Financial Survey: GigCapital5 (NYSE:GIA) vs. Zynex (NASDAQ:ZYXI)

Zynex (NASDAQ:ZYXI) and GigCapital5 (NYSE:GIA) are both small-cap medical companies, but which is the better investment? We will contrast the two businesses based on the strength of their valuation, risk, earnings, dividends, analyst recommendations, institutional ownership and profitability.

Analyst Ratings

This is a summary of current ratings and recommmendations for Zynex and GigCapital5, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Zynex	0	0	3	0	3.00
GigCapital5	0	0	0	0	N/A

Zynex currently has a consensus price target of $19.63, indicating a potential upside of 159.93%. Given Zynex’s higher possible upside, equities research analysts plainly believe Zynex is more favorable than GigCapital5.

Profitability

This table compares Zynex and GigCapital5’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Zynex	9.72%	26.71%	13.92%
GigCapital5	N/A	N/A	-12.54%

Risk & Volatility

Zynex has a beta of 0.62, meaning that its stock price is 38% less volatile than the S&P 500. Comparatively, GigCapital5 has a beta of 0.01, meaning that its stock price is 99% less volatile than the S&P 500.

Institutional & Insider Ownership

28.6% of Zynex shares are held by institutional investors. Comparatively, 27.3% of GigCapital5 shares are held by institutional investors. 46.6% of Zynex shares are held by insiders. Comparatively, 22.1% of GigCapital5 shares 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.

Earnings & Valuation

This table compares Zynex and GigCapital5’s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Zynex	$177.45 million	1.53	$17.05 million	$0.46	16.41
GigCapital5	N/A	N/A	-$2.77 million	N/A	N/A

Zynex has higher revenue and earnings than GigCapital5.

Summary

Zynex beats GigCapital5 on 10 of the 10 factors compared between the two stocks.

About Zynex

Zynex, Inc., together with its subsidiaries, designs, manufactures, and markets medical devices to treat chronic and acute pain; and activate and exercise muscles for rehabilitative purposes with electrical stimulation. The company offers NexWave, a dual channel, multi-modality interferential current, transcutaneous electrical nerve stimulation, and neuromuscular electrical stimulation (NMES) device that is marketed to physicians and therapists by field sales representatives; NeuroMove, an electromyography and electric stimulation technology device; InWave, an electrical stimulation product for the treatment of female urinary incontinence; and E-Wave, an NMES device. It also supplies private labeled products, including electrodes for the delivery of electrical current to the body, and batteries for use in electrotherapy products. In addition, the company distributes Comfortrac/Saunders for cervical traction, JetStream for hot/cold therapy, LSO Back Braces for lumbar support, and knee braces for knee support. Further, it offers Zynex Fluid Monitoring System (CM-1500), a fluid volume monitor, which is a non-invasive medical device for monitoring relative fluid volume changes used in operating and recovery rooms to detect fluid loss during surgery and internal bleeding during recovery; Zynex Wireless Fluid Monitoring System (CM-1600), a noninvasive monitoring device designed to measure relative changes in fluid volume in adult patients; NiCO CO-Oximeter, a laser-based noninvasive co-oximeter; and HemeOx tHb Oximeter, a laser-based total hemoglobin pulse oximeter. The company provides its products for use in pain management and control; stroke and spinal cord injury rehabilitation; hemodynamic monitoring; and pulse oximetry monitoring. It sells its products through direct sales force primarily in the United States. Zynex, Inc. was founded in 1996 and is headquartered in Englewood, Colorado.

About GigCapital5

GigCapital5, Inc. does not have significant operations. It intends to effect a merger, capital stock exchange, asset acquisition, stock purchase, reorganization, or similar business combination with one or more businesses. The company was incorporated in 2021 and is based in Palo Alto, California.