Honest (NASDAQ:HNST) vs. Mannatech (NASDAQ:MTEX) Head-To-Head Contrast
by Michael Walen · The Markets DailyHonest (NASDAQ:HNST – Get Free Report) and Mannatech (NASDAQ:MTEX – Get Free Report) are both small-cap consumer staples companies, but which is the better stock? We will compare the two businesses based on the strength of their profitability, earnings, analyst recommendations, dividends, risk, institutional ownership and valuation.
Analyst Recommendations
This is a breakdown of current recommendations and price targets for Honest and Mannatech, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Honest | 2 | 4 | 2 | 1 | 2.22 |
| Mannatech | 1 | 0 | 0 | 0 | 1.00 |
Honest currently has a consensus price target of $4.84, suggesting a potential downside of 6.20%. Given Honest’s stronger consensus rating and higher probable upside, equities research analysts clearly believe Honest is more favorable than Mannatech.
Profitability
This table compares Honest and Mannatech’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Honest | -3.56% | 4.31% | 3.33% |
| Mannatech | -6.90% | -2,383.34% | -24.43% |
Valuation & Earnings
This table compares Honest and Mannatech”s revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Honest | $371.32 million | 1.53 | -$15.69 million | ($0.11) | -46.91 |
| Mannatech | $108.04 million | 0.12 | -$15.21 million | ($3.91) | -1.70 |
Mannatech has lower revenue, but higher earnings than Honest. Honest is trading at a lower price-to-earnings ratio than Mannatech, indicating that it is currently the more affordable of the two stocks.
Institutional & Insider Ownership
45.5% of Honest shares are held by institutional investors. Comparatively, 13.0% of Mannatech shares are held by institutional investors. 9.4% of Honest shares are held by insiders. Comparatively, 47.5% of Mannatech shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.
Volatility & Risk
Honest has a beta of 2.32, indicating that its stock price is 132% more volatile than the S&P 500. Comparatively, Mannatech has a beta of 0.76, indicating that its stock price is 24% less volatile than the S&P 500.
Summary
Honest beats Mannatech on 12 of the 15 factors compared between the two stocks.
About Honest
The Honest Company, Inc. manufactures and sells diapers and wipes, skin and personal care, and household and wellness products. The company also offers baby clothing and nursery bedding products. It sells its products through digital and retail sales channels, such as its website and third-party ecommerce sites, as well as brick and mortar retailers. The company was incorporated in 2012 and is headquartered in Los Angeles, California.
About Mannatech
Mannatech, Incorporated operates as a health and wellness company in the Americas, Europe, the Middle East, Africa, and the Asia-Pacific. The company develops, markets, and sells nutritional supplements; topical and skin care, and anti-aging products; and weight-management and fitness products. It primarily sells its products directly, as well as through e-commerce and network marketing channels. Mannatech, Incorporated was incorporated in 1993 and is headquartered in Flower Mound, Texas.