Financial Comparison: LENSAR (NASDAQ:LNSR) and Hyperfine (NASDAQ:HYPR)

LENSAR (NASDAQ:LNSR) and Hyperfine (NASDAQ:HYPR) are both small-cap medical companies, but which is the superior investment? We will compare the two businesses based on the strength of their analyst recommendations, risk, institutional ownership, profitability, earnings, dividends and valuation.

Profitability

This table compares LENSAR and Hyperfine’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
LENSAR	-84.49%	-737.30%	-72.60%
Hyperfine	-364.54%	-84.82%	-69.39%

Volatility & Risk

LENSAR has a beta of 0.49, suggesting that its share price is 51% less volatile than the S&P 500. Comparatively, Hyperfine has a beta of 1.1, suggesting that its share price is 10% more volatile than the S&P 500.

Institutional and Insider Ownership

40.2% of LENSAR shares are owned by institutional investors. Comparatively, 15.0% of Hyperfine shares are owned by institutional investors. 66.0% of LENSAR shares are owned by insiders. Comparatively, 31.0% of Hyperfine shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Analyst Ratings

This is a breakdown of recent recommendations for LENSAR and Hyperfine, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
LENSAR	1	2	0	0	1.67
Hyperfine	1	1	2	0	2.25

LENSAR presently has a consensus target price of $15.00, suggesting a potential upside of 24.17%. Hyperfine has a consensus target price of $1.28, suggesting a potential downside of 15.57%. Given LENSAR’s higher probable upside, equities research analysts plainly believe LENSAR is more favorable than Hyperfine.

Earnings & Valuation

This table compares LENSAR and Hyperfine”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
LENSAR	$53.49 million	2.70	-$31.40 million	($4.21)	-2.87
Hyperfine	$12.89 million	9.27	-$40.72 million	($0.52)	-2.92

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

About LENSAR

LENSAR, Inc., a commercial-stage medical device company, focuses on designing, developing, and marketing a femtosecond laser system for the treatment of cataracts and the management of pre-existing or surgically induced corneal astigmatism. It offers LENSAR Laser System that incorporates a range of proprietary technologies designed to assist the surgeon in obtaining visual outcomes, efficiency, and reproducibility by providing imaging, procedure planning, design, and precision. The company also offers ALLY Adaptive Cataract Treatment System, a platform design to femtosecond laser technology features that enhanced laser capabilities into a single small unit that allows surgeons to perform a femtosecond laser assisted cataract procedure in a single operating room. LENSAR, Inc. was incorporated in 2004 and is headquartered in Orlando, Florida.

About Hyperfine

Hyperfine, Inc., a medical device company, provides magnetic resonance imaging (MRI) products in the United States. The company offers Swoop Portable MR imaging system, which offers portable brain neuroimaging; and support and technical assistance services. It serves ICU, comprehensive, and primary stroke accredited facilities through direct sales and distributors. Hyperfine, Inc. was founded in 2014 and is based in Guilford, Connecticut.