Comparing Owens & Minor (NYSE:OMI) & Ayr Wellness (OTCMKTS:AYRWF)

Ayr Wellness (OTCMKTS:AYRWF) and Owens & Minor (NYSE:OMI) are both small-cap medical companies, but which is the better stock? We will compare the two businesses based on the strength of their profitability, institutional ownership, earnings, risk, valuation, dividends and analyst recommendations.

Volatility & Risk

Ayr Wellness has a beta of 1.54, indicating that its stock price is 54% more volatile than the S&P 500. Comparatively, Owens & Minor has a beta of 1.37, indicating that its stock price is 37% more volatile than the S&P 500.

Earnings and Valuation

This table compares Ayr Wellness and Owens & Minor”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Ayr Wellness	$463.63 million	0.01	-$359.31 million	($2.67)	-0.01
Owens & Minor	$10.77 billion	0.02	-$362.69 million	($17.40)	-0.17

Ayr Wellness has higher earnings, but lower revenue than Owens & Minor. Owens & Minor is trading at a lower price-to-earnings ratio than Ayr Wellness, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Ayr Wellness and Owens & Minor, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ayr Wellness	0	1	0	0	2.00
Owens & Minor	4	0	3	1	2.13

Owens & Minor has a consensus price target of $6.35, indicating a potential upside of 119.34%. Given Owens & Minor’s stronger consensus rating and higher possible upside, analysts plainly believe Owens & Minor is more favorable than Ayr Wellness.

Profitability

This table compares Ayr Wellness and Owens & Minor’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Ayr Wellness	N/A	N/A	N/A
Owens & Minor	-19.99%	95.57%	2.30%

Institutional & Insider Ownership

0.9% of Ayr Wellness shares are held by institutional investors. Comparatively, 98.0% of Owens & Minor shares are held by institutional investors. 8.1% of Ayr Wellness shares are held by company insiders. Comparatively, 3.7% of Owens & Minor shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Summary

Owens & Minor beats Ayr Wellness on 9 of the 15 factors compared between the two stocks.

About Ayr Wellness

Ayr Wellness Inc. operates as a vertically-integrated multi-state cannabis operator that cultivates, manufactures, and retails cannabis products and branded cannabis packaged goods. It owns and operates a chain of cannabis retail stores under AYR, Liberty Health Sciences, and The Dispensary brand names. The company was formerly known as Ayr Strategies Inc. and changed its name to Ayr Wellness Inc. in February 2021. Ayr Wellness Inc. was incorporated in 2017 and is headquartered in Miami, Florida.

About Owens & Minor

Owens & Minor, Inc. is a healthcare solutions company, which engages in the product manufacturing and delivery, home health supply, and perioperative services to support care through the hospital and into the home. It operates through the Products and Healthcare Services, and Patient Direct segments. The Products and Healthcare Services segment includes medical distribution, the outsourced logistics and value-added services business, and global products, which manufacture and source medical surgical products through the production and kitting operations. The Patient Direct segment includes the home healthcare business, Byram and Apria. The company was founded by Otho O. Owens and G. Gilmer Minor in 1882 and is headquartered in Henrico County, VA.