Head-To-Head Review: Alvotech (ALVO) & Its Competitors

Alvotech (NYSE:ALVO) is one of 285 publicly-traded companies in the “Biological products, except diagnostic” industry, but how does it contrast to its peers? We will compare Alvotech to similar businesses based on the strength of its earnings, analyst recommendations, risk, profitability, institutional ownership, dividends and valuation.

Risk and Volatility

Alvotech has a beta of 0.12, suggesting that its share price is 88% less volatile than the S&P 500. Comparatively, Alvotech’s peers have a beta of 1.05, suggesting that their average share price is 5% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent ratings for Alvotech and its peers, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Alvotech	0	1	1	0	2.50
Alvotech Competitors	1446	4592	11873	202	2.60

Alvotech presently has a consensus target price of $12.67, indicating a potential downside of 0.11%. As a group, “Biological products, except diagnostic” companies have a potential upside of 102.42%. Given Alvotech’s peers stronger consensus rating and higher possible upside, analysts plainly believe Alvotech has less favorable growth aspects than its peers.

Insider & Institutional Ownership

50.9% of shares of all “Biological products, except diagnostic” companies are held by institutional investors. 15.8% of shares of all “Biological products, except diagnostic” companies are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Profitability

This table compares Alvotech and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Alvotech	-967.97%	N/A	-68.36%
Alvotech Competitors	-4,146.71%	-130.83%	-42.89%

Earnings & Valuation

This table compares Alvotech and its peers top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Alvotech	$93.38 million	-$551.73 million	-5.22
Alvotech Competitors	$586.69 million	-$30.20 million	7.35

Alvotech’s peers have higher revenue and earnings than Alvotech. Alvotech is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Summary

Alvotech peers beat Alvotech on 11 of the 13 factors compared.

About Alvotech

Alvotech, through its subsidiaries, develops and manufactures biosimilar medicines for patients worldwide. It offers biosimilar products in the therapeutic areas of autoimmune, eye, and bone disorders, as well as cancer. The company's lead program is AVT02, a high concentration formulation biosimilar to Humira to treat various inflammatory conditions, including rheumatoid arthritis, psoriatic arthritis, Crohn's disease, ulcerative colitis, plaque psoriasis, and other indications; AVT04, a biosimilar to Stelara to treat various inflammatory conditions comprising psoriatic arthritis, Crohn's disease, ulcerative colitis, plaque psoriasis, and other indications; AVT06, a biosimilar to Eylea to treat various conditions, such as age-related macular degeneration, macular edema, and diabetic retinopathy; and AVT03, a biosimilar to Xgeva and Prolia, which is in the pre-clinical phase to treat prevent bone fracture, spinal cord compression, and the need for radiation or bone surgery in patients with certain types of cancer, as well as prevent bone loss and increase bone mass. It also offers AVT05, a biosimilar to Simponi and Simponi Aria, which is in early phase development to treat various inflammatory conditions, including rheumatoid arthritis, psoriatic arthritis, ulcerative colitis, and other indications; AVT16, a biosimilar to an immunology product; AVT23, a biosimilar to Xolair, which is in late-stage development to treat nasal polyps; and AVT33, a biosimilar to an oncology product. The company was founded in 2013 and is headquartered in Reykjavik, Iceland.