Terrestrial Energy (IMSR) & The Competition Critical Analysis

Terrestrial Energy (NASDAQ:IMSR) is one of 218 public companies in the “Electrical Equipment” industry, but how does it weigh in compared to its competitors? We will compare Terrestrial Energy to similar businesses based on the strength of its analyst recommendations, profitability, institutional ownership, valuation, earnings, dividends and risk.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Terrestrial Energy and its competitors, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Terrestrial Energy	1	1	2	0	2.25
Terrestrial Energy Competitors	2123	4959	6905	411	2.39

Terrestrial Energy presently has a consensus price target of $13.50, suggesting a potential upside of 124.81%. As a group, “Electrical Equipment” companies have a potential upside of 17.15%. Given Terrestrial Energy’s higher probable upside, analysts clearly believe Terrestrial Energy is more favorable than its competitors.

Risk and Volatility

Terrestrial Energy has a beta of 2.39, suggesting that its stock price is 139% more volatile than the S&P 500. Comparatively, Terrestrial Energy’s competitors have a beta of -19.66, suggesting that their average stock price is 2,066% less volatile than the S&P 500.

Profitability

This table compares Terrestrial Energy and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Terrestrial Energy	N/A	-22.27%	-15.07%
Terrestrial Energy Competitors	-217.86%	-206.25%	-8.14%

Earnings and Valuation

This table compares Terrestrial Energy and its competitors top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Terrestrial Energy	$250,000.00	-$28.02 million	-60.05
Terrestrial Energy Competitors	$2.28 billion	$134.87 million	24.62

Terrestrial Energy’s competitors have higher revenue and earnings than Terrestrial Energy. Terrestrial Energy 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

37.6% of shares of all “Electrical Equipment” companies are held by institutional investors. 28.6% of Terrestrial Energy shares are held by insiders. Comparatively, 15.4% of shares of all “Electrical Equipment” companies are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Summary

Terrestrial Energy competitors beat Terrestrial Energy on 7 of the 13 factors compared.

Terrestrial Energy Company Profile

Terrestrial Energy Inc. produces carbon free nuclear energy in North Carolina and internationally. The company was founded in 2013 and is headquartered in Charlotte, North Carolina.