Analyzing SmartKem (SMTK) & Its Rivals

SmartKem (NASDAQ:SMTK) is one of 221 publicly-traded companies in the “Semiconductors & Semiconductor Equipment” industry, but how does it contrast to its competitors? We will compare SmartKem to similar companies based on the strength of its risk, analyst recommendations, dividends, earnings, valuation, institutional ownership and profitability.

Risk and Volatility

SmartKem has a beta of 4.19, indicating that its share price is 319% more volatile than the S&P 500. Comparatively, SmartKem’s competitors have a beta of 2.80, indicating that their average share price is 180% more volatile than the S&P 500.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
SmartKem	-3,997.69%	-520.47%	-168.25%
SmartKem Competitors	-1,267.00%	-126.31%	-3.96%

Earnings & Valuation

This table compares SmartKem and its competitors gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
SmartKem	$700,000.00	-$10.51 million	-0.00
SmartKem Competitors	$9.77 billion	$2.53 billion	8.34

SmartKem’s competitors have higher revenue and earnings than SmartKem. SmartKem 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 breakdown of recent recommendations and price targets for SmartKem and its competitors, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SmartKem	1	0	0	0	1.00
SmartKem Competitors	3505	12358	25781	999	2.57

As a group, “Semiconductors & Semiconductor Equipment” companies have a potential upside of 54.27%. Given SmartKem’s competitors stronger consensus rating and higher possible upside, analysts clearly believe SmartKem has less favorable growth aspects than its competitors.

Institutional & Insider Ownership

54.8% of shares of all “Semiconductors & Semiconductor Equipment” companies are owned by institutional investors. 3.5% of SmartKem shares are owned by company insiders. Comparatively, 11.5% of shares of all “Semiconductors & Semiconductor Equipment” 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.

Summary

SmartKem competitors beat SmartKem on 11 of the 12 factors compared.

SmartKem Company Profile

SmartKem, Inc. develops electronics transistors using its proprietary advanced semiconductor materials. Its technology can be used in a range of applications including next generation MicroLED, LCD and AMOLED displays, as well as advanced computer and AI chip packaging, and a new type of sensor. The company was founded on September 21, 2018 and is headquartered in Blackley, the United Kingdom.