Financial Review: Prenetics Global (PRE) versus The Competition

Prenetics Global (NASDAQ:PRE) is one of 55 public companies in the “Personal Care Products” industry, but how does it contrast to its competitors? We will compare Prenetics Global to related businesses based on the strength of its analyst recommendations, earnings, valuation, dividends, risk, profitability and institutional ownership.

Dividends

Prenetics Global pays an annual dividend of $2.80 per share and has a dividend yield of 16.7%. Prenetics Global pays out -67.3% of its earnings in the form of a dividend. As a group, “Personal Care Products” companies pay a dividend yield of 3.9% and pay out 50.6% of their earnings in the form of a dividend. Prenetics Global is clearly a better dividend stock than its competitors, given its higher yield and lower payout ratio.

Profitability

This table compares Prenetics Global and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Prenetics Global	-47.43%	-21.41%	-15.56%
Prenetics Global Competitors	-4.68%	-66.64%	-0.50%

Analyst Recommendations

This is a breakdown of recent ratings and target prices for Prenetics Global and its competitors, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Prenetics Global	1	0	6	1	2.88
Prenetics Global Competitors	904	2942	3662	229	2.42

Prenetics Global currently has a consensus price target of $37.17, indicating a potential upside of 122.29%. As a group, “Personal Care Products” companies have a potential upside of 1.37%. Given Prenetics Global’s stronger consensus rating and higher probable upside, research analysts clearly believe Prenetics Global is more favorable than its competitors.

Valuation and Earnings

This table compares Prenetics Global and its competitors revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Prenetics Global	$154.59 million	-$37.71 million	-4.02
Prenetics Global Competitors	$7.95 billion	$1.11 billion	8.47

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

Institutional & Insider Ownership

25.0% of Prenetics Global shares are owned by institutional investors. Comparatively, 48.6% of shares of all “Personal Care Products” companies are owned by institutional investors. 7.8% of Prenetics Global shares are owned by insiders. Comparatively, 11.7% of shares of all “Personal Care Products” companies are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Risk & Volatility

Prenetics Global has a beta of 0.4, meaning that its share price is 60% less volatile than the S&P 500. Comparatively, Prenetics Global’s competitors have a beta of 0.80, meaning that their average share price is 20% less volatile than the S&P 500.

Summary

Prenetics Global competitors beat Prenetics Global on 8 of the 15 factors compared.

About Prenetics Global

Prenetics Global Limited is a health sciences company focused on consumer wellness and health-related products. Its portfolio includes IM8, a consumer wellness brand offering nutritional supplements, and CircleDNA, a genetic testing service that provides reports on health, wellness and ancestry. The company has also operated clinical genomic testing services and provided COVID-19 testing during the pandemic. Its business has since shifted toward consumer health and wellness. Prenetics was founded in 2014 and is led by co-founder and Chief Executive Officer Danny Yeung.