Babylon (BBLN) versus Its Peers Critical Survey

Babylon (NYSE:BBLN – Get Rating) is one of 34 publicly-traded companies in the “Health services” industry, but how does it compare to its rivals? We will compare Babylon to related companies based on the strength of its profitability, earnings, analyst recommendations, valuation, dividends, risk and institutional ownership.

Valuation & Earnings

This table compares Babylon and its rivals top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Babylon	$1.11 billion	-$221.45 million	-0.31
Babylon Competitors	$1.47 billion	-$91.84 million	-6.91

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

Profitability

This table compares Babylon and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Babylon	-39.85%	-4,635.83%	-78.38%
Babylon Competitors	-118.87%	-448.95%	-28.54%

Institutional and Insider Ownership

50.9% of shares of all “Health services” companies are owned by institutional investors. 38.5% of Babylon shares are owned by insiders. Comparatively, 24.5% of shares of all “Health services” companies are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of recent ratings for Babylon and its rivals, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Babylon	0	2	3	0	2.60
Babylon Competitors	8	146	292	0	2.64

Babylon presently has a consensus target price of $53.08, suggesting a potential upside of 553.74%. As a group, “Health services” companies have a potential upside of 41.61%. Given Babylon’s higher probable upside, analysts clearly believe Babylon is more favorable than its rivals.

Risk and Volatility

Babylon has a beta of 2.57, meaning that its share price is 157% more volatile than the S&P 500. Comparatively, Babylon’s rivals have a beta of 1.48, meaning that their average share price is 48% more volatile than the S&P 500.

Summary

Babylon rivals beat Babylon on 7 of the 11 factors compared.

Babylon Company Profile

(Get Rating)

Babylon Holdings Limited operates as a digital healthcare company. It offers end-to-end care solution that facilities through its digital health suite, virtual care, in-person medical care, and post-care offerings. The company also provides Babylon Cloud services. It operates in the United Kingdom, the United States, the Asia Pacific, Canada, and internationally. The company was founded in 2013 and is headquartered in London, the United Kingdom.