Critical Contrast: Tilray Brands (NASDAQ:TLRY) versus Vireo Growth (OTCMKTS:VREOD)

Tilray Brands (NASDAQ:TLRY) and Vireo Growth (OTCMKTS:VREOD) are both small-cap healthcare companies, but which is the superior business? We will compare the two companies based on the strength of their earnings, analyst recommendations, institutional ownership, dividends, profitability, valuation and risk.

Profitability

This table compares Tilray Brands and Vireo Growth’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Tilray Brands	-16.91%	-10.39%	-7.38%
Vireo Growth	-23.37%	-19.76%	-7.15%

Insider and Institutional Ownership

9.3% of Tilray Brands shares are held by institutional investors. 1.6% of Tilray Brands shares are held by company insiders. Comparatively, 3.8% of Vireo Growth shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Volatility & Risk

Tilray Brands has a beta of 2.04, suggesting that its share price is 104% more volatile than the S&P 500. Comparatively, Vireo Growth has a beta of 1.78, suggesting that its share price is 78% more volatile than the S&P 500.

Earnings and Valuation

This table compares Tilray Brands and Vireo Growth”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Tilray Brands	$915.45 million	0.45	-$121.40 million	($1.40)	-2.01
Vireo Growth	$268.77 million	1.68	-$68.11 million	($3.30)	-3.02

Vireo Growth has lower revenue, but higher earnings than Tilray Brands. Vireo Growth is trading at a lower price-to-earnings ratio than Tilray Brands, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Tilray Brands and Vireo Growth, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Tilray Brands	2	2	3	1	2.38
Vireo Growth	1	0	0	0	1.00

Tilray Brands currently has a consensus price target of $5.90, suggesting a potential upside of 109.96%. Given Tilray Brands’ stronger consensus rating and higher possible upside, equities research analysts clearly believe Tilray Brands is more favorable than Vireo Growth.

Summary

Tilray Brands beats Vireo Growth on 10 of the 14 factors compared between the two stocks.

About Tilray Brands

Tilray, Inc. engages in the research, cultivation, processing, and distribution of medical cannabis. The company offers its products in Argentina, Australia, Canada, Chile, Croatia, Cyprus, the Czech Republic, Germany, New Zealand, and South Africa. Tilray, Inc. is headquartered in Canada.

About Vireo Growth

Goodness Growth Holdings, Inc. operates as a cannabis company in the United States. The company cultivates, processes, and distributes medical and adult-use cannabis products. It sells cannabis products through its network of Green Goods and other Goodness Growth branded retail dispensaries and third-party dispensaries in Maryland, Minnesota, and New York. The company was formerly known as Vireo Health International Inc. and changed its name to Goodness Growth Holdings, Inc. in June 2021. Goodness Growth Holdings, Inc. is headquartered in Minneapolis, Minnesota.