Lifevantage (NASDAQ:LFVN) versus Escalon Medical (OTCMKTS:ESMC) Head to Head Survey

Lifevantage (NASDAQ:LFVN) and Escalon Medical (OTCMKTS:ESMC) are both small-cap medical companies, but which is the better business? We will contrast the two businesses based on the strength of their valuation, earnings, profitability, dividends, analyst recommendations, risk and institutional ownership.

Institutional and Insider Ownership

35.3% of Lifevantage shares are owned by institutional investors. 20.7% of Lifevantage shares are owned by company insiders. Comparatively, 1.9% of Escalon Medical shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Analyst Ratings

This is a summary of recent ratings and recommmendations for Lifevantage and Escalon Medical, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Lifevantage	0	0	2	0	3.00
Escalon Medical	0	0	0	0	0.00

Lifevantage presently has a consensus price target of $30.50, indicating a potential upside of 141.30%. Given Lifevantage’s stronger consensus rating and higher probable upside, analysts plainly believe Lifevantage is more favorable than Escalon Medical.

Earnings & Valuation

This table compares Lifevantage and Escalon Medical”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Lifevantage	$200.16 million	0.80	$2.94 million	$0.69	18.32
Escalon Medical	$11.98 million	0.22	-$130,000.00	$0.05	7.21

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

Profitability

This table compares Lifevantage and Escalon Medical’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Lifevantage	4.12%	34.67%	15.24%
Escalon Medical	4.70%	45.60%	12.66%

Volatility & Risk

Lifevantage has a beta of 0.43, suggesting that its share price is 57% less volatile than the S&P 500. Comparatively, Escalon Medical has a beta of 0.37, suggesting that its share price is 63% less volatile than the S&P 500.

Summary

Lifevantage beats Escalon Medical on 12 of the 14 factors compared between the two stocks.

About Lifevantage

LifeVantage Corporation engages in the identification, research, development, formulation, and sale of advanced nutrigenomic activators, dietary supplements, nootropics, pre- and pro-biotics, weight management, skin and hair care, bath and body, and targeted relief products. It offers Protandim, a dietary supplement; LifeVantage Omega+, a dietary supplement that combines DHA and EPA Omega-3 fatty acids, Omega-7 fatty acids, and vitamin D3; LifeVantage ProBio, a dietary supplement to support gut health; PhysIQ, a weight management system; LifeVantage IC Bright, a supplement to support eye and brain health, reduce eye fatigue and strain, supports cognitive functions, and support normal sleep patterns; Petandim for Dogs, a supplement to combat oxidative stress in dogs; and Axio, a nootropic energy drink mix. The company also provides anti-aging skin care products, including liquid collagen, facial cleansers, perfecting lotions, eye serums, anti-aging creams, hand creams, beauty serum, as well as hair care products, such as invigorating shampoos, nourishing conditioners, and scalp serums under the LifeVantage TrueScience brand name. In addition, it offers bath and body, and targeted relief products, such as body lotion, body wash, body butter, deodorant, soothing balm, and body rub under the TrueScience brand name. It sells its products through its website and network of independent distributors in the United States, Mexico, Japan, Australia, Hong Kong, Canada, Thailand, the United Kingdom, the Netherlands, Germany, Taiwan, Austria, Spain, Ireland, Belgium, New Zealand, Singapore, and the Philippines. The company was founded in 2003 and is headquartered in Lehi, Utah.

About Escalon Medical

Escalon Medical Corp. engages in the development, manufacturing, marketing, and distribution of medical devices and pharmaceuticals in the area of ophthalmology in the United States and internationally. It offers A-Scan, which provides information about the internal structure of the eye; B-Scan, a diagnostic tool that supplies information to physicians where the media within the eye are cloudy or opaque; UBM, a high frequency/high resolution ultrasound device, which provides detailed information about the anterior segment of the eye; and Pachymeter that measures the thickness of cornea. The company also provides Ispan Intraocular Gases, such as C3F8 and SF6 that are used by vitreoretinal surgeons as a temporary tamponade in detached retina surgery; and AXIS Image management system for managing ophthalmic diagnostic images through the web browser from various devices. In addition, it markets disposable surgical packs used in vitreoretinal surgery, including packs that aid surgeons in the process of injecting and extracting silicone oil. Further, the company engages in the manufacturing and distribution of patented disposable universal gas kit, which delivers the gas from the canister to the patient. It sells its products to medical institutions through independent sales representatives, network of distributors, and internal sales employees. Escalon Medical Corp. was incorporated in 1987 and is headquartered in Wayne, Pennsylvania.