Analyzing TerrAscend (TSNDF) and Its Competitors

TerrAscend (OTCMKTS:TSNDF) is one of 43 publicly-traded companies in the “Agricultural production – crops” industry, but how does it weigh in compared to its competitors? We will compare TerrAscend to similar companies based on the strength of its earnings, profitability, institutional ownership, dividends, risk, analyst recommendations and valuation.

Volatility and Risk

TerrAscend has a beta of 1.64, meaning that its share price is 64% more volatile than the S&P 500. Comparatively, TerrAscend’s competitors have a beta of -19.60, meaning that their average share price is 2,060% less volatile than the S&P 500.

Institutional and Insider Ownership

5.8% of TerrAscend shares are held by institutional investors. Comparatively, 20.7% of shares of all “Agricultural production – crops” companies are held by institutional investors. 31.9% of TerrAscend shares are held by company insiders. Comparatively, 16.0% of shares of all “Agricultural production – crops” companies are held 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.

Analyst Ratings

This is a summary of current recommendations and price targets for TerrAscend and its competitors, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TerrAscend	0	1	0	1	3.00
TerrAscend Competitors	317	260	605	34	2.29

As a group, “Agricultural production – crops” companies have a potential upside of 52.95%. Given TerrAscend’s competitors higher possible upside, analysts plainly believe TerrAscend has less favorable growth aspects than its competitors.

Valuation and Earnings

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

	Gross Revenue	Net Income	Price/Earnings Ratio
TerrAscend	$317.33 million	-$95.54 million	-1.68
TerrAscend Competitors	$1.23 billion	-$827,419.35	6.85

TerrAscend’s competitors have higher revenue and earnings than TerrAscend. TerrAscend 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.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
TerrAscend	-23.95%	-31.48%	-11.40%
TerrAscend Competitors	-98.15%	-2,439.03%	-14.56%

Summary

TerrAscend beats its competitors on 7 of the 13 factors compared.

TerrAscend Company Profile

TerrAscend Corp. cultivates, processes, and sells medical and adult use cannabis in Canada and the United States. The company produces and distributes hemp-derived wellness products to retail locations; and manufactures vaporizables, concentrates, topicals, tinctures and edibles. It also operates retail dispensaries under the Apothecarium and State Flower brand names. The company was incorporated in 2017 and is headquartered in Mississauga, Canada.