Oatly Group (NASDAQ:OTLY) & Kerry Group (OTCMKTS:KRYAF) Financial Analysis

Kerry Group (OTCMKTS:KRYAF) and Oatly Group (NASDAQ:OTLY) are both consumer staples companies, but which is the better investment? We will compare the two companies based on the strength of their profitability, valuation, earnings, dividends, institutional ownership, risk and analyst recommendations.

Earnings and Valuation

This table compares Kerry Group and Oatly Group”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Kerry Group	N/A	N/A	N/A	$0.92	106.08
Oatly Group	$862.46 million	0.54	-$152.77 million	($4.13)	-3.55

Kerry Group has higher earnings, but lower revenue than Oatly Group. Oatly Group is trading at a lower price-to-earnings ratio than Kerry Group, indicating that it is currently the more affordable of the two stocks.

Insider & Institutional Ownership

28.0% of Kerry Group shares are owned by institutional investors. Comparatively, 68.2% of Oatly Group shares are owned by institutional investors. 1.7% of Oatly Group 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.

Profitability

This table compares Kerry Group and Oatly Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Kerry Group	N/A	N/A	N/A
Oatly Group	-13.81%	-2,479.86%	-16.65%

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Kerry Group and Oatly Group, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Kerry Group	0	0	0	0	0.00
Oatly Group	1	1	3	0	2.40

Oatly Group has a consensus target price of $14.14, suggesting a potential downside of 3.63%. Given Oatly Group’s stronger consensus rating and higher possible upside, analysts clearly believe Oatly Group is more favorable than Kerry Group.

Summary

Oatly Group beats Kerry Group on 6 of the 11 factors compared between the two stocks.

About Kerry Group

Kerry Group plc, together with its subsidiaries, provides taste and nutrition solutions. The company operates in two segments, Taste & Nutrition, and Dairy Ireland. The Taste & Nutrition segment offers taste and nutrition solutions for the food, beverage, and pharmaceutical markets. The Dairy Ireland segment provides value-add dairy ingredients and consumer products, including functional proteins and nutritional bases. It operates in Ireland, rest of Europe, the Americas, the Asia Pacific, the Middle East, and Africa. Kerry Group plc was founded in 1972 and is headquartered in Tralee, Ireland.

About Oatly Group

Oatly Group AB, an oatmilk company, provides a range of plant-based dairy products made from oats in Europe, the Middle East, Africa, the Americas, and Asia. It offers Barista edition oatmilk, oatgurts, frozen desserts, ice-creams, and yogurts; cooking products, including cooking cream, in regular and organic, Crème Fraiche, whipping cream, vanilla custard, and spreads in a variety of flavors; and ready-to-go drinks. The company was formerly known as Havre Global AB and changed its name to Oatly Group AB in March 2021. Oatly Group AB was founded in 1994 and is headquartered in Malmö, Sweden.