Financial Review: Quanterix (NASDAQ:QTRX) & Generation Alpha (OTCMKTS:GNAL)

Quanterix (NASDAQ:QTRX) and Generation Alpha (OTCMKTS:GNAL) are both medical companies, but which is the better stock? We will contrast the two companies based on the strength of their analyst recommendations, institutional ownership, valuation, profitability, risk, earnings and dividends.

Volatility and Risk

Quanterix has a beta of 1.07, indicating that its share price is 7% more volatile than the S&P 500. Comparatively, Generation Alpha has a beta of 2.17, indicating that its share price is 117% more volatile than the S&P 500.

Institutional & Insider Ownership

86.5% of Quanterix shares are held by institutional investors. 6.8% of Quanterix shares are held by insiders. Comparatively, 60.8% of Generation Alpha shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Valuation & Earnings

This table compares Quanterix and Generation Alpha”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Quanterix	$137.42 million	1.85	-$38.53 million	($1.82)	-3.01
Generation Alpha	N/A	N/A	N/A	N/A	N/A

Generation Alpha has lower revenue, but higher earnings than Quanterix.

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Quanterix and Generation Alpha, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Quanterix	1	4	1	0	2.00
Generation Alpha	0	0	0	0	0.00

Quanterix currently has a consensus price target of $11.75, suggesting a potential upside of 114.42%. Given Quanterix’s stronger consensus rating and higher possible upside, analysts clearly believe Quanterix is more favorable than Generation Alpha.

Profitability

This table compares Quanterix and Generation Alpha’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Quanterix	-56.04%	-18.41%	-14.80%
Generation Alpha	N/A	N/A	N/A

About Quanterix

Quanterix Corporation, a life sciences company, engages in development and marketing of digital immunoassay platforms that advances precision health for life sciences research and diagnostics in North America, Europe, the Middle East, Africa, and the Asia Pacific regions. The company offers HD-X instrument, a protein detection platform; and SR-X instrument that enables researchers to apply Simoa detection in an expanded range of applications. It also provides SP-X instrument that is based on Simoa planar array technology for the measurement of multiplex chemiluminescent immunoassays. The company's products include assays include all components required to run enzyme-based immunoassay, such as beads, capture and detector reagents, and enzyme reagents and substrate; and replacement parts, reagents, and antibodies. In addition, it offers contract research services, including sample testing, homebrew assay development, custom assay development, lucent diagnostic, and LDT testing services. The company primarily operates in the areas of neurology, oncology, cardiology, infectious diseases, and inflammation. It sells its products for the life science research sector primarily to laboratories associated with academic and governmental research institutions, as well as pharmaceutical, biotechnology, and contract research companies through a direct field sale, support organizations, and distributors or sales agents. The company was formerly known as Digital Genomics, Inc. and changed its name to Quanterix Corporation in August 2007. Quanterix Corporation was incorporated in 2007 and is headquartered in Billerica, Massachusetts.

About Generation Alpha

Generation Alpha, Inc. focuses on the research, design, development, and manufacturing of indoor horticulture lighting, plant nutrient products, and ancillary equipment in the United States and internationally. The company offers digital ballasts; metal halide, and mercury vapor and high-pressure sodium lamps; light emitting diode lighting products that produce less heat; digital lighting controller, a temperature monitoring control system; reflectors; and high intensity lighting accessories, as well as plant nutrients and fertilizers. It primarily serves commercial and retail cannabis growers in the medical and adult use recreational markets; distributors; and retailers. Generation Alpha, Inc. markets its products directly; and through distributors to hydroponic retailers, as well as through direct contacts, online email advertising, social media, trade magazine advertising, trade show promotions, and cross-promotional offerings, as well as ecommerce websites. The company was formerly known as Solis Tek Inc. Generation Alpha, Inc. was incorporated in 2007 and is based in Upland, California.