Critical Contrast: HealthStream (NASDAQ:HSTM) & Options Media Group (OTCMKTS:OPMG)

HealthStream (NASDAQ:HSTM) and Options Media Group (OTCMKTS:OPMG) are both computer and technology companies, but which is the better investment? We will compare the two companies based on the strength of their earnings, profitability, analyst recommendations, valuation, institutional ownership, risk and dividends.

Profitability

This table compares HealthStream and Options Media Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
HealthStream	6.93%	5.82%	4.07%
Options Media Group	N/A	N/A	N/A

Institutional & Insider Ownership

69.6% of HealthStream shares are held by institutional investors. 20.6% of HealthStream shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for HealthStream and Options Media Group, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
HealthStream	0	3	1	0	2.25
Options Media Group	0	0	0	0	0.00

HealthStream currently has a consensus target price of $28.00, indicating a potential upside of 16.42%. Given HealthStream’s stronger consensus rating and higher probable upside, analysts plainly believe HealthStream is more favorable than Options Media Group.

Valuation & Earnings

This table compares HealthStream and Options Media Group”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
HealthStream	$291.65 million	2.45	$20.01 million	$0.68	35.37
Options Media Group	N/A	N/A	N/A	N/A	N/A

HealthStream has higher revenue and earnings than Options Media Group.

Summary

HealthStream beats Options Media Group on 9 of the 9 factors compared between the two stocks.

About HealthStream

HealthStream, Inc. provides Software-as-a-Service (SaaS) based applications for healthcare organizations in the United States. The company’s solutions help healthcare organizations in meeting their ongoing clinical development, talent management, training, education, assessment, competency management, safety and compliance, and scheduling, as well as provider credentialing, privileging, and enrollment needs. It offers hStream, a technology platform that powers a range of healthcare workforce solutions. The company provides its solutions to customers across a range of entities within the healthcare industry, including private, not-for-profit, and government entities, as well as pharmaceutical and medical device companies through its direct sales teams. The company was incorporated in 1990 and is headquartered in Nashville, Tennessee.

About Options Media Group

Options Media Group Holdings, Inc., through its subsidiaries, focuses on the mobile software applications in the United States and Canada. It offers PhoneGuard anti-texting software, a mobile phone control management software suite, which is designed to prevent texting and emailing while driving, as well as offers parents and employers the ability to monitor the driving habits of mobile phone users to prevent speeding. The company also provides lead generation programs to assist various businesses with customer acquisition for the products and services they are selling. Options Media Group Holdings, Inc. was incorporated in 2000 and is headquartered in Boca Raton, Florida.