Comparing Glaukos (NYSE:GKOS) & Inogen (NASDAQ:INGN)

Glaukos (NYSE:GKOS) and Inogen (NASDAQ:INGN) are both medical companies, but which is the superior investment? We will contrast the two businesses based on the strength of their valuation, analyst recommendations, institutional ownership, earnings, dividends, profitability and risk.

Valuation and Earnings

This table compares Glaukos and Inogen”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Glaukos	$383.48 million	16.36	-$146.37 million	($1.54)	-70.92
Inogen	$335.70 million	0.50	-$35.89 million	($1.01)	-6.07

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

Profitability

This table compares Glaukos and Inogen’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Glaukos	-18.65%	-7.52%	-5.87%
Inogen	-7.31%	-13.21%	-8.30%

Analyst Ratings

This is a breakdown of current recommendations and price targets for Glaukos and Inogen, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Glaukos	2	1	12	1	2.75
Inogen	1	1	1	0	2.00

Glaukos presently has a consensus target price of $132.54, suggesting a potential upside of 21.36%. Inogen has a consensus target price of $11.00, suggesting a potential upside of 79.45%. Given Inogen’s higher possible upside, analysts plainly believe Inogen is more favorable than Glaukos.

Risk & Volatility

Glaukos has a beta of 0.7, suggesting that its share price is 30% less volatile than the S&P 500. Comparatively, Inogen has a beta of 1.79, suggesting that its share price is 79% more volatile than the S&P 500.

Institutional & Insider Ownership

99.0% of Glaukos shares are held by institutional investors. Comparatively, 89.9% of Inogen shares are held by institutional investors. 5.8% of Glaukos shares are held by insiders. Comparatively, 1.5% of Inogen shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Summary

Glaukos beats Inogen on 9 of the 15 factors compared between the two stocks.

About Glaukos

Glaukos Corporation, an ophthalmic pharmaceutical and medical technology company, focuses on the development of novel therapies for the treatment of glaucoma, corneal disorders, and retinal diseases. It offers iStent and iStent inject W micro-bypass stents that enhance aqueous humor outflow inserted in cataract surgery to treat mild-to-moderate open-angle glaucoma. The company's product pipeline includes iStent Infinite indicated for use in the treatment of patients with glaucoma uncontrolled by prior medical and surgical therapy; and iDose TR, an intracameral procedural pharmaceutical therapy indicated for the reduction of intraocular pressure in patients with open-angle glaucoma or ocular hypertension. The company markets its products through direct sales organization, as well as through distributors in the United States and internationally. Glaukos Corporation was incorporated in 1998 and is headquartered in Aliso Viejo, California.

About Inogen

Inogen, Inc., a medical technology company, develops, manufactures, and markets portable oxygen concentrators to patients, physicians and other clinicians, and third-party payors in the United States and internationally. Its oxygen concentrators are used to deliver supplemental long-term oxygen therapy to patients suffering from chronic respiratory conditions. The company offers Inogen One, a portable device that concentrate the air around the patient to provide a source of supplemental oxygen; Inogen At Home stationary oxygen concentrators; Simeox airway clearance; batteries; and related accessories. It also rents its products directly to patients. Inogen, Inc. was incorporated in 2001 and is headquartered in Goleta, California.