Comparing Koninklijke Philips (NYSE:PHG) & AngioDynamics (NASDAQ:ANGO)

AngioDynamics (NASDAQ:ANGO) and Koninklijke Philips (NYSE:PHG) are both healthcare companies, but which is the better investment? We will contrast the two businesses based on the strength of their valuation, profitability, risk, analyst recommendations, institutional ownership, dividends and earnings.

Profitability

This table compares AngioDynamics and Koninklijke Philips’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
AngioDynamics	-10.12%	-4.49%	-2.96%
Koninklijke Philips	5.40%	14.86%	6.20%

Institutional and Insider Ownership

89.4% of AngioDynamics shares are owned by institutional investors. Comparatively, 13.7% of Koninklijke Philips shares are owned by institutional investors. 6.0% of AngioDynamics shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Valuation and Earnings

This table compares AngioDynamics and Koninklijke Philips”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
AngioDynamics	$325.38 million	1.61	-$36.74 million	($0.78)	-15.92
Koninklijke Philips	$17.76 billion	1.67	$1.01 billion	$1.17	25.83

Koninklijke Philips has higher revenue and earnings than AngioDynamics. AngioDynamics is trading at a lower price-to-earnings ratio than Koninklijke Philips, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for AngioDynamics and Koninklijke Philips, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
AngioDynamics	1	1	2	1	2.60
Koninklijke Philips	0	5	0	0	2.00

AngioDynamics presently has a consensus target price of $19.00, indicating a potential upside of 52.98%. Given AngioDynamics’ stronger consensus rating and higher probable upside, research analysts plainly believe AngioDynamics is more favorable than Koninklijke Philips.

Volatility and Risk

AngioDynamics has a beta of 0.3, indicating that its stock price is 70% less volatile than the S&P 500. Comparatively, Koninklijke Philips has a beta of 0.74, indicating that its stock price is 26% less volatile than the S&P 500.

Summary

Koninklijke Philips beats AngioDynamics on 9 of the 15 factors compared between the two stocks.

About AngioDynamics

AngioDynamics, Inc. develops, manufactures and markets medical devices used in minimally invasive procedures. Its products are designed for clinicians in areas including vascular access, peripheral vascular disease and oncology. The company’s offerings include vascular access devices such as ports and catheters, as well as technologies used in vascular intervention and cancer treatment. These include the Auryon atherectomy system, which is used to treat certain peripheral arterial conditions, and the NanoKnife System, which uses irreversible electroporation in tumor ablation procedures.

About Koninklijke Philips

Koninklijke Philips N.V., commonly known as Philips, is a Netherlands-based health technology company. It develops products and services for hospitals, health professionals and consumers, with offerings that include diagnostic imaging systems such as MRI, CT and ultrasound equipment, image-guided therapy technologies, and patient monitoring solutions. The company also provides connected care and personal health products, including sleep and respiratory care devices, oral healthcare products and grooming appliances.