Rapid Micro Biosystems (NASDAQ:RPID) vs. CardioGenics (OTCMKTS:CGNH) Financial Analysis

Rapid Micro Biosystems (NASDAQ:RPID) and CardioGenics (OTCMKTS:CGNH) are both medical companies, but which is the better business? We will contrast the two companies based on the strength of their profitability, institutional ownership, valuation, dividends, risk, analyst recommendations and earnings.

Volatility and Risk

Rapid Micro Biosystems has a beta of 1.38, indicating that its share price is 38% more volatile than the S&P 500. Comparatively, CardioGenics has a beta of 2.51, indicating that its share price is 151% more volatile than the S&P 500.

Insider and Institutional Ownership

52.6% of Rapid Micro Biosystems shares are owned by institutional investors. 30.0% of Rapid Micro Biosystems shares are owned by company insiders. Comparatively, 41.4% of CardioGenics shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Profitability

This table compares Rapid Micro Biosystems and CardioGenics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Rapid Micro Biosystems	-140.30%	-95.40%	-58.85%
CardioGenics	N/A	N/A	N/A

Valuation & Earnings

This table compares Rapid Micro Biosystems and CardioGenics”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Rapid Micro Biosystems	$33.59 million	3.29	-$47.12 million	($1.07)	-2.27
CardioGenics	N/A	N/A	N/A	N/A	N/A

CardioGenics has lower revenue, but higher earnings than Rapid Micro Biosystems.

Analyst Recommendations

This is a summary of current ratings and recommmendations for Rapid Micro Biosystems and CardioGenics, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Rapid Micro Biosystems	1	0	1	0	2.00
CardioGenics	0	0	0	0	0.00

Rapid Micro Biosystems presently has a consensus target price of $8.00, suggesting a potential upside of 229.22%. Given Rapid Micro Biosystems’ stronger consensus rating and higher possible upside, analysts clearly believe Rapid Micro Biosystems is more favorable than CardioGenics.

About Rapid Micro Biosystems

Rapid Micro Biosystems, Inc., a life sciences technology company, provides products for the detection of microbial contamination in the manufacture of pharmaceutical, medical devices, and personal care products in the United States, Germany, Switzerland, Japan, and internationally. The company offers Growth Direct platform, which includes Growth Direct system, proprietary consumables, lab information management system connection software, and customer support and validation services. Its platform automates and modernizes the manual microbial quality control (MQC) testing workflows for therapeutic modalities, such as biologics, vaccines, cell and gene therapies, and sterile injectables. The company also provides onsite technical training services. Its solutions are used in environmental monitoring, water, bioburden, and sterility release testing applications. In addition, the company offers RMBNucleus software for the Growth Direct system; RMBNucleus Mold Alarm signals at the first sign of mold detection; RMBNucleus Central Manager portal streamlines coordination of multiple instruments; and Growth Direct LIMS connection software. Rapid Micro Biosystems, Inc. was formerly known as Genomic Profiling Systems, Inc. and changed its name to Rapid Micro Biosystems, Inc. in January 2007. The company was incorporated in 2006 and is headquartered in Lowell, Massachusetts.

About CardioGenics

CardioGenics Holdings Inc. engages in the development and commercialization of diagnostic test products for the in vitro diagnostics testing market in the United States, Canada, Europe, and internationally. Its products include QL Care Analyzer, a portable, stand-alone, and automated point-of-care (POC) immunoassay analyzer that uses a proprietary self-metering cartridge to perform immunoassay tests at the POC; a series of immunoassay tests to identify cardiac markers in the blood at the time of a heart attack; and paramagnetic beads that are used as solid surfaces in heterogeneous immunoassay tests by clinical and research laboratories. The company was formerly known as Jag Media Holdings, Inc. and changed its name to CardioGenics Holdings Inc. in 2009. The company was founded in 1997 and is headquartered in Mississauga, Canada.