Analyzing Shandong Weigao Medical Polymer (OTCMKTS:SHWGF) and Aurora Cannabis (NASDAQ:ACB)

Shandong Weigao Medical Polymer (OTCMKTS:SHWGF) and Aurora Cannabis (NASDAQ:ACB) are both small-cap medical companies, but which is the better investment? We will contrast the two companies based on the strength of their risk, earnings, analyst recommendations, institutional ownership, valuation, dividends and profitability.

Profitability

This table compares Shandong Weigao Medical Polymer and Aurora Cannabis’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Shandong Weigao Medical Polymer	N/A	N/A	N/A
Aurora Cannabis	-33.57%	0.10%	0.07%

Valuation and Earnings

This table compares Shandong Weigao Medical Polymer and Aurora Cannabis”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Shandong Weigao Medical Polymer	$1.82 billion	1.07	$314.90 million	N/A	N/A
Aurora Cannabis	$247.82 million	0.70	-$88.13 million	($1.56)	-1.81

Shandong Weigao Medical Polymer has higher revenue and earnings than Aurora Cannabis.

Analyst Recommendations

This is a summary of current ratings and recommmendations for Shandong Weigao Medical Polymer and Aurora Cannabis, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Shandong Weigao Medical Polymer	0	1	0	0	2.00
Aurora Cannabis	1	1	1	0	2.00

Institutional & Insider Ownership

47.6% of Aurora Cannabis shares are held by institutional investors. 0.0% of Aurora Cannabis shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Volatility & Risk

Shandong Weigao Medical Polymer has a beta of -0.24, suggesting that its stock price is 124% less volatile than the S&P 500. Comparatively, Aurora Cannabis has a beta of 0.53, suggesting that its stock price is 47% less volatile than the S&P 500.

Summary

Aurora Cannabis beats Shandong Weigao Medical Polymer on 6 of the 10 factors compared between the two stocks.

About Shandong Weigao Medical Polymer

Shandong Weigao Group Medical Polymer Company Limited engages in the research and development, production, wholesale, and sale of medical devices in the People’s Republic of China. It operates through Medical Device Products, Orthopaedic Products, Interventional Products, Pharma Packaging Products, Blood Management Products, and Others segments. The company offers single use medical consumables and materials, including infusion sets, syringes, blood bags and blood component segregators consumable, blood sampling products, prefilled syringes for pre-pack medication and medical needles which mainly include intravenous needles, syringe needles, intravenous catheter needles, blood sampling needles and irregular needles; orthopedic materials and instruments, including trauma products of steel plates and screws, spinal implants, and artificial joints; and blood purification consumables and equipment, including puncture needles, extracorporeal blood circuit for blood purification sets, dialyzers and related consumables. It also provides tumour and blood vessel interventional instruments; flushing syringes; blood collection, irradiation, storage, separation and sterilization products; implantation materials and artificial organs; medical PVC granules, plastic packing bags, and carton boxes; medical polymer materials and products; injection puncture Instruments; medicines; and X-ray based irradiation machines. In addition, it is involved in the finance leasing and factoring business; provision of enterprise management advisory services, logistics and storage, and computer technical services; and sale of electronic products. The company was incorporated in 2000 and is based in Weihai, the People’s Republic of China.

About Aurora Cannabis

Aurora Cannabis Inc., together with its subsidiaries, produces, distributes, and sells cannabis and cannabis-derivative products in Canada and internationally. It operates through three segments: Canadian Cannabis, European Cannabis, and Plant Propagation. The company produces, distributes, and sells medical and consumer cannabis products in Canada. It is also involved in the distribution of wholesale medical cannabis in the European Union (EU); distribution of wholesale medical cannabis in various international markets, including Australia, the Caribbean, South America, and Israel; supply of propagated vegetables and ornamental plants in North America; and distribution and sale of hemp-derived cannabidiol (CBD) products. In addition, the company cultivates and sells dried cannabis, cannabis oils, capsules, edible cannabis, cannabis extracts, and soft gels, which are ingested in various ways, including smoking, vaporizing, and consumption in the form of oil, capsules, edibles, and extracts; and provides dried flowers, vapes, dried milled strains, strain-specific extracts, strain specific cannabis oils, and concentrates. Further, it offers recreational cannabis products, such as flowers, vapes, ingestibles, concentrates, extracts, and CBD products; and patient counseling and outreach services. The company's adult-use brand portfolio includes Aurora Drift, San Rafael '71, Daily Special, Whistler, Being, and Greybeard, as well as CBD brands, Reliva and KG7; and medical cannabis brands include MedReleaf, CanniMed, Aurora, Whistler Medical Marijuana Co, Pedanios, Bidiol, and CraftPlant. Aurora Cannabis Inc. is headquartered in Edmonton, Canada.