TerrAscend (OTCMKTS:TSNDF – Get Free Report) and SNDL (NASDAQ:SNDL – Get Free Report) are both small-cap medical companies, but which is the better stock? We will contrast the two companies based on the strength of their risk, dividends, valuation, institutional ownership, profitability, earnings and analyst recommendations.
Insider and Institutional Ownership
5.8% of TerrAscend shares are owned by institutional investors. 32.2% of TerrAscend shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.
Analyst Ratings
This is a breakdown of recent ratings and recommmendations for TerrAscend and SNDL, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| TerrAscend | 1 | 0 | 0 | 2 | 3.00 |
| SNDL | 1 | 0 | 1 | 0 | 2.00 |
Valuation & Earnings
This table compares TerrAscend and SNDL”s revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| TerrAscend | $306.68 million | 0.64 | -$80.23 million | ($0.41) | -1.56 |
| SNDL | $671.81 million | N/A | -$69.18 million | ($0.26) | -6.08 |
SNDL has higher revenue and earnings than TerrAscend. SNDL is trading at a lower price-to-earnings ratio than TerrAscend, indicating that it is currently the more affordable of the two stocks.
Profitability
This table compares TerrAscend and SNDL’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| TerrAscend | -42.72% | -18.32% | -4.36% |
| SNDL | -9.66% | -8.28% | -6.95% |
Risk & Volatility
TerrAscend has a beta of 1.41, meaning that its stock price is 41% more volatile than the S&P 500. Comparatively, SNDL has a beta of 0.67, meaning that its stock price is 33% less volatile than the S&P 500.
About TerrAscend
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.
About SNDL
SNDL Inc. engages in the production, distribution, and sale of cannabis products in Canada. The company operates through Liquor Retail, Cannabis Retail, Cannabis Operations, and Investments segments. It engages in the cultivation, distribution, and sale of cannabis for the adult-use and medical markets; sells wines, beers, and spirits through wholly owned liquor stores; and private sale of recreational cannabis through wholly owned and franchised retail cannabis stores. In addition, the company produces and distributes inhalable products, such as flower, pre-rolls, and vapes. It offers its products under the Top Leaf, Sundial Cannabis, Palmetto, and Grasslands brands. The company was formerly known as Sundial Growers Inc. and changed its name to SNDL Inc. in July 2022. SNDL Inc. was incorporated in 2006 and is headquartered in Calgary, Canada.
Receive News & Ratings for TerrAscend Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for TerrAscend and related companies with MarketBeat.com's FREE daily email newsletter.
