Reviewing 10x Genomics (TXG) & Its Peers

10x Genomics (NASDAQ:TXG) is one of 109 publicly-traded companies in the “Life Sciences Tools & Services” industry, but how does it contrast to its competitors? We will compare 10x Genomics to related businesses based on the strength of its valuation, analyst recommendations, earnings, dividends, profitability, risk and institutional ownership.

Analyst Ratings

This is a summary of recent recommendations and price targets for 10x Genomics and its competitors, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
10x Genomics	1	12	5	0	2.22
10x Genomics Competitors	947	3159	5473	177	2.50

10x Genomics currently has a consensus target price of $68.00, suggesting a potential upside of 10.34%. As a group, “Life Sciences Tools & Services” companies have a potential downside of 1.92%. Given 10x Genomics’ higher probable upside, equities research analysts plainly believe 10x Genomics is more favorable than its competitors.

Earnings & Valuation

This table compares 10x Genomics and its competitors gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
10x Genomics	$616.91 million	-$43.54 million	-104.46
10x Genomics Competitors	$2.28 billion	$55.11 billion	-13.41

10x Genomics’ competitors have higher revenue and earnings than 10x Genomics. 10x Genomics 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

84.7% of 10x Genomics shares are owned by institutional investors. Comparatively, 54.9% of shares of all “Life Sciences Tools & Services” companies are owned by institutional investors. 8.8% of 10x Genomics shares are owned by company insiders. Comparatively, 15.0% of shares of all “Life Sciences Tools & Services” companies are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Risk & Volatility

10x Genomics has a beta of 1.99, suggesting that its share price is 99% more volatile than the S&P 500. Comparatively, 10x Genomics’ competitors have a beta of 1.14, suggesting that their average share price is 14% more volatile than the S&P 500.

Profitability

This table compares 10x Genomics and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
10x Genomics	-12.18%	-9.33%	-7.30%
10x Genomics Competitors	-540.73%	-166.48%	-13.59%

Summary

10x Genomics competitors beat 10x Genomics on 7 of the 13 factors compared.

10x Genomics Company Profile

10x Genomics, Inc., a life science technology company, develops and sells instruments, consumables, and software for analyzing biological systems in the America, Europe, the Middle East, Africa, China, and the Asia Pacific. The company provides chromium, chromium connect, and chromium controller instruments, microfluidic chips, slides, reagents, and other consumables products. Its single cell solutions runs on its chromium instruments, which include single cell gene expression for measuring gene activity and networks on a cell-by-cell basis; single cell gene expression flex; single cell immune profiling used to study the immune system; single cell Assay for Transposase Accessible Chromati (ATAC) solution to understand the epigenetic state; and single cell multiome ATAC + gene expression which enables simultaneous interrogation of both the RNA and chromatin accessibility, using ATAC in a single cell. The company also provides Visium platform which enables researchers to understand the spatial positions of biological analytes within tissues at high resolution; and Xenium platform for in situ analysis. It serves various academic, government, biopharmaceutical, biotechnology, and other institutions. The company was formerly known as 10X Technologies, Inc. and changed its name to 10x Genomics, Inc. in November 2014. 10x Genomics, Inc. was incorporated in 2012 and is headquartered in Pleasanton, California.