CareDx, Inc. (CDNA) vs Veracyte, Inc. (VCYT)

CareDx, Inc. and Veracyte, Inc. are both Diagnostics & Research companies. CareDx, Inc. and Veracyte, Inc. are of similar size ($3.6B and $3.5B). CareDx, Inc. trades at the lower P/E: 29.7× against 29.9×. CareDx, Inc. grew revenue faster over the last twelve months: 34.4% against 17.3%. CareDx, Inc. has the higher net margin (24.2% vs 20.4%) and the higher return on invested capital (130.1% vs 7.32%). Across the 20 metrics below, Veracyte, Inc. leads on 11 and CareDx, Inc. on 9.

Valuation

Metric CDNA VCYT Diagnostics & Research median
P/E 29.68 29.94 35.56
P/S 7.17 6.14 4.37
P/B 7.72 2.48 3.06
Price to free cash flow 39.51 20.78 35.76
EV/EBITDA 22.40 23.93 24.35
EV/Sales 6.36 5.28 5.51
Earnings yield 3.37% 3.34% (1.89%)
Free cash flow yield 2.53% 4.81% (0.15%)

Profitability

Metric CDNA VCYT Diagnostics & Research median
Gross margin 70.58% 71.71% 50.89%
Operating margin 23.61% 18.82% (8.57%)
Net margin 24.23% 20.37% (6.37%)
Free cash flow margin 18.49% 29.54% 0.00%
Return on equity 29.49% 8.77% (2.92%)
Return on assets 22.72% 8.09% (6.71%)
Return on invested capital 130.06% 7.32% 0.00%

Growth

Metric CDNA VCYT Diagnostics & Research median
Revenue growth (TTM) 34.41% 17.28% 7.69%
EPS growth (last fiscal year) (143.01%) 164.52% 25.92%
Revenue growth, 5-year CAGR 14.59% 34.50% 7.40%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric CDNA VCYT Diagnostics & Research median
Debt to equity 0.00 0.00 0.11
Current ratio 4.58 9.16 2.02
Net debt to EBITDA 19.49 (5.44) 0.70

Dividend

Metric CDNA VCYT Diagnostics & Research median
Dividend yield — — 0.66%
Payout ratio — — 0.20

Size

Metric CDNA VCYT Diagnostics & Research median
Market cap 3.45b 3.57b 2.16b

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