Reviewing Positron (OTCMKTS:POSC) and Tenon Medical (NASDAQ:TNON)

Tenon Medical (NASDAQ:TNON) and Positron (OTCMKTS:POSC) are both small-cap medical companies, but which is the superior investment? We will contrast the two companies based on the strength of their risk, analyst recommendations, profitability, valuation, dividends, institutional ownership and earnings.

Institutional & Insider Ownership

22.7% of Tenon Medical shares are owned by institutional investors. 0.3% of Tenon Medical shares are owned by insiders. Comparatively, 17.2% of Positron shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Profitability

This table compares Tenon Medical and Positron’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Tenon Medical	-396.26%	-409.04%	-114.60%
Positron	N/A	-311.50%	-89.54%

Valuation and Earnings

This table compares Tenon Medical and Positron”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Tenon Medical	$3.28 million	2.27	-$13.67 million	($1.77)	-0.38
Positron	$590,000.00	98.77	-$2.39 million	($0.12)	-14.83

Positron has lower revenue, but higher earnings than Tenon Medical. Positron is trading at a lower price-to-earnings ratio than Tenon Medical, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of current recommendations for Tenon Medical and Positron, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Tenon Medical	1	0	2	0	2.33
Positron	0	0	0	0	0.00

Tenon Medical currently has a consensus target price of $3.00, suggesting a potential upside of 346.96%. Given Tenon Medical’s stronger consensus rating and higher possible upside, research analysts clearly believe Tenon Medical is more favorable than Positron.

Volatility & Risk

Tenon Medical has a beta of 1.28, suggesting that its share price is 28% more volatile than the S&P 500. Comparatively, Positron has a beta of 0.72, suggesting that its share price is 28% less volatile than the S&P 500.

About Tenon Medical

Tenon Medical, Inc., a medical device company, engages in the development of surgical implant systems to treat severe lower back pain in the United States and Puerto Rico. The company offers CATAMARAN SI-Joint Fusion System to fuse sacroiliac joints (SI-Joints) to treat SI-Joint dysfunction that often causes severe lower back pain; and features fixation device that passes through the axial and sagittal planes of the ilium and sacrum, as well as transfixes the SI joints. Tenon Medical, Inc. was incorporated in 2012 and is headquartered in Los Gatos, California.

About Positron

Positron Corporation, a nuclear medicine healthcare company, specializes in the business of cardiac positron emission tomography (PET) imaging in the United States. It offers attrius PET scanner, clinical and technical services, and financing solutions enables healthcare providers to accurately diagnose cardiac disease, improve patient outcomes, and practice cost effective medicines. Positron Corporation was incorporated in 1983 and is based in Niagara Falls, New York.