Modular Medical (OTC:MODD) & Haemonetics (NYSE:HAE) Financial Review

Modular Medical (OTC:MODD – Get Rating) and Haemonetics (NYSE:HAE – Get Rating) are both medical companies, but which is the superior stock? We will contrast the two companies based on the strength of their risk, earnings, institutional ownership, profitability, dividends, analyst recommendations and valuation.

Profitability

This table compares Modular Medical and Haemonetics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Modular Medical	N/A	-145.00%	-133.88%
Haemonetics	9.87%	20.13%	8.31%

Analyst Recommendations

This is a summary of recent ratings and target prices for Modular Medical and Haemonetics, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Modular Medical	0	0	1	0	3.00
Haemonetics	0	2	4	0	2.67

Modular Medical currently has a consensus target price of $4.25, suggesting a potential upside of 300.94%. Haemonetics has a consensus target price of $103.17, suggesting a potential upside of 24.48%. Given Modular Medical’s stronger consensus rating and higher possible upside, analysts clearly believe Modular Medical is more favorable than Haemonetics.

Earnings & Valuation

This table compares Modular Medical and Haemonetics’ gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Modular Medical	N/A	N/A	-$18.63 million	($1.48)	-0.72
Haemonetics	$1.17 billion	3.58	$115.40 million	$2.23	37.17

Haemonetics has higher revenue and earnings than Modular Medical. Modular Medical is trading at a lower price-to-earnings ratio than Haemonetics, indicating that it is currently the more affordable of the two stocks.

Risk & Volatility

Modular Medical has a beta of 0.21, indicating that its share price is 79% less volatile than the S&P 500. Comparatively, Haemonetics has a beta of 0.44, indicating that its share price is 56% less volatile than the S&P 500.

Institutional and Insider Ownership

14.7% of Modular Medical shares are held by institutional investors. 59.2% of Modular Medical shares are held by insiders. Comparatively, 1.7% of Haemonetics shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Summary

Haemonetics beats Modular Medical on 9 of the 13 factors compared between the two stocks.

About Modular Medical

(Get Rating)

Modular Medical, Inc., a development stage medical device company, focuses on the design, development, and commercialization of insulin pumps using technology to enhance pump adoption in the diabetes marketplace. The company is headquartered in San Diego, California.

About Haemonetics

(Get Rating)

Haemonetics Corp. is a global healthcare company, which engages in the development and distribution of hematology products and solutions. It operates through the following segments: Plasma, Blood Center, Hospital, and Corporate. The Plasma segment offers automated plasma collection and donor management software systems. The Blood Center segment provides solutions for donor collection centers’ ability to acquire blood, filter blood, and separate blood components. The Hospital segment includes hemostasis management, cell salvage, and transfusion management services that help decision makers in hospitals optimize blood acquisition, storage, and usage in critical settings. The company was founded by Allen Latham, Jr. in 1971 and is headquartered in Boston, MA.