Comparing Precision Optics (POCI) & Its Rivals

Precision Optics (NASDAQ:POCI) is one of 511 publicly-traded companies in the “Healthcare Equipment & Supplies” industry, but how does it compare to its peers? We will compare Precision Optics to related businesses based on the strength of its dividends, valuation, earnings, analyst recommendations, profitability, institutional ownership and risk.

Institutional & Insider Ownership

13.7% of Precision Optics shares are held by institutional investors. Comparatively, 40.6% of shares of all “Healthcare Equipment & Supplies” companies are held by institutional investors. 12.7% of Precision Optics shares are held by insiders. Comparatively, 14.9% of shares of all “Healthcare Equipment & Supplies” companies are held 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.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Precision Optics	-11.51%	-23.92%	-13.05%
Precision Optics Competitors	-278.23%	-150.06%	-21.87%

Risk & Volatility

Precision Optics has a beta of 0.23, meaning that its stock price is 77% less volatile than the S&P 500. Comparatively, Precision Optics’ peers have a beta of 2.56, meaning that their average stock price is 156% more volatile than the S&P 500.

Analyst Ratings

This is a summary of current recommendations and price targets for Precision Optics and its peers, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Precision Optics	1	0	0	0	1.00
Precision Optics Competitors	4257	10484	18211	824	2.46

As a group, “Healthcare Equipment & Supplies” companies have a potential upside of 22.78%. Given Precision Optics’ peers stronger consensus rating and higher possible upside, analysts clearly believe Precision Optics has less favorable growth aspects than its peers.

Valuation & Earnings

This table compares Precision Optics and its peers gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Precision Optics	$31.53 million	-$3.63 million	-10.15
Precision Optics Competitors	$1.89 billion	$138.79 million	10.90

Precision Optics’ peers have higher revenue and earnings than Precision Optics. Precision Optics is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Summary

Precision Optics peers beat Precision Optics on 10 of the 13 factors compared.

Precision Optics Company Profile

Precision Optics Corporation, Inc. designs, develops, manufactures, and sells specialized optical and illumination systems and related components primarily in the United States and the European Economic Area. It offers medical instrumentation products, including endoscopes and endocouplers, as well as other custom imaging and illumination products, such as Microprecision lenses and micro medical cameras, and 3D endoscopes for use in minimally invasive surgical procedures by hospitals and physicians. The company also provides components and assemblies for industrial and military use. It markets its products to medical device companies. The company was incorporated in 1982 and is based in Gardner, Massachusetts.