Comparing STERIS (NYSE:STE) & ClearPoint Neuro (NASDAQ:CLPT)

ClearPoint Neuro (NASDAQ:CLPT) and STERIS (NYSE:STE) are both medical companies, but which is the superior business? We will contrast the two businesses based on the strength of their institutional ownership, earnings, risk, profitability, dividends, valuation and analyst recommendations.

Earnings and Valuation

This table compares ClearPoint Neuro and STERIS”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ClearPoint Neuro	$34.33 million	12.98	-$18.91 million	($0.84)	-18.67
STERIS	$5.46 billion	4.66	$614.64 million	$6.96	37.28

STERIS has higher revenue and earnings than ClearPoint Neuro. ClearPoint Neuro is trading at a lower price-to-earnings ratio than STERIS, indicating that it is currently the more affordable of the two stocks.

Volatility and Risk

ClearPoint Neuro has a beta of 0.91, indicating that its share price is 9% less volatile than the S&P 500. Comparatively, STERIS has a beta of 1.03, indicating that its share price is 3% more volatile than the S&P 500.

Analyst Ratings

This is a summary of current ratings and recommmendations for ClearPoint Neuro and STERIS, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ClearPoint Neuro	1	0	2	0	2.33
STERIS	0	2	7	0	2.78

ClearPoint Neuro presently has a consensus price target of $14.50, indicating a potential downside of 7.53%. STERIS has a consensus price target of $273.50, indicating a potential upside of 5.42%. Given STERIS’s stronger consensus rating and higher possible upside, analysts clearly believe STERIS is more favorable than ClearPoint Neuro.

Insider & Institutional Ownership

30.1% of ClearPoint Neuro shares are owned by institutional investors. Comparatively, 94.7% of STERIS shares are owned by institutional investors. 7.0% of ClearPoint Neuro shares are owned by insiders. Comparatively, 1.1% of STERIS shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Profitability

This table compares ClearPoint Neuro and STERIS’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ClearPoint Neuro	-67.40%	-114.28%	-48.09%
STERIS	12.07%	14.43%	9.52%

Summary

STERIS beats ClearPoint Neuro on 12 of the 14 factors compared between the two stocks.

About ClearPoint Neuro

ClearPoint Neuro, Inc. operates as a medical device company primarily in the United States. It develops and commercializes platforms for performing minimally invasive surgical procedures in the brain under magnetic resonance imaging guided interventions. The company offers ClearPoint system, an integrated system for the insertion of deep brain stimulation electrodes, biopsy needles, and laser catheters, as well as the infusion of pharmaceuticals into the brain. It has license and collaboration agreement with Clinical Laserthermia Systems AB; license and research agreement with Koninklijke Philips N.V., UCB Biopharma SRL, and University of California and San Francisco; and development and license agreement with NE Scientific, LLC. The company was formerly known as MRI Interventions, Inc. and changed its name to ClearPoint Neuro, Inc. in February 2020. ClearPoint Neuro, Inc. was incorporated in 1998 and is headquartered in Solana Beach, California.

About STERIS

STERIS plc provides infection prevention products and services worldwide. It operates through four segments: Healthcare, Applied Sterilization Technologies, Life Sciences, and Dental. The Healthcare segment offers cleaning chemistries and sterility assurance products; automated endoscope reprocessing system and tracking products; endoscopy accessories, washers, sterilizers, and other pieces of capital equipment for the operation of a sterile processing department; and equipment used directly in the operating room, including surgical tables, lights, and connectivity solutions, as well as equipment management services. It also provides capital equipment installation, maintenance, upgradation, repair, and troubleshooting services; preventive maintenance programs and repair services; instrument and endoscope repair and maintenance services; and custom process improvement consulting and outsourced instrument sterile processing services. The Applied Sterilization Technologies segment provides contract sterilization and testing services for medical device and pharmaceutical manufacturers through a network of approximately 50 contract sterilization and laboratory facilities. The Life Sciences segment designs, manufactures and sells consumable products, such as formulated cleaning chemistries, barrier, sterility assurance products, steam and vaporized hydrogen peroxide sterilizers, and washer disinfectors. This segment also offers equipment installation, maintenance, upgradation, repair, and troubleshooting services; and preventive maintenance programs and repair services. The Dental segment provides hand and electric-powered dental instruments, infection control products, conscious sedation, personal protective equipment, and water quality products for dental suite. The company serves its products and services to hospitals, other healthcare providers, and pharmaceutical manufacturers. The company was founded in 1985 and is based in Dublin, Ireland.