Comparing Medtronic (MDT) and Helius Medical Technologies (HSDT)

Medtronic (NYSE: MDT) and Helius Medical Technologies (OTCMKTS:HSDT) are both medical companies, but which is the superior business? We will compare the two companies based on the strength of their dividends, analyst recommendations, earnings, risk, profitability, valuation and institutional ownership.

Risk and Volatility

Medtronic has a beta of 0.94, indicating that its stock price is 6% less volatile than the S&P 500. Comparatively, Helius Medical Technologies has a beta of 1.25, indicating that its stock price is 25% more volatile than the S&P 500.

Profitability

This table compares Medtronic and Helius Medical Technologies’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Medtronic 10.36% 12.84% 6.84%
Helius Medical Technologies N/A N/A -318.23%

Analyst Recommendations

This is a breakdown of recent ratings and price targets for Medtronic and Helius Medical Technologies, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Medtronic 0 6 16 0 2.73
Helius Medical Technologies 0 1 0 0 2.00

Medtronic presently has a consensus target price of $92.82, suggesting a potential upside of 6.92%. Helius Medical Technologies has a consensus target price of $14.00, suggesting a potential upside of 18.24%. Given Helius Medical Technologies’ higher probable upside, analysts plainly believe Helius Medical Technologies is more favorable than Medtronic.

Institutional & Insider Ownership

80.2% of Medtronic shares are held by institutional investors. 0.3% of Medtronic shares are held by company insiders. Comparatively, 23.0% of Helius Medical Technologies shares are held by company 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.

Valuation & Earnings

This table compares Medtronic and Helius Medical Technologies’ revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Medtronic $29.95 billion 3.93 $3.10 billion $4.77 18.20
Helius Medical Technologies N/A N/A -$28.02 million N/A N/A

Medtronic has higher revenue and earnings than Helius Medical Technologies.

Dividends

Medtronic pays an annual dividend of $1.84 per share and has a dividend yield of 2.1%. Helius Medical Technologies does not pay a dividend. Medtronic pays out 38.6% of its earnings in the form of a dividend. Medtronic has raised its dividend for 40 consecutive years.

Summary

Medtronic beats Helius Medical Technologies on 10 of the 14 factors compared between the two stocks.

Medtronic Company Profile

Medtronic plc manufactures and sells device-based medical therapies to hospitals, physicians, clinicians, and patients worldwide. The company's Cardiac and Vascular Group segment offers implantable cardiac pacemakers, cardioverter defibrillators, and cardiac resynchronization therapy devices; diagnostics and monitoring devices; mechanical circulatory support, TYRX, and AF products; and remote monitoring and patient-centered software. It also provides transcatheter heart valves, percutaneous coronary intervention stents, surgical valve replacement and repair products, endovascular stent grafts, peripheral vascular products, and products to treat superficial and deep venous diseases. Its Minimally Invasive Therapies Group segment offers surgical care, wound closure, electrosurgical, hernia mechanical device, mesh implant, ablation, interventional lung, ventilator, capnography, airway, sensor, monitor, compression, dialysis, enteral feeding, wound care, and medical surgical products; stapling, vessel sealing, fixation, and hardware instruments; and gastrointestinal, temperature management, inhalation therapy, and renal care solutions. The company's Restorative Therapies Group segment offers products for spine, bone graft substitutes, biologic products, trauma, implantable neurostimulation therapies, and drug delivery systems for the treatment of chronic pain, movement disorders, obsessive-compulsive disorder, overactive bladder, urinary retention, fecal incontinence, and gastroparesis, as well as products to treat conditions of the ear, nose, and throat; and systems that incorporate energy surgical instruments. It also provides image-guided surgery and intra-operative imaging systems; and therapies for vasculature in and around the brain. The company's Diabetes Group segment offers insulin pumps and consumables, continuous glucose monitoring systems, and Web-based therapy management software. The company was founded in 1949 and is headquartered in Dublin, Ireland.

Helius Medical Technologies Company Profile

Helius Medical Technologies, Inc. is a medical technology company focused on neurological wellness. The Company focuses on developing, licensing or acquiring non-invasive platform technologies that amplify the brain’s ability to heal itself. The Company is engaged in the development of its product, the portable neuromodulation stimulator (PoNS) device. The device, when used in combination with physiotherapy, is designed to enhance the brain’s ability to compensate for damage due to trauma or disease. The Company’s PoNS device is designed to induce cranial nerve non-invasive neuromodulation through an increase in stimulation of the facial and trigeminal nerves, which innervate the tongue. The PoNS device is developed to deliver to the tongue a non-invasive neurostimulation, in a form that induces neuromodulation. The PoNS device is an electrical pulse generator that delivers controlled electrical stimulation to the tongue.

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