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

CareDx, Inc. and Veracyte, Inc. are both Diagnostics & Research companies. Veracyte, Inc. is the larger, with a market value of $3.9B against $3.2B — 1.2× the size. CareDx, Inc. trades at the lower P/E: 29.6× against 31.5×. 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 29.62 31.55 33.95
P/S 7.15 6.47 4.87
P/B 7.70 2.62 3.12
Price to free cash flow 39.42 21.89 34.02
EV/EBITDA 22.60 25.52 25.20
EV/Sales 6.42 5.63 5.66
Earnings yield 3.38% 3.17% (1.75%)
Free cash flow yield 2.54% 4.57% (0.13%)

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% —
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) 0.78

Dividend

Metric CDNA VCYT Diagnostics & Research median
Dividend yield — — 0.70%
Payout ratio 0.00 0.00 0.00

Size

Metric CDNA VCYT Diagnostics & Research median
Market cap 3.18b 3.91b 2.56b

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