Neogen Corporation (NEOG) vs TransMedics Group, Inc. (TMDX)

Neogen Corporation and TransMedics Group, Inc. are both Medical Devices companies. Neogen Corporation and TransMedics Group, Inc. are of similar size ($3.0B and $2.9B). Neogen Corporation 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 −2.72%. TransMedics Group, Inc. has the higher net margin (22.7% vs −0.91%) and the higher return on invested capital (5.62% vs −0.50%). Across the 20 metrics below, TransMedics Group, Inc. leads on 16 and Neogen Corporation on 4.

Valuation

Metric NEOG TMDX Medical Devices median
P/E n/m 19.30 22.18
P/S 3.44 4.41 2.70
P/B 1.43 5.69 2.46
Price to free cash flow 93.53 37.31 22.53
EV/EBITDA 35.39 28.28 11.78
EV/Sales 4.16 4.99 2.38
Earnings yield (0.22%) 5.18% (8.22%)
Free cash flow yield 1.07% 2.68% (7.80%)

Profitability

Metric NEOG TMDX Medical Devices median
Gross margin 46.93% 58.69% 56.01%
Operating margin (2.48%) 12.21% (15.03%)
Net margin (0.91%) 22.69% (20.40%)
Free cash flow margin 3.68% 11.82% (7.24%)
Return on equity (0.38%) 36.28% (15.32%)
Return on assets (0.23%) 12.88% (19.72%)
Return on invested capital (0.50%) 5.62% (10.33%)

Growth

Metric NEOG TMDX Medical Devices median
Revenue growth (TTM) (2.72%) 25.82% 8.80%
EPS growth (last fiscal year) 99.20% 382.18% —
Revenue growth, 5-year CAGR 13.19% 88.21% 15.23%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric NEOG TMDX Medical Devices median
Debt to equity 0.38 1.66 0.07
Current ratio 3.82 6.63 2.50
Net debt to EBITDA 5.95 0.18 0.49

Dividend

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

Size

Metric NEOG TMDX Medical Devices median
Market cap 2.98b 2.91b 172.91m

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