Financial Contrast: Phreesia (NYSE:PHR) versus HeartBeam (NASDAQ:BEAT)

Phreesia (NYSE:PHR) and HeartBeam (NASDAQ:BEAT) are both small-cap medical companies, but which is the superior business? We will contrast the two businesses based on the strength of their valuation, profitability, institutional ownership, earnings, dividends, risk and analyst recommendations.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Phreesia and HeartBeam, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Phreesia	1	9	9	0	2.42
HeartBeam	1	2	5	1	2.67

Phreesia currently has a consensus price target of $16.65, indicating a potential upside of 62.93%. HeartBeam has a consensus price target of $4.00, indicating a potential upside of 681.71%. Given HeartBeam’s stronger consensus rating and higher probable upside, analysts plainly believe HeartBeam is more favorable than Phreesia.

Risk & Volatility

Phreesia has a beta of 0.87, suggesting that its stock price is 13% less volatile than the S&P 500. Comparatively, HeartBeam has a beta of -0.82, suggesting that its stock price is 182% less volatile than the S&P 500.

Institutional & Insider Ownership

92.1% of Phreesia shares are held by institutional investors. Comparatively, 7.8% of HeartBeam shares are held by institutional investors. 5.2% of Phreesia shares are held by company insiders. Comparatively, 17.9% of HeartBeam shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Valuation and Earnings

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Phreesia	$480.59 million	1.31	$2.31 million	$0.15	68.11
HeartBeam	N/A	N/A	-$21.01 million	($0.56)	-0.91

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

Profitability

This table compares Phreesia and HeartBeam’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Phreesia	1.85%	5.13%	3.12%
HeartBeam	N/A	-1,034.04%	-434.40%

Summary

Phreesia beats HeartBeam on 10 of the 14 factors compared between the two stocks.

About Phreesia

Phreesia, Inc. provides an integrated SaaS-based software and payment platform for the healthcare industry in the United States and Canada. The company offers access solutions that offers appointment scheduling system for online appointments, reminders, and referral tracking management; registration solution to automate patient self-registration; revenue cycle solution, which offer insurance-verification processes, point-of-sale payments applications, post-visit payment collection, and flexible payment options; and network connect solution to deliver clinically relevant content to patients. The company deploys its platform in a range of modalities, such as Phreesia Mobile, a patients' mobile device; Phreesia Dashboard, a web-based dashboard for healthcare services clients; PhreesiaPads, a self-service intake tablets; and Arrivals Kiosks, an on-site kiosks. It serves patients; single-specialty practices, multi-specialty groups, and health systems; and pharmaceutical, medical device, and biotechnology companies. The company was incorporated in 2005 and is based in Wilmington, Delaware.

About HeartBeam

BioTelemetry, Inc., a remote medical technology company, provides remote cardiac monitoring, remote blood glucose monitoring, centralized core laboratory services for clinical trials, and original equipment manufacturing services for healthcare and clinical research customers worldwide. It operates in two segments, Healthcare and Research. The Healthcare segment focuses on the remote cardiac monitoring to identify cardiac arrhythmias or heart rhythm disorders. This segment offers mobile cardiac telemetry services; and event monitoring services, which enable physicians to prescribe wireless event, digital loop event, memory loop event, memory loop event, and non-loop event monitors. It also provides traditional and extended Holter, pacemaker, international normalized ratio, implantable loop recorder, and other implantable cardiac device monitoring services. It serves cardiologists, electrophysiologists, neurologists, and primary care physicians. The Research segment offers laboratory services, such as cardiac monitoring, imaging, scientific consulting, and data management services for drug and medical device trials. Its centralized services comprise electrocardiogram, Holter monitoring, ambulatory blood pressure monitoring, echocardiography, multigated acquisition scan, imaging, protocol development, expert reporting, and statistical analysis. It also provides support services, such as project coordination, setup and management, equipment rental, data transfer, processing, analysis, and 24/7 customer support and site training. The company also focuses on manufacturing, testing, and marketing of cardiac devices and blood glucose monitoring devices, as well as offers contract manufacturing services. BioTelemetry, Inc. was founded in 1994 and is headquartered in Malvern, Pennsylvania.