AxoGen, Inc. (AXGN) vs TransMedics Group, Inc. (TMDX)

AxoGen, Inc. and TransMedics Group, Inc. are both Medical Devices companies. TransMedics Group, Inc. is the larger, with a market value of $2.9B against $2.5B — 1.1× the size. AxoGen, Inc. has negative trailing earnings, so its P/E is not meaningful; TransMedics Group, Inc. trades at 19.3×. TransMedics Group, Inc. grew revenue faster over the last twelve months: 25.8% against 23.6%. TransMedics Group, Inc. has the higher net margin (22.7% vs −13.4%) and the higher return on invested capital (5.62% vs −4.99%). Across the 19 metrics below, TransMedics Group, Inc. leads on 17 and AxoGen, Inc. on 2.

Valuation

Metric AXGN TMDX Medical Devices median
P/E n/m 19.30 22.18
P/S 9.21 4.41 2.70
P/B 9.03 5.69 2.46
Price to free cash flow 355.51 37.31 22.53
EV/EBITDA n/m 28.28 11.78
EV/Sales 8.84 4.99 2.38
Earnings yield (1.56%) 5.18% (8.22%)
Free cash flow yield 0.28% 2.68% (7.80%)

Profitability

Metric AXGN TMDX Medical Devices median
Gross margin 74.56% 58.69% 56.01%
Operating margin (5.12%) 12.21% (15.03%)
Net margin (13.36%) 22.69% (20.40%)
Free cash flow margin 2.59% 11.82% (7.24%)
Return on equity (18.21%) 36.28% (15.32%)
Return on assets (13.15%) 12.88% (19.72%)
Return on invested capital (4.99%) 5.62% (10.33%)

Growth

Metric AXGN TMDX Medical Devices median
Revenue growth (TTM) 23.57% 25.82% 8.80%
EPS growth (last fiscal year) (47.83%) 382.18% —
Revenue growth, 5-year CAGR 14.93% 88.21% 15.23%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric AXGN TMDX Medical Devices median
Debt to equity 0.07 1.66 0.07
Current ratio 6.60 6.63 2.50
Net debt to EBITDA 14.26 0.18 0.49

Dividend

Metric AXGN TMDX Medical Devices median
Dividend yield — — 0.94%
Payout ratio 0.00 0.00 0.00

Size

Metric AXGN TMDX Medical Devices median
Market cap 2.54b 2.91b 172.91m

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