Analyzing ClearPoint Neuro (NASDAQ:CLPT) & Retractable Technologies (NYSE:RVP)

Retractable Technologies (NYSE:RVP – Get Rating) and ClearPoint Neuro (NASDAQ:CLPT – Get Rating) are both small-cap medical companies, but which is the better stock? We will compare the two companies based on the strength of their profitability, analyst recommendations, valuation, institutional ownership, dividends, earnings and risk.

Analyst Ratings

This is a breakdown of current ratings and target prices for Retractable Technologies and ClearPoint Neuro, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Retractable Technologies	0	0	0	0	N/A
ClearPoint Neuro	0	0	1	0	3.00

ClearPoint Neuro has a consensus price target of $14.00, indicating a potential upside of 85.68%. Given ClearPoint Neuro’s higher possible upside, analysts clearly believe ClearPoint Neuro is more favorable than Retractable Technologies.

Risk and Volatility

Retractable Technologies has a beta of 2.15, suggesting that its share price is 115% more volatile than the S&P 500. Comparatively, ClearPoint Neuro has a beta of 1.14, suggesting that its share price is 14% more volatile than the S&P 500.

Insider and Institutional Ownership

9.5% of Retractable Technologies shares are owned by institutional investors. Comparatively, 15.1% of ClearPoint Neuro shares are owned by institutional investors. 49.5% of Retractable Technologies shares are owned by insiders. Comparatively, 4.9% of ClearPoint Neuro shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares Retractable Technologies and ClearPoint Neuro’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Retractable Technologies	21.39%	32.16%	16.50%
ClearPoint Neuro	-79.97%	-39.77%	-27.95%

Valuation & Earnings

This table compares Retractable Technologies and ClearPoint Neuro’s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Retractable Technologies	$188.38 million	0.29	$56.06 million	$0.88	1.90
ClearPoint Neuro	$20.55 million	9.03	-$16.43 million	($0.68)	-11.09

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

Summary

Retractable Technologies beats ClearPoint Neuro on 9 of the 13 factors compared between the two stocks.

About Retractable Technologies

(Get Rating)

Retractable Technologies, Inc. engages in the manufacture and market of safety needle devices for the healthcare industry. It offers injection devices, blood collection devices, and infusion devices. The company was founded by Thomas J. Shaw on May 9, 1994 and is headquartered in Little Elm, TX.

About ClearPoint Neuro

(Get Rating)

Clearpoint Neuro, Inc. engages in the development and commercialization of platforms for performing minimally invasive surgical procedures in the brain and heart. The firm conducts its procedures under direct, intra-procedural magnetic resonance imaging guidance. Its product platform consists of the ClearPoint system and ClearTrace system. The company was founded by Paul A. Bottomley on March 12, 1998 and is headquartered in Solana Beach, CA.