Contrasting InspireMD (NYSE:NSPR) & H-CYTE (OTCMKTS:HCYTD)

InspireMD (NYSE:NSPR) and H-CYTE (OTCMKTS:HCYTD) are both small-cap medical companies, but which is the better investment? We will compare the two businesses based on the strength of their profitability, earnings, institutional ownership, dividends, analyst recommendations, valuation and risk.

Earnings & Valuation

This table compares InspireMD and H-CYTE”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
InspireMD	$7.07 million	14.70	-$19.92 million	($0.83)	-3.00
H-CYTE	$1.61 million	0.32	-$4.80 million	N/A	N/A

H-CYTE has lower revenue, but higher earnings than InspireMD.

Insider and Institutional Ownership

44.8% of InspireMD shares are held by institutional investors. 34.1% of InspireMD shares are held by insiders. Comparatively, 5.2% of H-CYTE shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Profitability

This table compares InspireMD and H-CYTE’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
InspireMD	-413.96%	-69.42%	-57.68%
H-CYTE	-450.40%	N/A	-777.68%

Analyst Ratings

This is a summary of current recommendations and price targets for InspireMD and H-CYTE, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
InspireMD	0	0	2	0	3.00
H-CYTE	0	0	0	0	0.00

InspireMD currently has a consensus target price of $4.50, indicating a potential upside of 80.72%. Given InspireMD’s stronger consensus rating and higher possible upside, analysts clearly believe InspireMD is more favorable than H-CYTE.

Volatility & Risk

InspireMD has a beta of 0.6, indicating that its stock price is 40% less volatile than the S&P 500. Comparatively, H-CYTE has a beta of 1.12, indicating that its stock price is 12% more volatile than the S&P 500.

Summary

InspireMD beats H-CYTE on 9 of the 12 factors compared between the two stocks.

About InspireMD

InspireMD, Inc., a medical device company, focuses on the development and commercialization of MicroNet stent platform technology for the treatment of vascular and coronary diseases in Europe, Latin America, the Middle East, and Asia Pacific. The company offers CGuard carotid embolic prevention system (EPS) for use in carotid artery applications; CGuard Prime Stent System, a mesh-covered self-expanding carotid stent; and SwitchGuard NPS, a non-invasive transcarotid artery revascularization device; as well as treating acute stroke with tandem lesions. InspireMD, Inc. has a strategic agreement with Jacobs Institute to execute an early feasibility study of CGuard Prime for the treatment of acute stroke patients with tandem lesions. The company sells its products through local distribution partners. InspireMD, Inc. was founded in 2005 and is headquartered in Tel Aviv-Yafo, Israel.

About H-CYTE

H-CYTE, Inc., a biopharmaceutical company, develops and delivers various treatments for patients with chronic respiratory and pulmonary disorders in the United States. The company develops and implements treatment options in autologous cellular therapy to treat chronic lung disorders. It has a product supply agreement with Rion, LLC to develop and distribute a biologic for chronic obstructive pulmonary disease. The company is headquartered in Tampa, Florida.