Co-Diagnostics (NASDAQ:CODX) versus Cerus (NASDAQ:CERS) Head-To-Head Comparison

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

Risk & Volatility

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

Analyst Recommendations

This is a breakdown of current ratings for Co-Diagnostics and Cerus, as provided 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 price target of $2.50, indicating a potential upside of 110.08%. Cerus has a consensus price target of $3.50, indicating a potential upside of 103.49%. Given Co-Diagnostics’ higher probable upside, equities research analysts plainly believe Co-Diagnostics is more favorable than Cerus.

Valuation & Earnings

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Co-Diagnostics	$6.81 million	5.46	-$35.33 million	($1.21)	-0.98
Cerus	$156.37 million	2.03	-$37.49 million	($0.21)	-8.19

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.

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%

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 company insiders. Comparatively, 7.1% of Cerus shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds 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.