Reviewing TerrAscend (TSNDF) & Its Rivals

TerrAscend (OTCMKTS:TSNDF) is one of 511 public companies in the “Healthcare Equipment & Supplies” industry, but how does it compare to its peers? We will compare TerrAscend to related companies based on the strength of its valuation, profitability, earnings, risk, institutional ownership, analyst recommendations and dividends.

Risk and Volatility

TerrAscend has a beta of 1.47, indicating that its stock price is 47% more volatile than the S&P 500. Comparatively, TerrAscend’s peers have a beta of 2.57, indicating that their average stock price is 157% more volatile than the S&P 500.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
TerrAscend	-28.96%	-30.76%	-4.89%
TerrAscend Competitors	-304.51%	-178.77%	-22.17%

Insider & Institutional Ownership

5.8% of TerrAscend shares are owned by institutional investors. Comparatively, 40.5% of shares of all “Healthcare Equipment & Supplies” companies are owned by institutional investors. 31.9% of TerrAscend shares are owned by insiders. Comparatively, 14.9% of shares of all “Healthcare Equipment & Supplies” companies are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Earnings & Valuation

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

	Gross Revenue	Net Income	Price/Earnings Ratio
TerrAscend	$260.56 million	-$81.33 million	-4.34
TerrAscend Competitors	$1.89 billion	$135.83 million	12.28

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

Analyst Ratings

This is a breakdown of current recommendations for TerrAscend and its peers, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TerrAscend	0	1	0	0	2.00
TerrAscend Competitors	4281	10557	18338	829	2.46

As a group, “Healthcare Equipment & Supplies” companies have a potential upside of 19.11%. Given TerrAscend’s peers stronger consensus rating and higher possible upside, analysts plainly believe TerrAscend has less favorable growth aspects than its peers.

Summary

TerrAscend peers beat TerrAscend on 9 of the 13 factors compared.

About TerrAscend

TerrAscend Corp. cultivates, processes, and sells medical and adult use cannabis in Canada and the United States. The company produces and distributes hemp-derived wellness products to retail locations; and manufactures vaporizables, concentrates, topicals, tinctures and edibles. It also operates retail dispensaries under the Apothecarium and State Flower brand names. The company was incorporated in 2017 and is headquartered in Mississauga, Canada.