S&W Seed (NASDAQ: SANW – Rated) and TerrAscend (OTCMKTS:TRSSF – Rated) are both small consumer products companies, but which one is the better deal? Compare two companies based on analyst recommendations, dividends, valuations, and risks.
|Net Margins||Return on Equity||Return on Assets|
This is a summary of recent ratings for S&W Seed and TerrAscend, as provided by MarketBeat.com.
|Sell Ratings||Hold Ratings||Buy Ratings||Strong Buy Ratings||Rating Score|
S&W Seed currently has a consensus price target of $5.13, indicating a 439.47% upside potential. TerrAscend’s consensus price target is $11.88, indicating a potential upside of 403.39%. Given S&W Seed’s higher consensus rating and higher upside potential, the stock analyst is confident that S&W Seed is a bargain to his TerrAscend.
Earnings and Valuation
This table compares S&W Seed and TerrAscend’s gross revenue, earnings per share, and valuation.
|Gross Revenue||Price/Sales Ratio||Net Income||Earnings Per Share||Price/Earnings Ratio|
|S&W Seed||$84.05 million||0.47||-$19.17 million||($0.66)||-1.44|
|TerrAscend||$210.42 million||2.07||$3.11 million||N/A||N/A|
TerrAscend has higher revenue and earnings than S&W Seed.
About S&W Seed
S&W Seed Company, an agricultural company, breeds, grows, processes, and markets alfalfa and sorghum seeds. We also offer sunflower, wheat germ, wheat, and grass seeds. The company sells seeds to distributors and dealers in 40 countries. S&W Seed Company was founded in 1980 and is headquartered in Longmont, Colorado.
TerrAscend Corp. grows, processes, and markets medical and adult cannabis in Canada and the United States. We manufacture and sell hemp-derived wellness products to retailers. Edible food infused with cannabis by artisans.
He also operates three retail pharmacies in California and Pennsylvania under the Apothepotassium brand name. Additionally, we own a range of synergistic products among Gage Cannabis, Ultra Healthcare, Kind Tree, Prism, State Flower, Valhalla Confections, and Arise Bioscience Inc. brand.
As of April 6, 2022, the Company operates 26 dispensaries, including its three cookie dispensaries in Michigan and one cookie dispensary in Toronto. Terra Ascend, Inc. was founded in 2017 and is based in Mississauga, Canada.
When Is Debt A Problem?
Debt helps a business until it struggles to pay it back with either new capital or free cash flow.At worst, it can prevent it from paying creditors and the company can go bankrupt.
As you can see below, S&W Seed’s debt at the end of March 2022 was $49.2 million, up from his $46.1 million a year ago. Click the photo for more information. However, with cash reserves of $3.14 million, net debt is less at approximately $46 million.