Comparing Surgery Partners (NASDAQ:SGRY) & NeuroOne Medical Technologies (NASDAQ:NMTC)

NeuroOne Medical Technologies (NASDAQ:NMTC) and Surgery Partners (NASDAQ:SGRY) are both small-cap medical companies, but which is the superior business? We will contrast the two companies based on the strength of their profitability, institutional ownership, dividends, valuation, analyst recommendations, earnings and risk.

Profitability

This table compares NeuroOne Medical Technologies and Surgery Partners’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
NeuroOne Medical Technologies	-78.34%	-119.92%	-78.86%
Surgery Partners	-2.35%	1.28%	0.51%

Earnings & Valuation

This table compares NeuroOne Medical Technologies and Surgery Partners”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
NeuroOne Medical Technologies	$12.10 million	3.10	-$3.61 million	($0.17)	-4.37
Surgery Partners	$3.31 billion	0.45	-$77.90 million	($0.62)	-18.71

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

Risk and Volatility

NeuroOne Medical Technologies has a beta of 0.75, meaning that its stock price is 25% less volatile than the S&P 500. Comparatively, Surgery Partners has a beta of 1.95, meaning that its stock price is 95% more volatile than the S&P 500.

Insider and Institutional Ownership

16.1% of NeuroOne Medical Technologies shares are held by institutional investors. 11.8% of NeuroOne Medical Technologies shares are held by company insiders. Comparatively, 2.7% of Surgery Partners shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Analyst Recommendations

This is a summary of recent ratings and target prices for NeuroOne Medical Technologies and Surgery Partners, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
NeuroOne Medical Technologies	1	1	3	0	2.40
Surgery Partners	1	2	8	0	2.64

NeuroOne Medical Technologies presently has a consensus price target of $1.98, suggesting a potential upside of 166.94%. Surgery Partners has a consensus price target of $23.36, suggesting a potential upside of 101.41%. Given NeuroOne Medical Technologies’ higher possible upside, research analysts clearly believe NeuroOne Medical Technologies is more favorable than Surgery Partners.

About NeuroOne Medical Technologies

NeuroOne Medical Technologies Corporation, a developmental stage company, provides solutions for EEG recording, brain stimulation and ablation solutions for patients suffering from epilepsy, Parkinson’s disease, dystonia, essential tremors, and chronic pain due to failed back surgeries and other related neurological disorders. It also fucuses on applications for other areas, such as depression, mood disorders, pain, incontinence, high blood pressure, and artificial intelligence. It has a strategic partnership with RBC Medical Innovations to develop a radio frequency ablation generator. The company was incorporated in 2009 and is based in Eden Prairie, Minnesota.

About Surgery Partners

Surgery Partners, Inc., together with its subsidiaries, owns and operates a network of surgical facilities and ancillary services in the United States. The company provides ambulatory surgery centers and surgical hospitals that offer non-emergency surgical procedures in various specialties, including orthopedics and pain management, ophthalmology, gastroenterology, and general surgery. It offers diagnostic imaging, laboratory, obstetrics, oncology, pharmacy, physical therapy, and wound care; and ancillary services, including multi-specialty physician practices, urgent care facilities, and anesthesia services. In addition, it offers single- and multi-specialty facilities. Surgery Partners, Inc. was founded in 2004 and is headquartered in Brentwood, Tennessee.