Beigene (ONC) and Its Competitors Critical Survey

Beigene (NASDAQ:ONC) is one of 1,070 publicly-traded companies in the “Pharmaceutical preparations” industry, but how does it contrast to its peers? We will compare Beigene to related businesses based on the strength of its profitability, institutional ownership, valuation, analyst recommendations, risk, dividends and earnings.

Volatility and Risk

Beigene has a beta of 0.65, indicating that its stock price is 35% less volatile than the S&P 500. Comparatively, Beigene’s peers have a beta of 3.64, indicating that their average stock price is 264% more volatile than the S&P 500.

Profitability

This table compares Beigene and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Beigene	-25.94%	-25.12%	-14.95%
Beigene Competitors	-3,399.87%	-235.11%	-32.77%

Valuation and Earnings

This table compares Beigene and its peers gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Beigene	$3.81 billion	-$881.71 million	-43.55
Beigene Competitors	$9.93 billion	$136.87 million	-7.42

Beigene’s peers have higher revenue and earnings than Beigene. Beigene is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Analyst Ratings

This is a summary of current ratings and price targets for Beigene and its peers, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Beigene	0	0	3	0	3.00
Beigene Competitors	8351	22162	50292	1344	2.54

Beigene currently has a consensus price target of $310.00, indicating a potential upside of 15.94%. As a group, “Pharmaceutical preparations” companies have a potential upside of 218.73%. Given Beigene’s peers higher probable upside, analysts clearly believe Beigene has less favorable growth aspects than its peers.

Institutional & Insider Ownership

48.5% of Beigene shares are held by institutional investors. Comparatively, 44.1% of shares of all “Pharmaceutical preparations” companies are held by institutional investors. 7.4% of Beigene shares are held by insiders. Comparatively, 13.7% of shares of all “Pharmaceutical preparations” companies are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Summary

Beigene peers beat Beigene on 7 of the 13 factors compared.

Beigene Company Profile

BeiGene Ltd. Is a global oncology company, which engages in providing pharmaceutical products. Its medicines include BRUKINSA, TEVIMBRA, and PARTRUVIX. The company was founded by Xiao Dong Wang and John V. Oyler on October 28, 2010 and is headquartered in George Town, KY.