Critical Review: biote (NASDAQ:BTMD) & Exactus (OTCMKTS:EXDI)

biote (NASDAQ:BTMD) and Exactus (OTCMKTS:EXDI) are both small-cap medical companies, but which is the better business? We will contrast the two businesses based on the strength of their earnings, risk, dividends, institutional ownership, profitability, valuation and analyst recommendations.

Profitability

This table compares biote and Exactus’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
biote	1.79%	-45.10%	19.61%
Exactus	N/A	-3,272.69%	-185.29%

Institutional and Insider Ownership

21.7% of biote shares are held by institutional investors. Comparatively, 0.1% of Exactus shares are held by institutional investors. 13.9% of biote shares are held by company insiders. Comparatively, 65.0% of Exactus shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Earnings and Valuation

This table compares biote and Exactus’ top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
biote	$185.36 million	2.22	$3.32 million	($0.22)	-25.09
Exactus	$2.07 million	0.00	-$9.46 million	N/A	N/A

biote has higher revenue and earnings than Exactus.

Analyst Ratings

This is a summary of recent ratings and price targets for biote and Exactus, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
biote	0	0	5	0	3.00
Exactus	0	0	0	0	N/A

biote currently has a consensus price target of $8.11, indicating a potential upside of 46.92%.

Risk and Volatility

biote has a beta of 0.87, suggesting that its share price is 13% less volatile than the S&P 500. Comparatively, Exactus has a beta of 4.21, suggesting that its share price is 321% more volatile than the S&P 500.

Summary

biote beats Exactus on 7 of the 10 factors compared between the two stocks.

About biote

biote Corp. operates in practice-building business within the hormone optimization space. It trains physicians and nurse practitioners in hormone optimization using bioidentical hormone replacement pellet therapy in men and women experiencing hormonal imbalance. The company offers Biote Method, a comprehensive end-to-end practice building platform that provides Biote-certified practitioners with the components developed for practitioners in the hormone optimization space comprising Biote Method education, training, and certification services; practice management software that allows Biote-certified practitioners to order, track, and manage hormone optimization product inventory and other administrative requirements; inventory management software to monitor pellet inventory; and information regarding available hormone replacement therapy products, as well as digital and point-of-care marketing support. It also sells dietary supplements under the Biote brand; and sterile pellet insertion kits that is used with hormone optimization therapies for male and female. The company was founded in 2012 and is headquartered in Irving, Texas.

About Exactus

Exactus, Inc., is a farmer and manufacturer of hemp-derived phytocannabinoid products. The company sells its CBD products through its Green Goddess brand and third-party resellers. Exactus is engaged in producing industrial hemp from farms in Oregon and plans to extract and manufacture directly through cGMP facilities. Industrial hemp is a type of cannabis, defined by the federal government as having THC (tetrahydrocannabinol) content of 0.3 percent or less. THC is the psychoactive compound found in cannabis.