Financial Contrast: HeartSciences (NASDAQ:HSCS) and MDxHealth (NASDAQ:MDXH)

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

Earnings & Valuation

This table compares MDxHealth and HeartSciences”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
MDxHealth	$103.07 million	1.57	-$38.07 million	($0.64)	-5.35
HeartSciences	N/A	N/A	-$8.77 million	($8.30)	-0.31

HeartSciences has lower revenue, but higher earnings than MDxHealth. MDxHealth is trading at a lower price-to-earnings ratio than HeartSciences, indicating that it is currently the more affordable of the two stocks.

Insider & Institutional Ownership

17.2% of HeartSciences shares are held by institutional investors. 1.7% of MDxHealth shares are held by company insiders. Comparatively, 1.8% of HeartSciences 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.

Profitability

This table compares MDxHealth and HeartSciences’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
MDxHealth	-34.98%	-374.98%	-21.97%
HeartSciences	N/A	-383.38%	-145.28%

Risk & Volatility

MDxHealth has a beta of 1.68, meaning that its share price is 68% more volatile than the S&P 500. Comparatively, HeartSciences has a beta of 2.56, meaning that its share price is 156% more volatile than the S&P 500.

Analyst Ratings

This is a summary of recent ratings and price targets for MDxHealth and HeartSciences, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
MDxHealth	1	0	4	0	2.60
HeartSciences	1	0	2	0	2.33

MDxHealth presently has a consensus price target of $7.75, suggesting a potential upside of 126.21%. HeartSciences has a consensus price target of $10.50, suggesting a potential upside of 313.39%. Given HeartSciences’ higher probable upside, analysts plainly believe HeartSciences is more favorable than MDxHealth.

Summary

HeartSciences beats MDxHealth on 7 of the 13 factors compared between the two stocks.

About MDxHealth

MDxHealth SA, a commercial-stage precision diagnostics company, provides urologic solutions in the United States, Europe, and internationally. Its testing solutions includes Select mdx, a non-invasive urine test for prostate cancer that measures the expression of two mRNA cancer-related biomarkers; Confirm mdx for prostate cancer tissue test that validates epigenetic test that guides the detection of occult prostate cancer on a patient's previously biopsied negative tissue; and Resolved mdx for urinary tract infection that identifies personalized effective antibiotic options against the patient's infection. The company offers genomic prostate score which provides personalized genomic insights to both physicians and patients navigating the complexities of prostate cancer diagnosis and treatment. It sells its products through urology sales force, consisting of direct sales representatives, strategic account managers, and regional sales managers. The company was formerly known as OncoMethylome Sciences SA and changed its name to MDxHealth SA in October 2010. MDxHealth SA was incorporated in 2003 and is headquartered in Herstal, Belgium.

About HeartSciences

Heart Test Laboratories, Inc., a medical technology company, provides cardiovascular diagnostic devices. The company offers MyoVista wavECG, a resting 12-lead electrocardiograph (ECG) to provide diagnostic information related to cardiac dysfunction, as well as conventional ECG information. It serves clinics, doctor's offices, urgent care centers, and hospitals. The company was incorporated in 2007 and is headquartered in Southlake, Texas.