Ramsay Health Care (OTCMKTS:RMSYF) vs. COMPASS Pathways (NASDAQ:CMPS) Financial Comparison

Ramsay Health Care (OTCMKTS:RMSYF) and COMPASS Pathways (NASDAQ:CMPS) are both medical companies, but which is the superior stock? We will compare the two businesses based on the strength of their institutional ownership, analyst recommendations, dividends, profitability, earnings, valuation and risk.

Analyst Recommendations

This is a summary of recent recommendations for Ramsay Health Care and COMPASS Pathways, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ramsay Health Care	0	0	0	0	N/A
COMPASS Pathways	0	0	6	0	3.00

COMPASS Pathways has a consensus price target of $45.00, suggesting a potential upside of 376.19%. Given COMPASS Pathways’ higher probable upside, analysts clearly believe COMPASS Pathways is more favorable than Ramsay Health Care.

Insider & Institutional Ownership

13.2% of Ramsay Health Care shares are held by institutional investors. Comparatively, 18.1% of COMPASS Pathways shares are held by institutional investors. 24.0% of COMPASS Pathways shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Valuation and Earnings

This table compares Ramsay Health Care and COMPASS Pathways’ gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Ramsay Health Care	N/A	N/A	N/A	$1.43	25.56
COMPASS Pathways	N/A	N/A	-$91.50 million	($2.35)	-4.02

COMPASS Pathways is trading at a lower price-to-earnings ratio than Ramsay Health Care, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Ramsay Health Care and COMPASS Pathways’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Ramsay Health Care	N/A	N/A	N/A
COMPASS Pathways	N/A	-57.87%	-50.61%

About Ramsay Health Care

Ramsay Health Care Limited owns and operates hospitals. The company offers health care services to public and private patients. It operates facilities in approximately 530 locations in the Asia Pacific, the United Kingdom, France, and Nordics. Ramsay Health Care Limited was founded in 1964 and is based in Sydney, Australia.

About COMPASS Pathways

COMPASS Pathways plc operates as a mental health care company primarily in the United Kingdom and the United States. It develops COMP360, a psilocybin therapy that is in Phase III clinical trials for the treatment of treatment-resistant depression; and is in Phase II clinical trials for the treatment of post-traumatic stress disorder and anorexia nervosa. The company was formerly known as COMPASS Rx Limited and changed its name to COMPASS Pathways plc in August 2020. COMPASS Pathways plc was incorporated in 2020 and is headquartered in London, the United Kingdom.