Critical Analysis: INC Research (NASDAQ:SYNH) versus The Competition

INC Research (NASDAQ: SYNH) is one of 191 public companies in the “Biotechnology & Medical Research” industry, but how does it compare to its peers? We will compare INC Research to related companies based on the strength of its risk, analyst recommendations, profitability, earnings, valuation, institutional ownership and dividends.

Earnings & Valuation

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

Gross Revenue Net Income Price/Earnings Ratio
INC Research $1.61 billion $112.63 million -63.36
INC Research Competitors $228.09 million -$38.90 million -66.16

INC Research has higher revenue and earnings than its peers. INC Research 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.

Volatility and Risk

INC Research has a beta of 0.8, indicating that its stock price is 20% less volatile than the S&P 500. Comparatively, INC Research’s peers have a beta of 1.47, indicating that their average stock price is 47% more volatile than the S&P 500.

Profitability

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

Net Margins Return on Equity Return on Assets
INC Research -4.29% 14.42% 5.17%
INC Research Competitors -4,385.03% -466.99% -41.22%

Analyst Ratings

This is a breakdown of current ratings for INC Research and its peers, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
INC Research 0 4 6 0 2.60
INC Research Competitors 722 2642 6965 148 2.62

INC Research currently has a consensus target price of $49.88, indicating a potential upside of 35.71%. As a group, “Biotechnology & Medical Research” companies have a potential upside of 23.82%. Given INC Research’s higher probable upside, research analysts clearly believe INC Research is more favorable than its peers.

Institutional and Insider Ownership

97.3% of INC Research shares are held by institutional investors. Comparatively, 46.9% of shares of all “Biotechnology & Medical Research” companies are held by institutional investors. 0.2% of INC Research shares are held by insiders. Comparatively, 14.5% of shares of all “Biotechnology & Medical Research” companies are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Summary

INC Research beats its peers on 8 of the 13 factors compared.

INC Research Company Profile

Syneos Health, Inc., formerly INC Research Holdings, Inc., is a global contract research organization (CRO). The Company focuses on Phase I to Phase IV clinical development services for the biopharmaceutical and medical device industries. The Company operates through two segments: Clinical Development Services and Phase I Services. The Company’s Clinical Development Services segment offers a range of clinical development services, including full-service global studies, as well as ancillary services, such as clinical monitoring, investigator recruitment, patient recruitment, data management, study reports to assist customers with their drug development process, quality assurance audits and specialized consulting services. The Phase I Services segment focuses on clinical development services for Phase I trials, which include scientific exploratory medicine, first-in-human studies through proof-of-concept stages and support for Phase I studies in established compounds.

Receive News & Ratings for INC Research Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for INC Research and related companies with MarketBeat.com's FREE daily email newsletter.

Leave a Reply