Critical Review: Accuray (NASDAQ:ARAY) vs. Calmare Therapeutics (OTCMKTS:CTTC)

Calmare Therapeutics (OTCMKTS:CTTC) and Accuray (NASDAQ:ARAY) are both medical companies, but which is the better investment? We will contrast the two businesses based on the strength of their profitability, analyst recommendations, earnings, valuation, institutional ownership, risk and dividends.

Analyst Ratings

This is a summary of current recommendations and price targets for Calmare Therapeutics and Accuray, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Calmare Therapeutics	0	0	0	0	N/A
Accuray	0	0	3	0	3.00

Accuray has a consensus target price of $8.25, suggesting a potential upside of 394.01%.

Earnings & Valuation

This table compares Calmare Therapeutics and Accuray’s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Calmare Therapeutics	N/A	N/A	N/A	N/A	N/A
Accuray	$430.55 million	0.38	-$9.28 million	($0.22)	-7.59

Calmare Therapeutics has higher earnings, but lower revenue than Accuray.

Institutional & Insider Ownership

64.1% of Accuray shares are held by institutional investors. 17.5% of Calmare Therapeutics shares are held by insiders. Comparatively, 3.8% of Accuray shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Profitability

This table compares Calmare Therapeutics and Accuray’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Calmare Therapeutics	N/A	N/A	N/A
Accuray	-4.99%	-42.34%	-4.50%

Summary

Calmare Therapeutics beats Accuray on 4 of the 7 factors compared between the two stocks.

About Calmare Therapeutics

Calmare Therapeutics Incorporated, a medical device company, develops and commercializes products and technologies for chronic neuropathic pain and wound care affliction patients in the United States. Its flagship medical device is Calmare Pain Therapy Device, a non-invasive and non-addictive modality for the treatment of chronic and neuropathic pain. The company was formerly known as Competitive Technologies, Inc. and changed its name to Calmare Therapeutics Incorporated in August 2014. Calmare Therapeutics Incorporated was founded in 1968 and is based in Fairfield, Connecticut.

About Accuray

Accuray Incorporated designs, develops, manufactures, and sells radiosurgery and radiation therapy systems for the treatment of tumors in the United States, Canada, Latin America, Australia, New Zealand, Europe, the Middle East, India, Africa, Japan, China, and rest of the Asia Pacific region. It offers the CyberKnife System, a robotic stereotactic radiosurgery and stereotactic body radiation therapy system used for the treatment of primary and metastatic tumors outside the brain, including tumors on or near the spine and in the breast, kidney, liver, lung, pancreas, and prostate. The company also provides the TomoTherapy System, including the Radixact System, which allows for integrated radiation treatment planning, delivery, and data management, enabling clinicians to deliver ultra-precise treatments to approximately 50 patients per day; iDMS data management system, a fully integrated treatment planning and data management systems; and Accuray precision treatment planning system, a treatment planning and data management systems. In addition, it offers post-contract customer support, installation, training, and other professional services. The company primarily markets its products directly to customers, including hospitals and stand-alone treatment facilities through its sales organization, as well as to customers through sales agents and group purchasing organizations in the United States; and to customers directly and through distributors and sales agents internationally. Accuray Incorporated was incorporated in 1990 and is headquartered in Madison, Wisconsin.