Contrasting Avita Medical (RCEL) & The Competition

Avita Medical (NASDAQ:RCEL) is one of 511 publicly-traded companies in the “Healthcare Equipment & Supplies” industry, but how does it weigh in compared to its competitors? We will compare Avita Medical to similar companies based on the strength of its analyst recommendations, valuation, dividends, risk, institutional ownership, profitability and earnings.

Institutional and Insider Ownership

27.7% of Avita Medical shares are owned by institutional investors. Comparatively, 40.5% of shares of all “Healthcare Equipment & Supplies” companies are owned by institutional investors. 2.2% of Avita Medical shares are owned by insiders. Comparatively, 14.8% of shares of all “Healthcare Equipment & Supplies” companies are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Profitability

This table compares Avita Medical and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Avita Medical	-56.96%	N/A	-78.53%
Avita Medical Competitors	-278.38%	-150.31%	-21.96%

Valuation and Earnings

This table compares Avita Medical and its competitors top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Avita Medical	$71.61 million	-$48.59 million	-10.70
Avita Medical Competitors	$1.90 billion	$138.25 million	10.83

Avita Medical’s competitors have higher revenue and earnings than Avita Medical. Avita Medical 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.

Analyst Recommendations

This is a summary of current ratings and target prices for Avita Medical and its competitors, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Avita Medical	1	1	5	0	2.57
Avita Medical Competitors	4257	10484	18221	824	2.46

Avita Medical currently has a consensus price target of $12.20, suggesting a potential downside of 20.83%. As a group, “Healthcare Equipment & Supplies” companies have a potential upside of 23.17%. Given Avita Medical’s competitors higher probable upside, analysts clearly believe Avita Medical has less favorable growth aspects than its competitors.

Risk & Volatility

Avita Medical has a beta of 1.99, suggesting that its share price is 99% more volatile than the S&P 500. Comparatively, Avita Medical’s competitors have a beta of 2.55, suggesting that their average share price is 155% more volatile than the S&P 500.

Summary

Avita Medical competitors beat Avita Medical on 9 of the 13 factors compared.

Avita Medical Company Profile

AVITA Medical, Inc., together with its subsidiaries, operates as a regenerative medicine company in the United States and internationally. The company's lead product is the RECELL System, a cell harvesting device used for the treatment of thermal burn wounds, full-thickness skin defects, and repigmentation of stable depigmented vitiligo lesions. It develops RECELL GO to control the manual process of disaggregation, filtration, and soak time. The company was formerly known as AVITA Therapeutics, Inc. AVITA Medical, Inc. was incorporated in 2020 and is headquartered in Valencia, California.