Analyzing Azenta (NASDAQ:AZTA) and Personalis (NASDAQ:PSNL)

Personalis (NASDAQ:PSNL) and Azenta (NASDAQ:AZTA) are both small-cap healthcare companies, but which is the superior investment? We will compare the two companies based on the strength of their dividends, valuation, institutional ownership, risk, profitability, earnings and analyst recommendations.

Institutional & Insider Ownership

61.9% of Personalis shares are held by institutional investors. Comparatively, 99.1% of Azenta shares are held by institutional investors. 4.2% of Personalis shares are held by insiders. Comparatively, 10.9% of Azenta shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Earnings and Valuation

This table compares Personalis and Azenta”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Personalis	$69.65 million	23.60	-$81.27 million	($1.09)	-14.40
Azenta	$613.81 million	2.80	-$55.76 million	($2.76)	-14.22

Azenta has higher revenue and earnings than Personalis. Personalis is trading at a lower price-to-earnings ratio than Azenta, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Personalis and Azenta’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Personalis	-147.74%	-47.66%	-36.84%
Azenta	-20.63%	1.18%	0.97%

Analyst Ratings

This is a breakdown of recent recommendations for Personalis and Azenta, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Personalis	1	7	2	0	2.10
Azenta	1	2	4	0	2.43

Personalis presently has a consensus target price of $15.29, indicating a potential downside of 2.57%. Azenta has a consensus target price of $41.20, indicating a potential upside of 4.97%. Given Azenta’s stronger consensus rating and higher possible upside, analysts clearly believe Azenta is more favorable than Personalis.

Risk and Volatility

Personalis has a beta of 2.4, indicating that its share price is 140% more volatile than the S&P 500. Comparatively, Azenta has a beta of 1.47, indicating that its share price is 47% more volatile than the S&P 500.

Summary

Azenta beats Personalis on 10 of the 14 factors compared between the two stocks.

About Personalis

Personalis, Inc. develops and markets advanced cancer genomic tests and analytics primarily in the United States, Europe, and the Asia-Pacific. Its tests and analytics are used by pharmaceutical companies for translational research, biomarker discovery, and development of personalized cancer therapies, as well as advanced tests are used by physicians to detect cancer recurrence, monitor cancer evolution, and uncover insights for therapy selection. The company offers NeXT Personal, a tumor-informed liquid biopsy test for detection of minimal residual disease (MRD) and recurrence in cancer; and ImmunoID NeXT, a tissue-based test that combines whole exome (DNA) and whole transcriptome (RNA) sequencing data with advanced analytics to provide a multi-dimensional view of the tumor and the tumor microenvironment from a single sample. It also provides NeXT Personal Dx, a tumor-informed liquid biopsy test for detection of MRD and recurrence in cancer; and NeXT Dx, a comprehensive tumor profiling test that unlocks the entire exome (DNA) and transcriptome (RNA) with matched tumor-normal analysis. In addition, the company performs whole exome sequencing (WES) of cancer tissue and matched blood samples for diagnostic companies as an input to their products; and whole genome sequencing (WGS) on human samples for research projects, such as population sequencing initiatives, as well as offers sequencing and data analysis services to support population sequencing initiatives. Its customers include pharmaceutical companies, biopharmaceutical companies, diagnostics companies, universities, non-profits, government entities, and patients. The company was incorporated in 2011 and is headquartered in Fremont, California.

About Azenta

Azenta, Inc. provides biological and chemical compound sample exploration and management solutions for the life sciences market in North America, Africa, China, the United Kingdom, rest of Europe, the Asia Pacific, and internationally. The company operates in two reportable segments, Life Sciences Products and Life Sciences Services. The Life Sciences Products segment offers automated cold storage solutions, consumables and instruments, controlled rate thawing devices, and temperature-controlled storage and transportation solutions. This segment also provides sample management solutions, such as consumable vials and tubes, polymerase chain reaction, plates, instruments for supporting workflows, and informatics. The Life Sciences Services segment provides genomic services, that includes gene sequencing and gene synthesis services; and sample repository solutions, such as on-site and off-site sample storage, cold chain logistics, sample transport and collection relocation, bio-processing solutions, disaster recovery and business continuity, and biospecimen procurement services, as well as project management and consulting services for genomic analysis and the management and care of biological samples used in pharmaceutical, biotech, healthcare, clinical, and academic research, and development sectors. It serves a range of life science customers, including pharmaceutical companies, biotechnology companies, biorepositories, and research institutes. The company was formerly known as Brooks Automation, Inc. and changed its name to Azenta, Inc. in December 2021. Azenta, Inc. was founded in 1978 and is headquartered in Burlington, Massachusetts.