Financial Survey: Perrigo (NYSE:PRGO) vs. Sanara MedTech (NASDAQ:SMTI)

Perrigo (NYSE:PRGO) and Sanara MedTech (NASDAQ:SMTI) are both small-cap medical companies, but which is the better business? We will compare the two companies based on the strength of their profitability, institutional ownership, valuation, risk, analyst recommendations, earnings and dividends.

Risk & Volatility

Perrigo has a beta of 0.52, meaning that its share price is 48% less volatile than the S&P 500. Comparatively, Sanara MedTech has a beta of 1.16, meaning that its share price is 16% more volatile than the S&P 500.

Profitability

This table compares Perrigo and Sanara MedTech’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Perrigo	-43.50%	9.96%	3.90%
Sanara MedTech	-31.23%	-3.19%	-0.56%

Insider & Institutional Ownership

95.9% of Perrigo shares are held by institutional investors. Comparatively, 8.1% of Sanara MedTech shares are held by institutional investors. 0.4% of Perrigo shares are held by company insiders. Comparatively, 42.0% of Sanara MedTech shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Analyst Recommendations

This is a breakdown of recent recommendations for Perrigo and Sanara MedTech, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Perrigo	1	4	1	0	2.00
Sanara MedTech	2	0	2	0	2.00

Perrigo presently has a consensus target price of $19.33, suggesting a potential upside of 70.11%. Sanara MedTech has a consensus target price of $34.00, suggesting a potential upside of 42.07%. Given Perrigo’s higher possible upside, equities research analysts plainly believe Perrigo is more favorable than Sanara MedTech.

Earnings and Valuation

This table compares Perrigo and Sanara MedTech”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Perrigo	$4.25 billion	0.37	-$1.43 billion	($13.10)	-0.87
Sanara MedTech	$103.12 million	2.13	-$37.56 million	($3.77)	-6.35

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

Summary

Sanara MedTech beats Perrigo on 7 of the 13 factors compared between the two stocks.

About Perrigo

Perrigo Company plc provides over-the-counter health and wellness solutions to enhance individual well-being in the United States, Europe, and internationally. It operates through Consumer Self-Care Americas and Consumer Self-Care International segments. The company develops, manufactures, markets, and distributes self-care consumer products, such as upper respiratory products, including cough suppressants, expectorants, and sinus and allergy relief; nutrition products consisting of infant formulas and nutritional beverages; digestive health products, including antacids, anti-diarrheal, and anti-heartburn; pain and sleep-aids products comprising pain relievers and fever reducers; and oral care products, which include toothbrushes, toothbrush replacement heads, floss, flossers, whitening products, and toothbrush covers. It also offers healthy lifestyle products, such as smoking cessation, well-being, and weight management products; skin care products consisting of dermatological care, scar management, lice treatment, and other products for various skin conditions; women's health products comprising feminine hygiene and contraceptives; vitamins, minerals, and supplements; rare diseases business; and other miscellaneous self-care products. The company sells its products under the Compeed, Dr. Fresh, Firefly, Good Sense, Good Start, Mederma, Nasonex, Plackers, Prevacid24HR, REACH, Rembrandt, Steripod, Opill, Solpadeine, Coldrex, Physiomer, NiQuitin, ACO, ellaOne, Compeed Stops, XLS, Arterin, Davitamon, Apiserum, Abtei, and Nicorette brands. It also offers contract manufacturing services. The company sells its products through retail drug, supermarket, and mass merchandise chains; e-commerce stores; wholesalers; pharmacies; drug and grocery retailers; and para-pharmacies. The company was formerly known as Perrigo Company and changed its name to Perrigo Company plc in December 2013. Perrigo Company plc was founded in 1887 and is headquartered in Dublin, Ireland.

About Sanara MedTech

Sanara MedTech Inc., a medical technology company, develops, markets, and distributes surgical, wound, and skincare products and services to physicians, hospitals, clinics, and post-acute care settings in the United States. The company offers CellerateRX Surgical, a medical hydrolysate of Type I bovine collagen indicated for the management of surgical, traumatic, and partial- and full-thickness wounds, as well as first- and second-degree burns; and HYCOL, a medical hydrolysate of Type I bovine collagen intended for the management of full and partial thickness wounds, including pressure ulcers, venous and arterial leg ulcers, and diabetic foot ulcers. It also provides BIAKOS Antimicrobial Skin and Wound Cleanser, a patented product that contains synergistic ingredients that have been shown to impact mature biofilm microbes; BIAKOS Antimicrobial Wound Gel, an antimicrobial hydrogel wound dressing that helps against planktonic microbes, as well as immature and mature biofilms; and BIAKOS Antimicrobial Skin and Wound Irrigation Solution. In addition, it develops BIASURGE, a no-rinse surgical solution used for wound irrigation; FORTIFY TRG, a freeze-dried, multi-layer small intestinal submucosa extracellular matrix sheet; FORTIFY FLOWABLE extracellular matrix, an advanced wound care device; TEXAGEN, a multi-layer amniotic membrane allograft used as an anatomical barrier with robust handling that can be sutured for securement; and VIM Amnion Matrix, a homologous wound covering product. Sanara MedTech Inc. was incorporated in 2001 and is based in Fort Worth, Texas.