Comparing Spectral AI (NASDAQ:MDAI) and Positron (OTCMKTS:POSC)

Positron (OTCMKTS:POSC) and Spectral AI (NASDAQ:MDAI) are both small-cap medical companies, but which is the superior investment? We will compare the two companies based on the strength of their valuation, profitability, dividends, risk, analyst recommendations, earnings and institutional ownership.

Profitability

This table compares Positron and Spectral AI’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Positron	-592.35%	N/A	-116.31%
Spectral AI	-30.75%	N/A	-11.37%

Institutional & Insider Ownership

67.1% of Spectral AI shares are owned by institutional investors. 17.2% of Positron shares are owned by insiders. Comparatively, 30.7% of Spectral AI shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Valuation and Earnings

This table compares Positron and Spectral AI”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Positron	$590,000.00	77.19	-$2.39 million	($0.12)	-12.08
Spectral AI	$29.58 million	2.29	-$15.31 million	($0.54)	-4.94

Positron has higher earnings, but lower revenue than Spectral AI. Positron is trading at a lower price-to-earnings ratio than Spectral AI, indicating that it is currently the more affordable of the two stocks.

Volatility & Risk

Positron has a beta of 0.4, meaning that its share price is 60% less volatile than the S&P 500. Comparatively, Spectral AI has a beta of 0.9, meaning that its share price is 10% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent recommendations and price targets for Positron and Spectral AI, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Positron	0	0	0	0	0.00
Spectral AI	0	0	2	1	3.33

Spectral AI has a consensus target price of $4.75, indicating a potential upside of 77.90%. Given Spectral AI’s stronger consensus rating and higher probable upside, analysts plainly believe Spectral AI is more favorable than Positron.

Summary

Spectral AI beats Positron on 11 of the 14 factors compared between the two stocks.

About Positron

Positron Corporation, a nuclear medicine healthcare company, specializes in the business of cardiac positron emission tomography (PET) imaging in the United States. It offers attrius PET scanner, clinical and technical services, and financing solutions enables healthcare providers to accurately diagnose cardiac disease, improve patient outcomes, and practice cost effective medicines. Positron Corporation was incorporated in 1983 and is based in Niagara Falls, New York.

About Spectral AI

Spectral AI, Inc., an artificial intelligence (AI) company, focuses on developing predictive medical diagnostics in the United States. The company develops medical diagnostics for faster and accurate treatment decisions in wound care with applications involving patients with burns and diabetic foot ulcers. Its products include DeepView System, a predictive analytics platform integrated with the predictive AI-Burn, which combines AI algorithms and multispectral imaging (MSI) imaging for an assessment of wound healing potential and offers clinicians an objective and immediate assessment of a wound’s healing potential prior to treatment or other medical intervention; and DeepView SnapShot M, a handheld, portable, and wireless diagnostic tool, that provides a potential enhanced and expanded use for the government and emergency care, first responders, and potentially home health care professionals. The company is headquartered in Dallas, Texas.