Reviewing Paradigm Medical Industries (OTCMKTS:PDMI) and Glaukos (NYSE:GKOS)

Paradigm Medical Industries (OTCMKTS:PDMI) and Glaukos (NYSE:GKOS) are both medical companies, but which is the better stock? We will compare the two companies based on the strength of their earnings, risk, analyst recommendations, profitability, institutional ownership, dividends and valuation.

Profitability

This table compares Paradigm Medical Industries and Glaukos’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Paradigm Medical Industries	N/A	N/A	N/A
Glaukos	-31.40%	-10.66%	-8.06%

Risk & Volatility

Paradigm Medical Industries has a beta of -0.51, meaning that its share price is 151% less volatile than the S&P 500. Comparatively, Glaukos has a beta of 0.82, meaning that its share price is 18% less volatile than the S&P 500.

Institutional and Insider Ownership

99.0% of Glaukos shares are held by institutional investors. 11.1% of Paradigm Medical Industries shares are held by company insiders. Comparatively, 5.8% of Glaukos shares are held 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.

Valuation & Earnings

This table compares Paradigm Medical Industries and Glaukos”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Paradigm Medical Industries	N/A	N/A	N/A	N/A	N/A
Glaukos	$404.52 million	13.81	-$146.37 million	($2.37)	-41.25

Paradigm Medical Industries has higher earnings, but lower revenue than Glaukos.

Analyst Ratings

This is a breakdown of recent ratings and price targets for Paradigm Medical Industries and Glaukos, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Paradigm Medical Industries	0	0	0	0	0.00
Glaukos	1	1	10	0	2.75

Glaukos has a consensus target price of $134.67, indicating a potential upside of 37.75%. Given Glaukos’ stronger consensus rating and higher probable upside, analysts plainly believe Glaukos is more favorable than Paradigm Medical Industries.

Summary

Glaukos beats Paradigm Medical Industries on 6 of the 10 factors compared between the two stocks.

About Paradigm Medical Industries

Paradigm Medical Industries, Inc. develops, manufactures, sells, and markets medical devices for the early detection of glaucoma and other eye disorders in the United States. The company offers P-2000 biometric analyzer A-scans and P-2500 A-scans/pachymeters; P2700 A/B and P37-II A/B scans; blood flow analyzers for the detection and management of glaucoma and other retinal vascular disorders; P2200 pachymeter and P-2500 A-scan/pachymeters; and LD 500 and LD700 autoperimeters. It also provides corneal topographers, such as PARAVUE 300 for diagnostic and contact lens applications, as well as SURVEYOR 500 for cornea and anterior segment; PARAMAX, which analyzes the functionality of ganglion cells and identifies glaucoma suspects; P60 and P60 ACI ultrasound biomicroscopes; and PARACAM 1000, a non-contact endothelial microscope, as well as software and accessories. The company was founded in 1989 and is based in Salt Lake City, Utah.

About Glaukos

Glaukos Corporation, an ophthalmic pharmaceutical and medical technology company, focuses on the development of novel therapies for the treatment of glaucoma, corneal disorders, and retinal diseases. It offers iStent and iStent inject W micro-bypass stents that enhance aqueous humor outflow inserted in cataract surgery to treat mild-to-moderate open-angle glaucoma. The company's product pipeline includes iStent Infinite indicated for use in the treatment of patients with glaucoma uncontrolled by prior medical and surgical therapy; and iDose TR, an intracameral procedural pharmaceutical therapy indicated for the reduction of intraocular pressure in patients with open-angle glaucoma or ocular hypertension. The company markets its products through direct sales organization, as well as through distributors in the United States and internationally. Glaukos Corporation was incorporated in 1998 and is headquartered in Aliso Viejo, California.