Analyzing Amplifon (OTCMKTS:AMFPF) and Sonic Healthcare (OTCMKTS:SKHHY)

Amplifon (OTCMKTS:AMFPF) and Sonic Healthcare (OTCMKTS:SKHHY) are both mid-cap medical companies, but which is the better business? We will compare the two businesses based on the strength of their valuation, institutional ownership, risk, dividends, analyst recommendations, profitability and earnings.

Volatility & Risk

Amplifon has a beta of 0.45, indicating that its share price is 55% less volatile than the S&P 500. Comparatively, Sonic Healthcare has a beta of 0.8, indicating that its share price is 20% less volatile than the S&P 500.

Analyst Ratings

This is a summary of current recommendations for Amplifon and Sonic Healthcare, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Amplifon	0	0	2	0	3.00
Sonic Healthcare	1	0	1	0	2.00

Sonic Healthcare has a consensus target price of $30.15, suggesting a potential upside of 78.51%. Given Sonic Healthcare’s higher probable upside, analysts clearly believe Sonic Healthcare is more favorable than Amplifon.

Valuation and Earnings

This table compares Amplifon and Sonic Healthcare”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Amplifon	$2.61 billion	1.35	$157.31 million	$0.56	27.97
Sonic Healthcare	$6.25 billion	1.34	$332.61 million	N/A	N/A

Sonic Healthcare has higher revenue and earnings than Amplifon.

Profitability

This table compares Amplifon and Sonic Healthcare’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Amplifon	4.74%	14.28%	3.89%
Sonic Healthcare	N/A	N/A	N/A

Insider & Institutional Ownership

0.0% of Sonic Healthcare shares are held by institutional investors. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Summary

Amplifon beats Sonic Healthcare on 6 of the 11 factors compared between the two stocks.

About Amplifon

Amplifon S.p.A. engages in the distribution of hearing solutions and the fitting of customized products that help people rediscover various emotions of sound in Europe, the Middle East, Africa, the Americas, and the Asia Pacific. The company offers Ampli-easy, Ampli-connect, Ampli-energy, and Ampli-mini hearing devices. It also operates Ampli-care, a platform to deliver audiological care experience; and Amplifon App to manage the device functions in real-time directly from smartphone. Amplifon S.p.A. was founded in 1950 and is headquartered in Milan, Italy. Amplifon S.p.A.

About Sonic Healthcare

Sonic Healthcare Limited offers medical diagnostic services to medical practitioners, hospitals, community health services, and their collective patients. The company provides laboratory medicine/pathology testing services, such as biochemistry, cytopathology, genetics, haematology, histopathology, immunoserology, microbiology, molecular pathology, prenatal testing, toxicology, and ancillary functions; and radiology services, including magnetic resonance imaging, computed tomography (CT), ultrasound, X-ray, mammography, nuclear medicine, PET CT, interventional procedures, and bone mineral densitometry. It offers primary care medical services comprising general practice clinics, occupational health services, skin cancer clinics, after-hours general practice services, general practice IT solutions, and community-based healthcare services. The company operates in Australia, the United Kingdom, Ireland, the United States, Germany, Switzerland, New Zealand, Belgium, and internationally. Sonic Healthcare Limited was incorporated in 1934 and is headquartered in Sydney, Australia.