Comparing Globus Medical (NYSE:GMED) & Acutus Medical (NASDAQ:AFIB)

Globus Medical (NYSE:GMED) and Acutus Medical (NASDAQ:AFIB) are both medical companies, but which is the superior business? We will compare the two businesses based on the strength of their valuation, analyst recommendations, institutional ownership, profitability, risk, earnings and dividends.

Volatility & Risk

Globus Medical has a beta of 1.08, meaning that its stock price is 8% more volatile than the S&P 500. Comparatively, Acutus Medical has a beta of 0.19, meaning that its stock price is 81% less volatile than the S&P 500.

Profitability

This table compares Globus Medical and Acutus Medical’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Globus Medical	7.83%	8.82%	7.20%
Acutus Medical	-166.79%	-35.31%	-13.43%

Insider & Institutional Ownership

95.2% of Globus Medical shares are held by institutional investors. Comparatively, 56.9% of Acutus Medical shares are held by institutional investors. 24.3% of Globus Medical shares are held by company insiders. Comparatively, 3.5% of Acutus Medical shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Analyst Ratings

This is a summary of current ratings and price targets for Globus Medical and Acutus Medical, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Globus Medical	0	3	6	0	2.67
Acutus Medical	0	0	0	0	N/A

Globus Medical currently has a consensus target price of $66.33, suggesting a potential upside of 28.38%. Given Globus Medical’s higher possible upside, equities analysts plainly believe Globus Medical is more favorable than Acutus Medical.

Valuation & Earnings

This table compares Globus Medical and Acutus Medical’s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Globus Medical	$1.57 billion	4.46	$122.87 million	$1.17	44.16
Acutus Medical	$7.16 million	0.73	-$81.66 million	($1.24)	-0.14

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

Summary

Globus Medical beats Acutus Medical on 13 of the 13 factors compared between the two stocks.

About Globus Medical

Globus Medical, Inc., a medical device company, develops and commercializes healthcare solutions for patients with musculoskeletal disorders in the United States and internationally. The company offers spine products, such as traditional fusion implants comprising pedicle screw and rod systems, plating systems, intervertebral spacers, and corpectomy devices for treating degenerative and congenital conditions, deformity, tumors, and trauma injuries; treatment options for motion preservation technologies that consist of dynamic stabilization, total disc replacement, and interspinous distraction devices; interventional solutions to treat vertebral compression fractures; and regenerative biologic products comprising of allografts and synthetic alternatives. It also offers products for the treatment of orthopedic trauma, including fracture plates, compression screws, intramedullary nails, and external fixation systems; and hip and knee joint solutions, including modular hip stems and acetabular cups, as well as posterior stabilizing and cruciate retaining knee arthroplasty implants. In addition, the company distributes human cell, tissue, and cellular and tissue-based products. It sells its products through direct or distributor sales representatives, as well as hip and knee products through independent sales agents. Globus Medical, Inc. was incorporated in 2003 and is headquartered in Audubon, Pennsylvania.

About Acutus Medical

Acutus Medical, Inc., an arrhythmia management company, designs, manufactures, and markets various tools for catheter-based ablation procedures to treat various arrhythmias in the United States and internationally. Its product portfolio includes novel access sheaths, transseptal crossing tools, diagnostic and mapping catheters, conventional and contact force ablation catheters, and mapping and imaging consoles and accessories, as well as supporting algorithms and software programs. The company was incorporated in 2011 and is headquartered in Carlsbad, California.