Modular Medical (NASDAQ:MODD) and Smith & Nephew SNATS (NYSE:SNN) Financial Comparison

Modular Medical (NASDAQ:MODD) and Smith & Nephew SNATS (NYSE:SNN) are both medical companies, but which is the superior investment? We will compare the two companies based on the strength of their valuation, risk, dividends, analyst recommendations, institutional ownership, profitability and earnings.

Earnings and Valuation

This table compares Modular Medical and Smith & Nephew SNATS”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Modular Medical	N/A	N/A	-$18.82 million	($14.71)	-0.27
Smith & Nephew SNATS	$6.16 billion	2.17	$625.00 million	N/A	N/A

Smith & Nephew SNATS has higher revenue and earnings than Modular Medical.

Profitability

This table compares Modular Medical and Smith & Nephew SNATS’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Modular Medical	N/A	-245.85%	-190.80%
Smith & Nephew SNATS	N/A	N/A	N/A

Risk & Volatility

Modular Medical has a beta of 0.24, suggesting that its share price is 76% less volatile than the S&P 500. Comparatively, Smith & Nephew SNATS has a beta of 0.57, suggesting that its share price is 43% less volatile than the S&P 500.

Insider and Institutional Ownership

27.5% of Modular Medical shares are owned by institutional investors. Comparatively, 25.6% of Smith & Nephew SNATS shares are owned by institutional investors. 7.1% of Modular Medical shares are owned by company insiders. Comparatively, 1.0% of Smith & Nephew SNATS shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Analyst Recommendations

This is a summary of recent recommendations and price targets for Modular Medical and Smith & Nephew SNATS, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Modular Medical	1	0	0	0	1.00
Smith & Nephew SNATS	0	4	0	1	2.40

Smith & Nephew SNATS has a consensus price target of $34.75, indicating a potential upside of 10.96%. Given Smith & Nephew SNATS’s stronger consensus rating and higher possible upside, analysts plainly believe Smith & Nephew SNATS is more favorable than Modular Medical.

Summary

Smith & Nephew SNATS beats Modular Medical on 8 of the 10 factors compared between the two stocks.

About Modular Medical

Modular Medical, Inc. operates as a medical device company. It focuses on the design, development, and commercialization of insulin pumps. It offers MODD1, a two-part patch pump for type-1 and type-2 diabetes. The company is headquartered in San Diego, California.

About Smith & Nephew SNATS

Smith & Nephew plc engages in the development, manufacture, marketing, and sale of medical devices. It operates through the following segments: Orthopaedics, Sports Medicine and ENT, and Advanced Wound Management. The Orthopaedics and Sports Medicine and ENT segment consists of the following businesses: knee implants, hip implants, other reconstruction, trauma, sports medicine joint repair, arthroscopic enabling technologies, and ENT. The Advanced Wound Management segment includes advanced wound care, advanced wound bioactives, and advanced wound devices businesses. The company was founded in 1856 and is headquartered in Watford, the United Kingdom.