Comparing Biomerica (NASDAQ:BMRA) & Cytosorbents (NASDAQ:CTSO)

Biomerica (NASDAQ:BMRA) and Cytosorbents (NASDAQ:CTSO) are both small-cap healthcare companies, but which is the better stock? We will compare the two businesses based on the strength of their profitability, earnings, dividends, risk, valuation, institutional ownership and analyst recommendations.

Analyst Recommendations

This is a breakdown of current ratings and price targets for Biomerica and Cytosorbents, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Biomerica	1	0	0	0	1.00
Cytosorbents	1	1	1	0	2.00

Biomerica presently has a consensus price target of $9.00, indicating a potential upside of 289.61%. Cytosorbents has a consensus price target of $5.38, indicating a potential upside of 1,435.28%. Given Cytosorbents’ stronger consensus rating and higher probable upside, analysts clearly believe Cytosorbents is more favorable than Biomerica.

Institutional and Insider Ownership

22.3% of Biomerica shares are owned by institutional investors. Comparatively, 32.9% of Cytosorbents shares are owned by institutional investors. 18.0% of Biomerica shares are owned by insiders. Comparatively, 7.8% of Cytosorbents shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Profitability

This table compares Biomerica and Cytosorbents’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Biomerica	-84.79%	-97.19%	-61.57%
Cytosorbents	-48.94%	-431.65%	-41.94%

Risk and Volatility

Biomerica has a beta of 0.37, suggesting that its stock price is 63% less volatile than the S&P 500. Comparatively, Cytosorbents has a beta of 1.34, suggesting that its stock price is 34% more volatile than the S&P 500.

Valuation & Earnings

This table compares Biomerica and Cytosorbents”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Biomerica	$4.45 million	1.60	-$3.78 million	($1.27)	-1.82
Cytosorbents	$37.06 million	0.60	-$8.20 million	($0.29)	-1.21

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

Summary

Cytosorbents beats Biomerica on 10 of the 14 factors compared between the two stocks.

About Biomerica

Biomerica, Inc., a biomedical technology company, develops, patents, manufactures, and markets diagnostic and therapeutic products for the detection and/or treatment of medical conditions and diseases worldwide. The company's diagnostic test kits are used to analyze blood, urine, nasal or fecal specimens from patients in the diagnosis of various diseases, food intolerances, and other medical complications; or to measure bacteria, hormones, antibodies, antigens, or other substances which may exist in the human body, stools, or blood in extremely small concentrations. It primarily sells its products for gastrointestinal diseases, food intolerances, and various esoteric tests at the physicians' offices and over-the-counter drugstores, and hospital/clinical laboratories. The company is also developing InFoods IBS, that uses a simple blood sample to identify patient-specific foods which may alleviate irritable bowel syndrome symptoms; and H. Pylori diagnostic test that indicates if a patient is infected with the H. Pylori bacteria. In addition, it develops products to indicate if a person has been infected by COVID-19. Biomerica, Inc. was incorporated in 1971 and is headquartered in Irvine, California.

About Cytosorbents

Cytosorbents Corporation engages in the research, development, and commercialization of medical devices with its blood purification technology platform incorporating a proprietary adsorbent and porous polymer technology in the United States, Germany, and internationally. Its flagship product is CytoSorb, an extracorporeal cytokine adsorber for adjunctive therapy in the treatment of sepsis, adjunctive therapy in other critical care applications, prevention, and treatment of perioperative complications, and maintaining or enhancing the quality of solid organs harvested from donors for organ transplant; and offers VetResQ, a device for adjunctive therapy in the treatment of sepsis, pancreatitis, and other critical illnesses in animals. The company also develops CytoSorb-XL, a device for adjunctive therapy in the treatment of sepsis and other critical illnesses; HemoDefend blood purification technology platform to reduce contaminants in the blood supply that can cause transfusion reactions or disease when administering blood and blood products to patients, and removal of anti-A and anti-B blood group antibodies from whole blood and plasma; K+ontrol for treatment of severe hyperkalemia in patients with life-threatening conditions; and ContrastSorb for the removal of IV contrast in blood administered during CT imaging, an angiogram, or during a vascular interventional radiology procedure to reduce the risk of contrast-induced nephropathy. In addition, it develops BetaSorb, a device for the prevention and treatment of health complications caused by the accumulation of metabolic toxins in patients with chronic renal failure; DrugSorb, a device to remove drugs and chemicals from the blood; and DrugSorb-ATR, an antithrombotic removal system. The company was formerly known as MedaSorb Technologies Corporation and changed its name to Cytosorbents Corporation in May 2010. Cytosorbents Corporation was founded in 1997 and is headquartered in Princeton, New Jersey.