Globus Medical (NYSE: GMED) is one of 78 publicly-traded companies in the “Medical Equipment, Supplies & Distribution” industry, but how does it compare to its competitors? We will compare Globus Medical to similar companies based on the strength of its risk, profitability, valuation, dividends, institutional ownership, earnings and analyst recommendations.

Valuation and Earnings

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

Gross Revenue Net Income Price/Earnings Ratio
Globus Medical $563.99 million $104.34 million 36.53
Globus Medical Competitors $975.11 million $120.37 million 183.80

Globus Medical’s competitors have higher revenue and earnings than Globus Medical. Globus Medical 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.

Volatility and Risk

Globus Medical has a beta of 0.58, suggesting that its stock price is 42% less volatile than the S&P 500. Comparatively, Globus Medical’s competitors have a beta of 0.93, suggesting that their average stock price is 7% less volatile than the S&P 500.

Institutional and Insider Ownership

72.2% of Globus Medical shares are held by institutional investors. Comparatively, 65.6% of shares of all “Medical Equipment, Supplies & Distribution” companies are held by institutional investors. 28.2% of Globus Medical shares are held by company insiders. Comparatively, 12.0% of shares of all “Medical Equipment, Supplies & Distribution” 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 Recommendations

This is a breakdown of recent recommendations and price targets for Globus Medical and its competitors, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Globus Medical 1 4 7 0 2.50
Globus Medical Competitors 210 1190 2590 84 2.63

Globus Medical currently has a consensus price target of $36.83, suggesting a potential downside of 8.33%. As a group, “Medical Equipment, Supplies & Distribution” companies have a potential upside of 5.84%. Given Globus Medical’s competitors stronger consensus rating and higher possible upside, analysts clearly believe Globus Medical has less favorable growth aspects than its competitors.

Profitability

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

Net Margins Return on Equity Return on Assets
Globus Medical 17.54% 13.67% 12.35%
Globus Medical Competitors -441.31% -45.22% -13.27%

Summary

Globus Medical competitors beat Globus Medical on 8 of the 13 factors compared.

Globus Medical Company Profile

Globus Medical, Inc. (Globus) is a medical device company focused on the design, development and commercialization of musculoskeletal implants that promote healing in patients with spine disorders. The Company is focused on implants that promote healing in patients with spine disorders. The Company’s products fall into one of two categories: Innovative Fusion or Disruptive Technologies. The Company sells its products through exclusive sales force in the United States, as well as within North, Central & South America, Europe, Asia, Africa and Australia. The sales force consists of direct sales representatives and distributor sales representatives employed by exclusive independent distributors.

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