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LWAY vs MGPI

LWAY
Lifeway Foods, Inc.
BEARISH
Price
$24.40
Market Cap
$371.6M
Sector
Consumer Defensive
AI Confidence
85%
MGPI
MGP Ingredients, Inc.
NEUTRAL
Price
$19.33
Market Cap
$413.1M
Sector
Consumer Defensive
AI Confidence
80%

Valuation

P/E Ratio
LWAY
27.42
MGPI
--
Forward P/E
LWAY
17.81
MGPI
9.49
P/B Ratio
LWAY
4.33
MGPI
0.57
P/S Ratio
LWAY
1.75
MGPI
0.77
EV/EBITDA
LWAY
18.09
MGPI
6.13

Profitability

Gross Margin
LWAY
29.01%
MGPI
37.18%
Operating Margin
LWAY
6.8%
MGPI
12.59%
Profit Margin
LWAY
6.52%
MGPI
-20.1%
ROE
LWAY
17.57%
MGPI
-13.92%
ROA
LWAY
10.31%
MGPI
3.95%

Growth

Revenue Growth
LWAY
18.0%
MGPI
-23.5%
Earnings Growth
LWAY
--
MGPI
--

Financial Health

Debt/Equity
LWAY
0.01
MGPI
0.37
Current Ratio
LWAY
2.23
MGPI
2.61
Quick Ratio
LWAY
1.35
MGPI
0.69

Dividends

Dividend Yield
LWAY
--
MGPI
2.49%
Payout Ratio
LWAY
0.0%
MGPI
96.0%

AI Verdict

LWAY BEARISH

LWAY exhibits a weak Piotroski F-Score of 3/9, indicating deteriorating fundamental health despite a clean balance sheet. The stock is trading at a severe premium to both its Graham Number ($10.62) and Intrinsic Value ($6.23), suggesting the current price of $24.40 is speculative. While revenue growth is strong at 18%, consistent earnings misses and aggressive insider selling signal a lack of confidence in the current valuation.

Strengths
Extremely low leverage (Debt/Equity 0.01)
Strong liquidity position (Current Ratio 2.23)
Robust top-line growth (18% YoY Revenue Growth)
Risks
Severe overvaluation relative to defensive fair value (Graham Number)
Weak fundamental health score (Piotroski 3/9)
Poor earnings track record (only 1 of last 4 quarters beat estimates)
MGPI NEUTRAL

MGPI presents a classic 'value trap' profile: fundamentally healthy but operationally declining. While the Piotroski F-Score of 7/9 indicates strong financial health and the balance sheet is robust (Debt/Equity 0.37), the company is facing a severe growth crisis with revenue down 23.5% and EPS down 59.9% YoY. The stock is deeply undervalued on a Price-to-Book (0.57) and Price-to-Sales (0.77) basis, but this is offset by bearish insider activity and a nearly unsustainable dividend payout ratio of 96%.

Strengths
Strong Piotroski F-Score (7/9) indicating high financial quality
Deep value valuation with P/B of 0.57 and P/S of 0.77
Low leverage with a Debt/Equity ratio of 0.37
Risks
Severe revenue contraction (-23.5% YoY)
Unsustainable dividend payout ratio (96%)
Heavy insider selling totaling $8.92M in the last 6 months

Compare Another Pair

LWAY vs MGPI: Head-to-Head Comparison

This page compares Lifeway Foods, Inc. (LWAY) and MGP Ingredients, Inc. (MGPI) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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