stock price is 64% less volatile than the S&P 500.

Summary

Real Good Food beats BranchOut Food on 9 of the 13 factors compared between the two stocks.

About Real Good Food

The Real Good Food Company, Inc., through its subsidiary, operates as a health and wellness focused frozen food company in the United States. The company develops, manufactures, and markets foods designed to be high in protein, low in sugar, and made from gluten- and grain-free ingredients. It offers comfort foods, such as bacon wrapped stuffed chicken, chicken enchiladas, grain-free cheesy bread breakfast sandwiches, and various entrée bowls under the Realgood Foods Co. brand name, as well as sells private-label products. The company serves retailers, which primarily sell its products through natural and conventional grocery, drug, club, and mass merchandise stores. It also sells its products through its e-commerce channel, which includes direct-to-consumer sales through its website, as well as through its retail customers' online platforms. The company was formerly known as Project Clean, Inc. and changed its name to The Real Good Food Company, Inc. in October 2021. The Real Good Food Company, Inc. was founded in 2016 and is based in Cherry Hill, New Jersey.

About BranchOut Food

BranchOut Food Inc. develops, markets, sells, and distributes plant-based dehydrated fruit and vegetable snacks, and powders in the United States. The company offers dehydrated fruit and vegetable-based snacks, including avocado chips, chewy banana bites, pineapple chips, brussels sprout crisps, and bell pepper crisps; avocado, banana, and blueberry powders; and industrial ingredients, such as bulk avocado powder, dried avocado pieces, and other fruit powders/pieces. It also provides chocolate covered fruit items and private label products for retailers. The company was formerly known as AvoLov, LLC and changed its name to BranchOut Food Inc. in November 2021. BranchOut Food Inc. was incorporated in 2017 and is headquartered in Bend, Oregon.