Reviewing Bioqual (OTCMKTS:BIOQ) and The Pennant Group (NASDAQ:PNTG)

Bioqual (OTCMKTS:BIOQ) and The Pennant Group (NASDAQ:PNTG) are both small-cap medical companies, but which is the superior stock? We will compare the two companies based on the strength of their profitability, risk, valuation, dividends, analyst recommendations, earnings and institutional ownership.

Institutional & Insider Ownership

85.9% of The Pennant Group shares are held by institutional investors. 39.2% of Bioqual shares are held by company insiders. Comparatively, 5.4% of The Pennant Group 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.

Profitability

This table compares Bioqual and The Pennant Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Bioqual	-4.34%	-5.82%	-3.79%
The Pennant Group	3.36%	9.85%	4.04%

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Bioqual and The Pennant Group, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Bioqual	0	0	0	0	0.00
The Pennant Group	0	2	3	0	2.60

The Pennant Group has a consensus price target of $33.80, suggesting a potential upside of 29.60%. Given The Pennant Group’s stronger consensus rating and higher possible upside, analysts plainly believe The Pennant Group is more favorable than Bioqual.

Earnings & Valuation

This table compares Bioqual and The Pennant Group”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Bioqual	$58.59 million	0.66	$480,000.00	($2.39)	-18.07
The Pennant Group	$695.24 million	1.30	$22.56 million	$0.78	33.44

The Pennant Group has higher revenue and earnings than Bioqual. Bioqual is trading at a lower price-to-earnings ratio than The Pennant Group, indicating that it is currently the more affordable of the two stocks.

Risk and Volatility

Bioqual has a beta of -0.12, meaning that its stock price is 112% less volatile than the S&P 500. Comparatively, The Pennant Group has a beta of 1.48, meaning that its stock price is 48% more volatile than the S&P 500.

Summary

The Pennant Group beats Bioqual on 13 of the 14 factors compared between the two stocks.

About Bioqual

Bioqual, Inc. provides in-vivo and in-vitro pre-clinical research services to commercial and government clients in the United States. The company provides research services in the areas of COVID-19, AIDS, influenza, RSV infection, and flavivirus infections, including zika, dengue, malaria, hepatitis, and cancer. Its services also include sample processing, virus stock generation, quantitation of infectious virus, virus neutralization assays, hemagglutination inhibition assay, quantitative PCR, antigen and antibody ELISA detection assays, flow cytometry, lymphocyte proliferation, and other cell-based assays. In addition, the company provides animal research model related services. Bioqual, Inc. was founded in 1981 and is based in Rockville, Maryland.

About The Pennant Group

The Pennant Group, Inc. provides healthcare services in the United States. It operates in two segments, Home Health and Hospice Services, and Senior Living Services. The company offers home health services, including clinical services, such as nursing, speech, occupational and physical therapy, medical social work, and home health aide services; and hospice services comprising clinical care, education, and counseling services for the physical, spiritual, and psychosocial needs of terminally ill patients and their families. It also provides senior living services, such as residential accommodations, activities, meals, housekeeping, and assistance in the activities of daily living to seniors who are independent or who require some support. The company operates home health, hospice, and home care agencies, as well as senior living communities throughout Arizona, California, Colorado, Idaho, Montana, Nevada, Oklahoma, Oregon, Texas, Utah, Washington, Wisconsin, and Wyoming. The Pennant Group, Inc. was incorporated in 2019 and is headquartered in Eagle, Idaho.