Metagenomi (MGX) vs. Its Rivals Critical Analysis

Metagenomi (NASDAQ:MGX) is one of 844 publicly-traded companies in the “Biotechnology” industry, but how does it contrast to its peers? We will compare Metagenomi to similar companies based on the strength of its institutional ownership, risk, profitability, dividends, analyst recommendations, valuation and earnings.

Risk and Volatility

Metagenomi has a beta of 0.82, suggesting that its stock price is 18% less volatile than the S&P 500. Comparatively, Metagenomi’s peers have a beta of 1.15, suggesting that their average stock price is 15% more volatile than the S&P 500.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Metagenomi	-384.61%	-63.65%	-44.52%
Metagenomi Competitors	-12,359.35%	-203.09%	-30.93%

Analyst Ratings

This is a breakdown of recent ratings and target prices for Metagenomi and its peers, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Metagenomi	1	0	2	0	2.33
Metagenomi Competitors	9839	15126	45471	1588	2.54

Metagenomi presently has a consensus target price of $6.00, suggesting a potential upside of 731.37%. As a group, “Biotechnology” companies have a potential upside of 98.42%. Given Metagenomi’s higher possible upside, research analysts clearly believe Metagenomi is more favorable than its peers.

Institutional and Insider Ownership

47.9% of shares of all “Biotechnology” companies are owned by institutional investors. 12.5% of Metagenomi shares are owned by insiders. Comparatively, 13.0% of shares of all “Biotechnology” companies are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Valuation and Earnings

This table compares Metagenomi and its peers gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Metagenomi	$25.21 million	-$87.87 million	-0.29
Metagenomi Competitors	$698.08 million	$10.43 million	-15.42

Metagenomi’s peers have higher revenue and earnings than Metagenomi. Metagenomi 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

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

About Metagenomi

Metagenomi, Inc., a genetic medicines company, develops therapeutics for patients using metagenomics-derived genome editing toolbox in the United States. The company's genome editing toolbox includes programmable nucleases, base editors, and RNA and DNA-mediated integration systems, such as prime editing systems and clustered regularly interspaced short palindromic repeat-associated transposases. It has a strategic collaboration and license agreement with ModernaTX, Inc. focusing on new genome editing system for in vivo human therapeutic applications; a development, option, and license agreement with Affini-T Therapeutics, Inc. to develop and commercialize gene edited T-cell receptor-based therapeutic products in the field of treatment, prevention, or diagnosis of human cancer; and a collaboration and license agreement with Ionis Pharmaceuticals, Inc. to research, develop, and commercialize investigational medicines using genome editing technologies. The company was incorporated in 2016 and is based in Emeryville, California.