Waters (NYSE:WAT) and SiBone (NASDAQ:SIBN) Head to Head Comparison

Waters (NYSE:WAT) and SiBone (NASDAQ:SIBN) are both medical companies, but which is the better investment? We will compare the two businesses based on the strength of their institutional ownership, analyst recommendations, dividends, profitability, risk, earnings and valuation.

Valuation and Earnings

This table compares Waters and SiBone”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Waters	$2.96 billion	5.99	$637.83 million	$11.09	26.85
SiBone	$167.18 million	4.00	-$30.91 million	($0.56)	-27.66

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

Institutional & Insider Ownership

94.0% of Waters shares are owned by institutional investors. Comparatively, 98.1% of SiBone shares are owned by institutional investors. 0.8% of Waters shares are owned by insiders. Comparatively, 3.9% of SiBone shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Analyst Recommendations

This is a breakdown of recent ratings and price targets for Waters and SiBone, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Waters	0	9	5	1	2.47
SiBone	0	0	3	0	3.00

Waters currently has a consensus target price of $378.7333, indicating a potential upside of 27.19%. SiBone has a consensus target price of $23.6667, indicating a potential upside of 52.79%. Given SiBone’s stronger consensus rating and higher possible upside, analysts plainly believe SiBone is more favorable than Waters.

Risk and Volatility

Waters has a beta of 1.04, suggesting that its stock price is 4% more volatile than the S&P 500. Comparatively, SiBone has a beta of 0.91, suggesting that its stock price is 9% less volatile than the S&P 500.

Profitability

This table compares Waters and SiBone’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Waters	21.71%	38.60%	15.87%
SiBone	-12.83%	-14.20%	-10.38%

Summary

Waters beats SiBone on 11 of the 15 factors compared between the two stocks.

About Waters

Waters Corporation provides analytical workflow solutions in Asia, the Americas, and Europe. It operates through two segments: Waters and TA. The company designs, manufactures, sells, and services high and ultra-performance liquid chromatography, as well as mass spectrometry (MS) technology systems and support products, including chromatography columns, other consumable products, and post-warranty service plans. It also designs, manufactures, sells, and services thermal analysis, rheometry, and calorimetry instruments; and develops and supplies software-based products that interface with its instruments, as well as other manufacturers' instruments. In addition, the company offers MS technology instruments are used in drug discovery and development comprising clinical trial testing, the analysis of proteins in disease processes, nutritional safety analysis, and environmental testing. Further, the company provides thermal analysis, rheometry, and calorimetry instruments for use in predicting the suitability and stability of fine chemicals, pharmaceuticals, water, polymers, metals, and viscous liquids for various industrial, consumer good, and healthcare products, as well as for life science research. Its products are used by clinical, pharmaceutical, biochemical, industrial, nutritional safety, environmental, academic, and governmental customers working in research and development, quality assurance, and other laboratory applications. The company was founded in 1958 and is headquartered in Milford, Massachusetts.

About SiBone

SI-BONE, Inc., a medical device company, that operate to solve musculoskeletal disorders of the sacropelvic anatomy in the United States and internationally. It offers proprietary minimally invasive surgical implant system to address sacroiliac joint dysfunction and fusion, adult deformity and degeneration, and pelvic trauma; and implantable bone products. The company also provides iFuse-3D, a titanium implant that combines the triangular cross-section of the iFuse implant with the proprietary 3D-printed porous surface and fenestrated design; iFuse-TORQ, a set of 3D-printed threaded implants designed to treat pelvic trauma; and iFuse Bedrock Granite implant provides sacroiliac fusion and sacropelvic fixation as a foundational element for segmental spinal fusion. It markets its products primarily with a direct sales force, as well as through agents and resellers. SI-BONE, Inc. was incorporated in 2008 and is headquartered in Santa Clara, California.