Flora Growth (FLGC) vs. Its Peers Financial Analysis

Flora Growth (NASDAQ:FLGC) is one of 511 publicly-traded companies in the “Healthcare Equipment & Supplies” industry, but how does it contrast to its peers? We will compare Flora Growth to related businesses based on the strength of its earnings, analyst recommendations, valuation, risk, profitability, institutional ownership and dividends.

Volatility and Risk

Flora Growth has a beta of 1.9, meaning that its stock price is 90% more volatile than the S&P 500. Comparatively, Flora Growth’s peers have a beta of 2.55, meaning that their average stock price is 155% more volatile than the S&P 500.

Institutional and Insider Ownership

36.0% of Flora Growth shares are held by institutional investors. Comparatively, 40.5% of shares of all “Healthcare Equipment & Supplies” companies are held by institutional investors. 2.3% of Flora Growth shares are held by insiders. Comparatively, 14.8% of shares of all “Healthcare Equipment & Supplies” companies are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Flora Growth	-32.03%	-64.02%	-34.46%
Flora Growth Competitors	-278.38%	-150.31%	-21.96%

Analyst Ratings

This is a breakdown of current ratings for Flora Growth and its peers, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Flora Growth	1	0	0	0	1.00
Flora Growth Competitors	4257	10484	18221	824	2.46

As a group, “Healthcare Equipment & Supplies” companies have a potential upside of 23.09%. Given Flora Growth’s peers stronger consensus rating and higher probable upside, analysts clearly believe Flora Growth has less favorable growth aspects than its peers.

Earnings and Valuation

This table compares Flora Growth and its peers top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Flora Growth	$57.61 million	-$15.91 million	-0.09
Flora Growth Competitors	$1.90 billion	$138.25 million	10.83

Flora Growth’s peers have higher revenue and earnings than Flora Growth. Flora Growth 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.

Summary

Flora Growth peers beat Flora Growth on 11 of the 13 factors compared.

Flora Growth Company Profile

Flora Growth Corp., together with its subsidiaries, engages in the growth, cultivation, and development of medicinal cannabis and medicinal cannabis derivative products worldwide. It operates through three segments: House of Brands, Commercial and Wholesale, and Pharmaceuticals. The company cultivates, processes, and supplies medicinal-grade cannabis flower, and cannabis derived medical and wellness products. It also offers food and beverage, nutraceuticals, cannabis accessories and technology, personal care, and wellness; cannabidiol (CBD) derived products, such as gummies, topicals, tinctures, and vape products; cannabis consumption accessories, personal storage, and travel accessories for the vape and dry herbs. In addition, the company manufactures and distributes pharmaceutical goods and medical cannabis products to treat a variety of health indications, including drugs related to cancer therapies, attention-deficit/hyperactivity disorder, multiple sclerosis, and anti-depressants. The company sells its products under the JustCBD, Vessel, and Phatebo brands. Flora Growth Corp. was incorporated in 2019 and is based in Fort Lauderdale, Florida.