Ayr Wellness (OTCMKTS:AYRWF) and Phibro Animal Health (NASDAQ:PAHC) Financial Survey

Ayr Wellness (OTCMKTS:AYRWF) and Phibro Animal Health (NASDAQ:PAHC) are both small-cap medical companies, but which is the better investment? We will compare the two companies based on the strength of their profitability, valuation, earnings, dividends, institutional ownership, risk and analyst recommendations.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Ayr Wellness and Phibro Animal Health, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ayr Wellness	0	0	0	0	0.00
Phibro Animal Health	1	4	2	0	2.14

Phibro Animal Health has a consensus target price of $38.80, suggesting a potential upside of 16.66%. Given Phibro Animal Health’s stronger consensus rating and higher possible upside, analysts clearly believe Phibro Animal Health is more favorable than Ayr Wellness.

Profitability

This table compares Ayr Wellness and Phibro Animal Health’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
Phibro Animal Health	6.35%	37.14%	8.57%

Valuation & Earnings

This table compares Ayr Wellness and Phibro Animal Health”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Ayr Wellness	$463.63 million	0.00	-$359.31 million	($2.67)	-0.01
Phibro Animal Health	$1.30 billion	1.04	$48.26 million	$2.33	14.27

Phibro Animal Health has higher revenue and earnings than Ayr Wellness. Ayr Wellness is trading at a lower price-to-earnings ratio than Phibro Animal Health, indicating that it is currently the more affordable of the two stocks.

Insider & Institutional Ownership

0.9% of Ayr Wellness shares are owned by institutional investors. Comparatively, 99.3% of Phibro Animal Health shares are owned by institutional investors. 8.1% of Ayr Wellness shares are owned by insiders. Comparatively, 50.1% of Phibro Animal Health shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Risk and Volatility

Ayr Wellness has a beta of 1.37, suggesting that its share price is 37% more volatile than the S&P 500. Comparatively, Phibro Animal Health has a beta of 0.61, suggesting that its share price is 39% less volatile than the S&P 500.

Summary

Phibro Animal Health beats Ayr Wellness on 13 of the 14 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 Phibro Animal Health

Phibro Animal Health Corporation operates as an animal health and mineral nutrition company in the United States, Israel, Brazil, Ireland, and internationally. It operates through three segments: Animal Health, Mineral Nutrition, and Performance Products. The company develops, manufactures, and markets various products for food and companion animals including poultry, swine, beef and dairy cattle, aquaculture, and dogs. It also offers animal health products, such as antibacterials, anticoccidials, nutritional specialty, and vaccines and vaccine adjuvants for animal’s health and performance, food safety, and animal welfare; and engages in development, manufacturing, and marketing of microbial and bioproducts for various applications serving animal health and nutrition, environmental, industrial, and agricultural customers. In addition, the company develops, manufactures, and markets conventionally licensed and autogenous vaccine products, as well as adjuvants for animal vaccine manufacturers. Further, it provides formulations and concentrations of trace minerals, such as zinc, manganese, copper, iron, and other compounds to fortify the daily feed requirements of their livestock’s diets and maintain optimal balance of trace elements in animals. Additionally, the company offers specialty ingredients for personal care, industrial chemical, and chemical catalyst industries. It sells its animal health and mineral nutrition products through local sales offices to integrated poultry, swine, and cattle producers, as well as through commercial animal feed manufacturers, wholesalers, and distributors. The company was formerly known as Philipp Brothers Chemicals, Inc. and changed its name to Phibro Animal Health Corporation in July 2003. Phibro Animal Health Corporation was founded in 1946 and is headquartered in Teaneck, New Jersey.