Critical Comparison: MariMed (MRMD) & Its Peers

MariMed (OTC:MRMD) is one of 55 publicly-traded companies in the “Medicinals & botanicals” industry, but how does it compare to its peers? We will compare MariMed to similar companies based on the strength of its earnings, dividends, risk, valuation, profitability, analyst recommendations and institutional ownership.

Risk and Volatility

MariMed has a beta of 3.15, suggesting that its stock price is 215% more volatile than the S&P 500. Comparatively, MariMed’s peers have a beta of 1.30, suggesting that their average stock price is 30% more volatile than the S&P 500.

Insider & Institutional Ownership

0.2% of MariMed shares are held by institutional investors. Comparatively, 15.8% of shares of all “Medicinals & botanicals” companies are held by institutional investors. 19.0% of MariMed shares are held by insiders. Comparatively, 21.6% of shares of all “Medicinals & botanicals” companies are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Earnings and Valuation

This table compares MariMed and its peers revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
MariMed	$148.60 million	-$16.03 million	-2.66
MariMed Competitors	$310.38 million	-$49.81 million	-5.81

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

Analyst Recommendations

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

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
MariMed	0	0	0	1	4.00
MariMed Competitors	289	565	1080	86	2.48

As a group, “Medicinals & botanicals” companies have a potential upside of 78.17%. Given MariMed’s peers higher possible upside, analysts clearly believe MariMed has less favorable growth aspects than its peers.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
MariMed	-8.95%	1.58%	0.53%
MariMed Competitors	-38.94%	-24.68%	-6.33%

Summary

MariMed beats its peers on 8 of the 13 factors compared.

MariMed Company Profile

MariMed Inc. engages in cultivation, production, and dispensing of medicinal and recreational cannabis in the United States and internationally. The company sells flowers and concentrates under the Nature’s Heritage brand; and soft and chewy baked goods and a hot chocolate mix under Bubby’s Baked brand; and drink mix under Vibations brand. It also offers chewable cannabis-infused mint tablet under the brand Kalm Fusion; and flower, vapes, and edibles under InHouse brand. In addition, the company provides supplement, nutrient-infused fruit chews under Betty’s Eddies brand and ice creams under Emack & Bolio’s brand. The company licenses its brands. MariMed Inc. was incorporated in 2011 and is based in Norwood, Massachusetts.