Critical Contrast: NovelStem International (NSTM) & Its Competitors

NovelStem International (OTCMKTS:NSTM) is one of 76 publicly-traded companies in the “Diagnostics & Research” industry, but how does it contrast to its competitors? We will compare NovelStem International to related companies based on the strength of its dividends, earnings, risk, valuation, analyst recommendations, profitability and institutional ownership.

Risk & Volatility

NovelStem International has a beta of 0.33, indicating that its stock price is 67% less volatile than the S&P 500. Comparatively, NovelStem International’s competitors have a beta of 0.77, indicating that their average stock price is 23% less volatile than the S&P 500.

Insider & Institutional Ownership

30.5% of shares of all “Diagnostics & Research” companies are held by institutional investors. 13.6% of NovelStem International shares are held by insiders. Comparatively, 25.9% of shares of all “Diagnostics & Research” companies are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Analyst Ratings

This is a summary of recent recommendations for NovelStem International and its competitors, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
NovelStem International	0	0	0	0	N/A
NovelStem International Competitors	70	389	352	6	2.36

As a group, “Diagnostics & Research” companies have a potential downside of 0.06%. Given NovelStem International’s competitors higher possible upside, analysts plainly believe NovelStem International has less favorable growth aspects than its competitors.

Earnings & Valuation

This table compares NovelStem International and its competitors revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
NovelStem International	$10,000.00	-$4.19 million	-1.05
NovelStem International Competitors	$700.37 million	$29.50 million	-193.21

NovelStem International’s competitors have higher revenue and earnings than NovelStem International. NovelStem International is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
NovelStem International	-9,166.67%	N/A	-73.18%
NovelStem International Competitors	-424.96%	-827.95%	-22.16%

Summary

NovelStem International competitors beat NovelStem International on 8 of the 10 factors compared.

About NovelStem International

NovelStem International Corp., a development stage biotechnology holding company, focuses on development and commercialization of stem cell-based diagnostic technology for cancer treatments and to reduce resistance to chemotherapy. The company was formerly known as Hollywood Media Corp. and changed its name to NovelStem International Corp. in September 2018. NovelStem International Corp. was incorporated in 1993 and is headquartered in Boca Raton, Florida.