Contrasting GRAIL (GRAL) and The Competition

GRAIL (NASDAQ:GRAL) is one of 612 publicly-traded companies in the “MED – BIOMED/GENE” industry, but how does it compare to its peers? We will compare GRAIL to related businesses based on the strength of its earnings, analyst recommendations, dividends, valuation, profitability, risk and institutional ownership.

Profitability

This table compares GRAIL and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
GRAIL	-1,464.53%	-17.99%	-15.02%
GRAIL Competitors	-1,866.79%	-604.51%	-32.81%

Institutional and Insider Ownership

51.1% of shares of all “MED – BIOMED/GENE” companies are held by institutional investors. 1.9% of GRAIL shares are held by insiders. Comparatively, 13.8% of shares of all “MED – BIOMED/GENE” companies are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Analyst Ratings

This is a breakdown of current recommendations and price targets for GRAIL and its peers, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
GRAIL	0	3	1	0	2.25
GRAIL Competitors	3252	10890	34745	914	2.67

GRAIL currently has a consensus target price of $31.50, suggesting a potential downside of 34.97%. As a group, “MED – BIOMED/GENE” companies have a potential upside of 2,797.84%. Given GRAIL’s peers stronger consensus rating and higher probable upside, analysts clearly believe GRAIL has less favorable growth aspects than its peers.

Valuation and Earnings

This table compares GRAIL and its peers revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
GRAIL	$125.60 million	-$2.03 billion	-0.79
GRAIL Competitors	$891.86 million	-$47.55 million	-1.51

GRAIL’s peers have higher revenue and earnings than GRAIL. GRAIL is trading at a higher price-to-earnings ratio than its peers, indicating that it is currently more expensive than other companies in its industry.

Summary

GRAIL peers beat GRAIL on 8 of the 12 factors compared.

GRAIL Company Profile

GRAIL, Inc. operates as a commercial-stage healthcare company, which engages in the development of a technology for early detection of cancer. It utilizes machine learning, software, and automation to detect and identify multiple deadly cancer types in earlier stages. The company was founded by Jeffrey T. Huber, William H. Rastetter, Mostafa Ronaghi, and Richard D. Klausner on September 11, 2015 and is headquartered in Menlo Park, CA.