Financial Survey: Hyperfine (NASDAQ:HYPR) and Sysmex (OTCMKTS:SSMXY)

Sysmex (OTCMKTS:SSMXY) and Hyperfine (NASDAQ:HYPR) are both healthcare companies, but which is the superior investment? We will contrast the two businesses based on the strength of their institutional ownership, dividends, analyst recommendations, profitability, risk, earnings and valuation.

Valuation and Earnings

This table compares Sysmex and Hyperfine”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Sysmex	$3.32 billion	2.24	$234.01 million	$0.42	29.10
Hyperfine	$16.54 million	4.62	-$35.57 million	($0.38)	-1.89

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

Insider & Institutional Ownership

15.0% of Hyperfine shares are owned by institutional investors. 26.3% of Hyperfine shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a summary of recent ratings for Sysmex and Hyperfine, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Sysmex	0	2	0	0	2.00
Hyperfine	1	1	3	1	2.67

Hyperfine has a consensus target price of $2.02, suggesting a potential upside of 181.25%. Given Hyperfine’s stronger consensus rating and higher possible upside, analysts clearly believe Hyperfine is more favorable than Sysmex.

Risk & Volatility

Sysmex has a beta of 1.18, suggesting that its share price is 18% more volatile than the S&P 500. Comparatively, Hyperfine has a beta of 1.45, suggesting that its share price is 45% more volatile than the S&P 500.

Profitability

This table compares Sysmex and Hyperfine’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Sysmex	7.62%	8.01%	5.61%
Hyperfine	-210.75%	-97.88%	-61.81%

Summary

Hyperfine beats Sysmex on 8 of the 15 factors compared between the two stocks.

About Sysmex

Sysmex Corporation engages in the development, manufacture, and sale of diagnostic instruments, reagents, and related software in Japan. It offers three-part and five-part white blood cell differentiation instruments for use in hematology; and transport systems for high-volume testing in labs. The company also provides automated urine particle analyzers; automated blood coagulation analyzers; automated immunochemistry systems, which perform assays on minute sample quantities, as well as reagents to test for infectious disease and tumor markers; and flow cytometers to perform analysis in diagnosing leukemia, malignant lymphoma, and HIV/AIDS. In addition, it offers cancer lymph node metastasis testing systems to detect information to help in diagnosing lymph node metastasis; and lab assay services. Further, the company is involved in the development and sale of software for diagnostic information systems; provision of facility management, office, welfare, and genetic analysis services; development, operation, and maintenance of IT solutions, platforms, and applications related to digital medicine; marketing, development, design, manufacture, sale, and after-sales service related to medical robots; and distribution and after sales support of medical devices and reagents for biotechnology, medical technology, and molecular cell analysis. Additionally, it researches, develops, manufactures, and sells regenerative medicine products; develops, manufactures, and sells biodevices; develops, maintains, and sells computer software; and offers blood DNA testing service. The company serves national and other public hospitals, private hospitals, universities, research institutes, other medical institutions, etc. It also exports its products to approximately 190 countries. The company was formerly known as TOA Medical Electronics Co., Ltd. and changed its name to Sysmex Corporation in October 1998. Sysmex Corporation was founded in 1968 and is headquartered in Kobe, Japan.

About Hyperfine

Hyperfine, Inc., a medical device company, provides magnetic resonance imaging (MRI) products in the United States. The company offers Swoop Portable MR imaging system, which offers portable brain neuroimaging; and support and technical assistance services. It serves ICU, comprehensive, and primary stroke accredited facilities through direct sales and distributors. Hyperfine, Inc. was founded in 2014 and is based in Guilford, Connecticut.