Co-Diagnostics (NASDAQ:CODX) & Cerus (NASDAQ:CERS) Head-To-Head Review

Co-Diagnostics (NASDAQ:CODX) and Cerus (NASDAQ:CERS) are both small-cap medical companies, but which is the superior stock? We will contrast the two companies based on the strength of their risk, profitability, earnings, dividends, valuation, analyst recommendations and institutional ownership.

Profitability

This table compares Co-Diagnostics and Cerus’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Co-Diagnostics	-518.69%	-35.37%	-32.58%
Cerus	-23.98%	-67.17%	-17.68%

Earnings & Valuation

This table compares Co-Diagnostics and Cerus’ gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Co-Diagnostics	$6.81 million	5.10	-$35.33 million	($1.21)	-0.92
Cerus	$156.37 million	1.98	-$37.49 million	($0.21)	-8.14

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

Risk & Volatility

Co-Diagnostics has a beta of -0.68, suggesting that its share price is 168% less volatile than the S&P 500. Comparatively, Cerus has a beta of 1.29, suggesting that its share price is 29% more volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Co-Diagnostics and Cerus, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Co-Diagnostics	0	1	0	0	2.00
Cerus	0	1	2	0	2.67

Co-Diagnostics presently has a consensus target price of $2.50, indicating a potential upside of 125.23%. Cerus has a consensus target price of $3.50, indicating a potential upside of 104.68%. Given Co-Diagnostics’ higher possible upside, equities research analysts clearly believe Co-Diagnostics is more favorable than Cerus.

Institutional and Insider Ownership

15.0% of Co-Diagnostics shares are owned by institutional investors. Comparatively, 78.4% of Cerus shares are owned by institutional investors. 2.4% of Co-Diagnostics shares are owned by insiders. Comparatively, 7.1% of Cerus shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Summary

Cerus beats Co-Diagnostics on 9 of the 14 factors compared between the two stocks.

About Co-Diagnostics

Co-Diagnostics, Inc., a molecular diagnostics company, develops, manufactures, and sells reagents used for diagnostic tests that function through the detection and/or analysis of nucleic acid molecules in the United States and internationally. The company offers Co-Dx PCR platform, a polymerase chain reaction (PCR) testing to patients in point-of-care and at-home setting. It also provides PCR diagnostic tests for COVID-19, influenza, tuberculosis, hepatitis B and C, human papillomavirus, malaria, chikungunya, dengue, and the zika virus. In addition, the company offers three multiplexed tests to test mosquitos for the identification of diseases carried by the mosquitos; molecular tools for detection of infectious diseases, liquid biopsy for cancer screening, and agricultural applications; tests that identify genetic traits in plant and animal genomes; and portable diagnostic device designed to bring PCR to patients in point-of-care and at-home settings. The company was incorporated in 2013 and is headquartered in Salt Lake City, Utah.

About Cerus

Cerus Corporation operates as a biomedical products company. The company focuses on developing and commercializing the INTERCEPT Blood System to enhance blood safety. Its INTERCEPT Blood System, a proprietary technology for controlling biological replication that is designed to reduce blood-borne pathogens in donated blood components intended for transfusion. The company offers INTERCEPT Blood Systems for platelets and plasma, which is designed to inactivate blood-borne pathogens in platelets and plasma donated for transfusion; INTERCEPT Blood System for red blood cells to inactivate blood-borne pathogens in red blood cells donated for transfusion; and INTERCEPT Blood System for Cryoprecipitation that uses its plasma system to produce pathogen reduced cryoprecipitated fibrinogen complex for the treatment and control of bleeding, including massive hemorrhage associated with fibrinogen deficiency, as well as pathogen reduced plasma, cryoprecipitate reduced. It sells platelet and plasma systems through its direct sales force and distributors in the United States, Europe, the Commonwealth of Independent States, the Middle East, Latin America, and internationally. Cerus Corporation was incorporated in 1991 and is headquartered in Concord, California.