Head to Head Survey: High Tide (NASDAQ:HITI) vs. Zimmer Biomet (NYSE:ZBH)

High Tide (NASDAQ:HITI) and Zimmer Biomet (NYSE:ZBH) are both medical companies, but which is the superior business? We will contrast the two businesses based on the strength of their analyst recommendations, dividends, institutional ownership, earnings, profitability, valuation and risk.

Insider and Institutional Ownership

4.5% of High Tide shares are owned by institutional investors. Comparatively, 88.9% of Zimmer Biomet shares are owned by institutional investors. 12.4% of High Tide shares are owned by company insiders. Comparatively, 0.7% of Zimmer Biomet shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Profitability

This table compares High Tide and Zimmer Biomet’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
High Tide	-1.66%	-6.50%	-3.84%
Zimmer Biomet	10.51%	12.76%	7.21%

Risk and Volatility

High Tide has a beta of 0.56, suggesting that its share price is 44% less volatile than the S&P 500. Comparatively, Zimmer Biomet has a beta of 0.67, suggesting that its share price is 33% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of current ratings and price targets for High Tide and Zimmer Biomet, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
High Tide	1	0	2	1	2.75
Zimmer Biomet	2	9	8	1	2.40

High Tide presently has a consensus target price of $6.13, indicating a potential upside of 113.41%. Zimmer Biomet has a consensus target price of $109.00, indicating a potential upside of 20.64%. Given High Tide’s stronger consensus rating and higher probable upside, equities analysts clearly believe High Tide is more favorable than Zimmer Biomet.

Valuation & Earnings

This table compares High Tide and Zimmer Biomet”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
High Tide	$568.25 million	0.44	-$3.19 million	($0.08)	-35.88
Zimmer Biomet	$8.01 billion	2.24	$903.70 million	$4.04	22.37

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

Summary

Zimmer Biomet beats High Tide on 11 of the 14 factors compared between the two stocks.

About High Tide

High Tide Inc. engages in the cannabis retail business in Canada, the United States, and internationally. The company operates through Retail and Wholesale segments. It operates licensed retail cannabis stores; and provides data analytics services. In addition, the company manufactures and distributes consumption accessories. Further, it sells its products through online sales via e-commerce platform. The company offers its products under the Daily High Club, DankStop, FABCBD, GC, Nuleaf, Smoke Cartel, and Blessed CBD brands. The company was formerly known as High Tide Ventures Inc. and changed its name to High Tide Inc. in October 2018. High Tide Inc. was founded in 2009 and is headquartered in Calgary, Canada.

About Zimmer Biomet

Zimmer Biomet Holdings, Inc., together with its subsidiaries, operates as a medical technology company worldwide. The company designs, manufactures, and markets orthopedic reconstructive products, such as knee and hip products; S.E.T. products, including sports medicine, biologics, foot and ankle, extremities, and trauma products; craniomaxillofacial and thoracic products comprising face and skull reconstruction products, as well as products that fixate and stabilize the bones of the chest to facilitate healing or reconstruction after open heart surgery, trauma, or for deformities of the chest. It also offers robotic, surgical, and bone cement products. The company's products and solutions are used to treat patients suffering from disorders of, or injuries to, bones, joints, or supporting soft tissues. It serves orthopedic surgeons, neurosurgeons, hospitals, stocking distributors, healthcare dealers, and other specialists, as well as agents, healthcare purchasing organizations, or buying groups. The company was formerly known as Zimmer Holdings, Inc. and changed its name to Zimmer Biomet Holdings, Inc. in June 2015. Zimmer Biomet Holdings, Inc. was founded in 1927 and is headquartered in Warsaw, Indiana.