Guardant Health vs Natera Which Is a Better Investment?

Guardant Health and Natera are two leading companies in the field of personalized medicine and genetic testing. Both companies have experienced significant growth in recent years, with Guardant Health specializing in liquid biopsy tests for cancer detection and monitoring, while Natera focuses on genetic testing for prenatal and cancer screening. Investors looking to capitalize on the growing demand for these innovative healthcare solutions may find opportunities in both Guardant Health and Natera stocks. However, a thorough analysis of their financial performance, market positioning, and future growth prospects is recommended before making any investment decisions.

Guardant Health or Natera?

When comparing Guardant Health and Natera, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Guardant Health and Natera.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Guardant Health has a dividend yield of -%, while Natera has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Guardant Health reports a 5-year dividend growth of 0.00% year and a payout ratio of -4.14%. On the other hand, Natera reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Guardant Health P/E ratio at -8.56 and Natera's P/E ratio at -96.35. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Guardant Health P/B ratio is -73.02 while Natera's P/B ratio is 23.55.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Guardant Health has seen a 5-year revenue growth of 0.69%, while Natera's is 1.11%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Guardant Health's ROE at -1240.25% and Natera's ROE at -26.23%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $35.46 for Guardant Health and $167.07 for Natera. Over the past year, Guardant Health's prices ranged from $15.81 to $38.53, with a yearly change of 143.71%. Natera's prices fluctuated between $57.22 and $175.63, with a yearly change of 206.94%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.