Critical Comparison: Semler Scientific (NASDAQ:SMLR) & Nexeon Medsystems (OTCMKTS:NXNN)

Nexeon Medsystems (OTCMKTS:NXNN) and Semler Scientific (NASDAQ:SMLR) are both medical companies, but which is the better business? We will contrast the two businesses based on the strength of their risk, valuation, analyst recommendations, dividends, institutional ownership, profitability and earnings.

Analyst Ratings

This is a breakdown of current recommendations for Nexeon Medsystems and Semler Scientific, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Nexeon Medsystems	0	0	0	0	0.00
Semler Scientific	0	0	1	0	3.00

Semler Scientific has a consensus target price of $71.00, suggesting a potential upside of 117.59%. Given Semler Scientific’s stronger consensus rating and higher possible upside, analysts clearly believe Semler Scientific is more favorable than Nexeon Medsystems.

Profitability

This table compares Nexeon Medsystems and Semler Scientific’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Nexeon Medsystems	N/A	N/A	N/A
Semler Scientific	72.65%	50.77%	47.04%

Valuation & Earnings

This table compares Nexeon Medsystems and Semler Scientific”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Nexeon Medsystems	N/A	N/A	N/A	N/A	N/A
Semler Scientific	$56.29 million	5.56	$20.58 million	$4.91	6.65

Semler Scientific has higher revenue and earnings than Nexeon Medsystems.

Volatility & Risk

Nexeon Medsystems has a beta of 6.98, indicating that its share price is 598% more volatile than the S&P 500. Comparatively, Semler Scientific has a beta of 1.29, indicating that its share price is 29% more volatile than the S&P 500.

Institutional and Insider Ownership

49.4% of Semler Scientific shares are owned by institutional investors. 61.2% of Nexeon Medsystems shares are owned by company insiders. Comparatively, 30.2% of Semler Scientific shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Summary

Semler Scientific beats Nexeon Medsystems on 8 of the 10 factors compared between the two stocks.

About Nexeon Medsystems

Nexeon MedSystems Inc., a medical device company, develops, manufactures, and commercializes neurostimulation technology for the treatment of various neurological disorders through electrical stimulation of neural tissues. Its neurostimulation technology platform would provide treatment to patients in several neurostimulator markets, including deep brain stimulation, peripheral electrical nerve stimulation, sacral nerve stimulation, spinal cord stimulation, vagus nerve stimulation, and other neurostimulator markets. The company develops the Viant, a deep brain stimulation system for Parkinson's disease in the United States, as well as for Parkinson's disease, Essential Tremor, and Dystonia in Europe. Nexeon MedSystems Inc. was founded in 2015 and is based in Dallas, Texas.

About Semler Scientific

Semler Scientific, Inc. provides technology solutions to enhance the clinical effectiveness and efficiency of healthcare providers in the United States. The company’s products include QuantaFlo, a four-minute in-office blood flow test that enables healthcare providers to use blood flow measurements as part of their examinations of a patient’s vascular condition. It also offers Insulin Insights, a software program that is used by a healthcare provider to optimize outpatient insulin dosing. The company’s products serve cardiologists, internists, nephrologists, endocrinologists, podiatrists, family practitioners, healthcare insurance plans, integrated delivery networks, independent physician groups, and companies contracting with the healthcare industry, such as risk assessment groups and retailers. It offers its products through sales representatives and distributors. The company was incorporated in 2007 and is headquartered in Santa Clara, California.