Analyzing Nephros (NASDAQ:NEPH) & Nyxoah (NASDAQ:NYXH)

Nyxoah (NASDAQ:NYXH) and Nephros (NASDAQ:NEPH) are both small-cap healthcare companies, but which is the superior investment? We will compare the two companies based on the strength of their profitability, earnings, dividends, risk, analyst recommendations, valuation and institutional ownership.

Earnings and Valuation

This table compares Nyxoah and Nephros”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Nyxoah	$11.33 million	4.65	-$101.92 million	($2.52)	-0.54
Nephros	$18.79 million	2.04	$1.19 million	$0.16	22.06

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

Analyst Recommendations

This is a breakdown of current ratings and price targets for Nyxoah and Nephros, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Nyxoah	1	1	2	0	2.25
Nephros	0	3	1	0	2.25

Nyxoah currently has a consensus price target of $4.26, suggesting a potential upside of 213.38%. Nephros has a consensus price target of $4.00, suggesting a potential upside of 13.31%. Given Nyxoah’s higher probable upside, equities analysts plainly believe Nyxoah is more favorable than Nephros.

Profitability

This table compares Nyxoah and Nephros’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Nyxoah	-443.16%	-178.90%	-81.83%
Nephros	8.38%	10.60%	8.05%

Institutional & Insider Ownership

41.1% of Nephros shares are held by institutional investors. 17.1% of Nyxoah shares are held by company insiders. Comparatively, 6.7% of Nephros shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Volatility and Risk

Nyxoah has a beta of 1.65, indicating that its share price is 65% more volatile than the S&P 500. Comparatively, Nephros has a beta of 1.64, indicating that its share price is 64% more volatile than the S&P 500.

Summary

Nephros beats Nyxoah on 8 of the 13 factors compared between the two stocks.

About Nyxoah

Nyxoah S.A., a medical technology company, focuses on the development and commercialization of solutions to treat sleep disordered breathing conditions. The company’s lead solution comprises Genio system, a CE-Marked, patient-centric, and hypoglossal neurostimulation therapy to treat moderate to severe obstructive sleep apnea. Nyxoah S.A. was incorporated in 2009 and is headquartered in Mont-Saint-Guibert, Belgium.

About Nephros

Nephros, Inc., a commercial-stage company, develops and sells water solutions to the medical and commercial markets in the United States. It offers ultrafiltration products that are used in dialysis centers for the removal of biological contaminants from water and bicarbonate concentrate; and in hospitals for the prevention of infection from waterborne pathogens, such as legionella and pseudomonas, as well as in military and outdoor recreation, commercial, and other healthcare facilities. The company also manufactures and sells water filters that enhance the taste and odor of water, as well as reduce biofilm, cysts, particulates, and scale build-up in downstream equipment. It markets its products to food service, hospitality, convenience store, and health care markets, as well as medical institutions. The company was incorporated in 1997 and is headquartered in South Orange, New Jersey.