Zynex (ZYXI) and Its Peers Critical Comparison

Zynex (NASDAQ:ZYXI) is one of 511 publicly-traded companies in the “Healthcare Equipment & Supplies” industry, but how does it weigh in compared to its peers? We will compare Zynex to similar companies based on the strength of its institutional ownership, risk, valuation, earnings, dividends, analyst recommendations and profitability.

Analyst Ratings

This is a breakdown of recent ratings for Zynex and its peers, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Zynex	1	0	0	0	1.00
Zynex Competitors	4242	10457	18169	819	2.46

As a group, “Healthcare Equipment & Supplies” companies have a potential upside of 22.72%. Given Zynex’s peers stronger consensus rating and higher possible upside, analysts plainly believe Zynex has less favorable growth aspects than its peers.

Profitability

This table compares Zynex and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Zynex	-68.35%	-804.30%	-36.67%
Zynex Competitors	-278.47%	-150.38%	-22.01%

Risk and Volatility

Zynex has a beta of 0.99, indicating that its share price is 1% less volatile than the S&P 500. Comparatively, Zynex’s peers have a beta of 2.52, indicating that their average share price is 152% more volatile than the S&P 500.

Institutional and Insider Ownership

29.7% of Zynex shares are owned by institutional investors. Comparatively, 40.6% of shares of all “Healthcare Equipment & Supplies” companies are owned by institutional investors. 49.3% of Zynex shares are owned by company insiders. Comparatively, 14.9% of shares of all “Healthcare Equipment & Supplies” companies are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Valuation & Earnings

This table compares Zynex and its peers top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Zynex	$108.20 million	$2.99 million	-0.05
Zynex Competitors	$1.90 billion	$138.15 million	11.14

Zynex’s peers have higher revenue and earnings than Zynex. Zynex is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Summary

Zynex peers beat Zynex on 11 of the 13 factors compared.

About Zynex

Zynex, Inc., together with its subsidiaries, designs, manufactures, and markets medical devices to treat chronic and acute pain; and activate and exercise muscles for rehabilitative purposes with electrical stimulation. The company offers NexWave, a dual channel, multi-modality interferential current, transcutaneous electrical nerve stimulation, and neuromuscular electrical stimulation (NMES) device that is marketed to physicians and therapists by field sales representatives; NeuroMove, an electromyography and electric stimulation technology device; InWave, an electrical stimulation product for the treatment of female urinary incontinence; E-Wave, an NMES device; M-Wave, an NMES device. It also supplies private labeled products, including electrodes for the delivery of electrical current to the body, and batteries for use in electrotherapy products. In addition, the company distributes Comfortrac/Saunders for cervical traction, JetStream for hot/cold therapy, LSO Back Braces for lumbar support, and braces for rehabilitation support. Further, it offers Zynex Fluid Monitoring System (CM-1500); Zynex Wireless Fluid Monitoring System (CM-1600), a noninvasive monitoring device designed to measure relative changes in fluid volume in adult patients; NiCO CO-Oximeter, a laser-based noninvasive co-oximeter; and HemeOx tHb Oximeter, a laser-based total hemoglobin pulse oximeter. The company provides its products for use in pain management and control; stroke and spinal cord injury rehabilitation; hemodynamic monitoring and intravascular volume monitoring; and pulse oximetry monitoring. It sells its products through direct sales force primarily in the United States. Zynex, Inc. was founded in 1996 and is headquartered in Englewood, Colorado.