INVO Fertility (NASDAQ:IVF) & SBC Medical Group (NASDAQ:SBC) Critical Review

INVO Fertility (NASDAQ:IVF) and SBC Medical Group (NASDAQ:SBC) are both small-cap healthcare companies, but which is the superior business? We will contrast the two businesses based on the strength of their institutional ownership, valuation, profitability, risk, dividends, earnings and analyst recommendations.

Institutional & Insider Ownership

12.0% of INVO Fertility shares are held by institutional investors. Comparatively, 60.8% of SBC Medical Group shares are held by institutional investors. 0.4% of INVO Fertility shares are held by company insiders. Comparatively, 81.7% of SBC Medical Group shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Analyst Ratings

This is a summary of current ratings and price targets for INVO Fertility and SBC Medical Group, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
INVO Fertility	1	0	0	1	2.50
SBC Medical Group	0	1	2	0	2.67

INVO Fertility presently has a consensus target price of $320.00, suggesting a potential upside of 16,653.93%. SBC Medical Group has a consensus target price of $8.50, suggesting a potential upside of 60.98%. Given INVO Fertility’s higher possible upside, equities analysts plainly believe INVO Fertility is more favorable than SBC Medical Group.

Profitability

This table compares INVO Fertility and SBC Medical Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
INVO Fertility	-116.29%	-85.54%	-31.05%
SBC Medical Group	27.99%	18.47%	13.10%

Earnings & Valuation

This table compares INVO Fertility and SBC Medical Group”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
INVO Fertility	$6.84 million	0.18	-$25.13 million	($33.83)	-0.06
SBC Medical Group	$173.61 million	3.13	$50.99 million	$0.47	11.23

SBC Medical Group has higher revenue and earnings than INVO Fertility. INVO Fertility is trading at a lower price-to-earnings ratio than SBC Medical Group, indicating that it is currently the more affordable of the two stocks.

Volatility and Risk

INVO Fertility has a beta of 2.39, suggesting that its share price is 139% more volatile than the S&P 500. Comparatively, SBC Medical Group has a beta of 0.56, suggesting that its share price is 44% less volatile than the S&P 500.

Summary

SBC Medical Group beats INVO Fertility on 12 of the 15 factors compared between the two stocks.

About INVO Fertility

INVO Bioscience, Inc., together with its subsidiary, a healthcare services fertility company, provides assisted reproductive technology solutions worldwide. It offers INVOcell, a medical device that allows fertilization and early embryo development to take place in vivo within the woman’s body. The company was founded in 2007 and is based in Sarasota, Florida.

About SBC Medical Group

SBC Medical Group Holdings Incorporated, through its subsidiaries, provides services to support the operation of clinics which deliver specialized medical services in the areas of cosmetic medicine, esthetic dentistry and Androgenetic Alopecia or AGA, primarily in Japan and centered on the SBC Shonan Beauty Clinic Brand. SBC Medical Group Holdings Incorporated, formerly known as Pono Capital Two Inc., is based in TOKYO.