Ramsay Health Care (OTCMKTS:RMYHY) and Natera (NASDAQ:NTRA) Financial Survey

Ramsay Health Care (OTCMKTS:RMYHY) and Natera (NASDAQ:NTRA) are both medical companies, but which is the superior investment? We will contrast the two businesses based on the strength of their risk, valuation, institutional ownership, earnings, dividends, analyst recommendations and profitability.

Profitability

This table compares Ramsay Health Care and Natera’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Ramsay Health Care	N/A	N/A	N/A
Natera	-14.61%	-25.07%	-17.74%

Insider & Institutional Ownership

99.9% of Natera shares are held by institutional investors. 5.6% of Natera shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Valuation and Earnings

This table compares Ramsay Health Care and Natera”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Ramsay Health Care	N/A	N/A	N/A	N/A	N/A
Natera	$1.70 billion	16.97	-$190.43 million	($2.29)	-91.11

Ramsay Health Care has higher earnings, but lower revenue than Natera.

Risk and Volatility

Ramsay Health Care has a beta of 0.18, indicating that its stock price is 82% less volatile than the S&P 500. Comparatively, Natera has a beta of 1.75, indicating that its stock price is 75% more volatile than the S&P 500.

Analyst Ratings

This is a summary of recent recommendations for Ramsay Health Care and Natera, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ramsay Health Care	0	2	0	0	2.00
Natera	2	3	17	0	2.68

Natera has a consensus price target of $208.58, indicating a potential downside of 0.03%. Given Natera’s stronger consensus rating and higher probable upside, analysts clearly believe Natera is more favorable than Ramsay Health Care.

Summary

Natera beats Ramsay Health Care on 7 of the 10 factors compared between the two stocks.

About Ramsay Health Care

Ramsay Health Care Limited owns and operates hospitals. The company offers health care services to public and private patients. It operates facilities in approximately 530 locations in the Asia Pacific, the United Kingdom, France, and Nordics. Ramsay Health Care Limited was founded in 1964 and is based in Sydney, Australia.

About Natera

Natera, Inc., a diagnostics company, develops and commercializes molecular testing services worldwide. Its products include Panorama, a non-invasive prenatal test that screens for chromosomal abnormalities of a fetus, as well as in twin pregnancies; Horizon carrier screening test for individuals and couples determine if they are carriers of genetic variations that cause certain genetic conditions; Vistara single-gene NIPT screens for 25 single-gene disorders that cause severe skeletal, cardiac, and neurological conditions; Spectrum, preimplantation genetic tests for couples undergoing IVF; Anora that analyzes miscarriage tissue from women; Empower, a hereditary cancer screening test; and non-invasive prenatal paternity product, which allows a couple to establish paternity without waiting for the child to be born. The company also provides Signatera, a ctDNA blood test for molecular residual disease assessment and surveillance of disease recurrence in patients previously diagnosed with cancer; Altera, a tissue based comprehensive genomic profiling test; Prospera to assess active rejection in patients who have undergone kidney, heart, and lung transplantation; and Renasight, a kidney gene panel test. In addition, it offers Constellation, a cloud-based software product that enables laboratory customers to gain access through the cloud to the company's algorithms and bioinformatics to validate and launch tests. The company offers products through its direct sales force, as well as through a network of laboratory and distribution partners. It has a partnership agreement with BGI Genomics Co., Ltd. to develop, manufacture, and commercialize NGS-based genetic testing assays; and Foundation Medicine, Inc. to develop and commercialize personalized circulating tumor DNA monitoring assays. The company was founded in 2003 and is headquartered in Austin, Texas.