Head to Head Comparison: Profound Medical (NASDAQ:PROF) and Minerva Surgical (NASDAQ:UTRS)

Profound Medical (NASDAQ:PROF) and Minerva Surgical (NASDAQ:UTRS) are both small-cap medical companies, but which is the superior investment? We will compare the two businesses based on the strength of their analyst recommendations, institutional ownership, profitability, earnings, dividends, risk and valuation.

Volatility & Risk

Profound Medical has a beta of 0.82, indicating that its stock price is 18% less volatile than the S&P 500. Comparatively, Minerva Surgical has a beta of 0.56, indicating that its stock price is 44% less volatile than the S&P 500.

Profitability

This table compares Profound Medical and Minerva Surgical’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Profound Medical	-396.85%	-70.18%	-53.80%
Minerva Surgical	-64.71%	-136.40%	-43.70%

Earnings & Valuation

This table compares Profound Medical and Minerva Surgical’s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Profound Medical	$7.20 million	28.94	-$28.57 million	($1.35)	-6.32
Minerva Surgical	$51.69 million	0.11	-$34.11 million	($8.21)	-0.08

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

Analyst Recommendations

This is a breakdown of recent ratings for Profound Medical and Minerva Surgical, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Profound Medical	0	1	1	1	3.00
Minerva Surgical	0	0	0	0	N/A

Profound Medical presently has a consensus price target of $14.58, suggesting a potential upside of 70.97%. Minerva Surgical has a consensus price target of $20.00, suggesting a potential upside of 3,049.76%. Given Minerva Surgical’s higher probable upside, analysts plainly believe Minerva Surgical is more favorable than Profound Medical.

Institutional and Insider Ownership

47.9% of Profound Medical shares are held by institutional investors. 1.5% of Profound Medical shares are held by company insiders. Comparatively, 8.5% of Minerva Surgical shares are held by company 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.

Summary

Profound Medical beats Minerva Surgical on 8 of the 13 factors compared between the two stocks.

About Profound Medical

Profound Medical Corp., together with its subsidiaries, operates as a commercial-stage medical device company that develops and markets incision-free therapeutic systems for the image guided ablation of diseased tissue in Canada, Germany, the United States, and Finland. Its lead product TULSA-PRO system combines magnetic resonance imaging(MRI), robotically-driven transurethral sweeping action/thermal ultrasound and closed-loop temperature feedback control to provide precise, flexible, and durable ablation of a surgeon defined region of prostate and protect the urethra and rectum. The company also offers Sonalleve, which combines real-time MRI and thermometry for the treatment of uterine fibroids, adenomyotic tissue, palliative pain treatment of bone metastases, osteoid osteoma, and management of benign tumors. Profound Medical Corp. is headquartered in Mississauga, Canada.

About Minerva Surgical

Minerva Surgical, Inc., a commercial-stage medical technology company, develops, manufactures, and commercializes minimally invasive solutions to meet the uterine healthcare needs of women in the United States. The company provides Minerva ES Endometrial Ablation System and Genesys HTA Endometrial Ablation System, which are endometrial ablation devices; Symphion Tissue Removal System, a minimally invasive uterine tissue removal system to combine bladeless tissue resection and coagulation, continuous visualization, and intrauterine pressure monitoring; and Resectr Tissue Resection Device, a handheld surgical instrument to enable the hysteroscopic removal and diagnosis of endometrial polyps. Its devices are utilized by obstetrician-gynecologists in various medical treatment settings, including hospitals, ambulatory surgical centers, and physician offices. The company was incorporated in 2008 and is headquartered in Santa Clara, California.