Critical Contrast: Personalis (NASDAQ:PSNL) vs. Agilent Technologies (NYSE:A)

Agilent Technologies (NYSE:A) and Personalis (NASDAQ:PSNL) are both healthcare companies, but which is the better business? We will compare the two companies based on the strength of their dividends, analyst recommendations, valuation, profitability, earnings, institutional ownership and risk.

Profitability

This table compares Agilent Technologies and Personalis’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Agilent Technologies	19.53%	24.45%	13.09%
Personalis	-153.84%	-46.47%	-35.30%

Earnings & Valuation

This table compares Agilent Technologies and Personalis”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Agilent Technologies	$6.95 billion	6.93	$1.30 billion	$5.08	33.61
Personalis	$69.65 million	24.06	-$81.27 million	($1.09)	-14.68

Agilent Technologies has higher revenue and earnings than Personalis. Personalis is trading at a lower price-to-earnings ratio than Agilent Technologies, indicating that it is currently the more affordable of the two stocks.

Insider and Institutional Ownership

61.9% of Personalis shares are owned by institutional investors. 4.2% of Personalis shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Analyst Recommendations

This is a breakdown of recent ratings for Agilent Technologies and Personalis, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Agilent Technologies	0	4	15	0	2.79
Personalis	1	7	3	0	2.18

Agilent Technologies presently has a consensus target price of $171.82, indicating a potential upside of 0.63%. Personalis has a consensus target price of $14.54, indicating a potential downside of 9.15%. Given Agilent Technologies’ stronger consensus rating and higher possible upside, analysts clearly believe Agilent Technologies is more favorable than Personalis.

Risk and Volatility

Agilent Technologies has a beta of 1.21, indicating that its share price is 21% more volatile than the S&P 500. Comparatively, Personalis has a beta of 2.32, indicating that its share price is 132% more volatile than the S&P 500.

Summary

Agilent Technologies beats Personalis on 10 of the 14 factors compared between the two stocks.

About Agilent Technologies

Agilent Technologies, Inc. provides application focused solutions to the life sciences, diagnostics, and applied chemical markets worldwide. The company operates in three segments: Life Sciences and Applied Markets, Diagnostics and Genomics, and Agilent CrossLab. The Life Sciences and Applied Markets segment offers liquid chromatography systems and components; liquid chromatography mass spectrometry systems; gas chromatography systems and components; gas chromatography mass spectrometry systems; inductively coupled plasma mass spectrometry instruments; atomic absorption instruments; microwave plasma-atomic emission spectrometry instruments; inductively coupled plasma optical emission spectrometry instruments; raman spectroscopy; cell analysis plate based assays; flow cytometer; real-time cell analyzer; cell imaging systems; microplate reader; laboratory software; information management and analytics; laboratory automation and robotic systems; dissolution testing; and vacuum pumps, and measurement technologies. The Diagnostics and Genomics segment focuses on genomics, nucleic acid contract manufacturing and research and development, pathology, companion diagnostics, reagent partnership, and biomolecular analysis businesses. The Agilent CrossLab segment provides GC and LC columns, sample preparation products, custom chemistries, and laboratory instrument supplies; and offers services portfolio, including repairs, parts, maintenance, installations, training, compliance support, software as a service, asset management, and consulting services. The company markets its products through direct sales, distributors, resellers, manufacturer’s representatives, and electronic commerce. Agilent Technologies, Inc. was incorporated in 1999 and is headquartered in Santa Clara, California.

About Personalis

Personalis, Inc. develops and markets advanced cancer genomic tests and analytics primarily in the United States, Europe, and the Asia-Pacific. Its tests and analytics are used by pharmaceutical companies for translational research, biomarker discovery, and development of personalized cancer therapies, as well as advanced tests are used by physicians to detect cancer recurrence, monitor cancer evolution, and uncover insights for therapy selection. The company offers NeXT Personal, a tumor-informed liquid biopsy test for detection of minimal residual disease (MRD) and recurrence in cancer; and ImmunoID NeXT, a tissue-based test that combines whole exome (DNA) and whole transcriptome (RNA) sequencing data with advanced analytics to provide a multi-dimensional view of the tumor and the tumor microenvironment from a single sample. It also provides NeXT Personal Dx, a tumor-informed liquid biopsy test for detection of MRD and recurrence in cancer; and NeXT Dx, a comprehensive tumor profiling test that unlocks the entire exome (DNA) and transcriptome (RNA) with matched tumor-normal analysis. In addition, the company performs whole exome sequencing (WES) of cancer tissue and matched blood samples for diagnostic companies as an input to their products; and whole genome sequencing (WGS) on human samples for research projects, such as population sequencing initiatives, as well as offers sequencing and data analysis services to support population sequencing initiatives. Its customers include pharmaceutical companies, biopharmaceutical companies, diagnostics companies, universities, non-profits, government entities, and patients. The company was incorporated in 2011 and is headquartered in Fremont, California.