Natura &Co (NTCOY) versus Its Peers Financial Analysis

Natura &Co (NYSE:NTCOY) is one of 28 public companies in the “Toilet preparations” industry, but how does it contrast to its rivals? We will compare Natura &Co to similar companies based on the strength of its profitability, valuation, institutional ownership, analyst recommendations, risk, dividends and earnings.

Earnings and Valuation

This table compares Natura &Co and its rivals gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Natura &Co	$5.36 billion	$595.64 million	N/A
Natura &Co Competitors	$4.61 billion	$278.27 million	31.65

Natura &Co has higher revenue and earnings than its rivals.

Profitability

This table compares Natura &Co and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Natura &Co	10.28%	-5.27%	-2.86%
Natura &Co Competitors	-130.83%	-16.71%	-19.44%

Dividends

Natura &Co pays an annual dividend of $0.25 per share and has a dividend yield of 4.5%. As a group, “Toilet preparations” companies pay a dividend yield of 2.5% and pay out 75.5% of their earnings in the form of a dividend.

Institutional and Insider Ownership

6.1% of Natura &Co shares are held by institutional investors. Comparatively, 49.7% of shares of all “Toilet preparations” companies are held by institutional investors. 0.1% of Natura &Co shares are held by insiders. Comparatively, 13.2% of shares of all “Toilet preparations” companies are held 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 Recommendations

This is a summary of current ratings and target prices for Natura &Co and its rivals, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Natura &Co	0	0	0	0	N/A
Natura &Co Competitors	145	1280	1452	36	2.47

As a group, “Toilet preparations” companies have a potential upside of 35.21%. Given Natura &Co’s rivals higher probable upside, analysts plainly believe Natura &Co has less favorable growth aspects than its rivals.

Volatility and Risk

Natura &Co has a beta of 1.97, meaning that its share price is 97% more volatile than the S&P 500. Comparatively, Natura &Co’s rivals have a beta of 28.37, meaning that their average share price is 2,737% more volatile than the S&P 500.

Summary

Natura &Co beats its rivals on 7 of the 11 factors compared.

About Natura &Co

Natura &Co Holding S.A. engages in the manufacturing, distribution, and sale of cosmetics, fragrances, and personal care products in Brazil, Asia, Europe, North America, South America, the Middle East, Africa, and Oceania. The company operates through Natura &Co Latam and Avon International segments. It markets its products under the Natura and Avon brand names through e-commerce, direct selling, business-to-business, franchises, physical stores, and retail markets. Natura &Co Holding S.A. was founded in 1969 and is headquartered in São Paulo, Brazil.