OPKO Health (NASDAQ:OPK – Get Free Report) and OrthoPediatrics (NASDAQ:KIDS – Get Free Report) are both small-cap medical companies, but which is the better stock? We will contrast the two businesses based on the strength of their dividends, profitability, risk, analyst recommendations, valuation, earnings and institutional ownership.
Volatility and Risk
OPKO Health has a beta of 1.49, meaning that its share price is 49% more volatile than the S&P 500. Comparatively, OrthoPediatrics has a beta of 1.16, meaning that its share price is 16% more volatile than the S&P 500.
Valuation & Earnings
This table compares OPKO Health and OrthoPediatrics”s gross revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| OPKO Health | $606.90 million | 1.41 | -$225.68 million | ($0.30) | -3.78 |
| OrthoPediatrics | $236.35 million | 1.64 | -$39.65 million | ($1.69) | -8.93 |
OrthoPediatrics has lower revenue, but higher earnings than OPKO Health. OrthoPediatrics is trading at a lower price-to-earnings ratio than OPKO Health, indicating that it is currently the more affordable of the two stocks.
Profitability
This table compares OPKO Health and OrthoPediatrics’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| OPKO Health | -36.63% | -16.78% | -10.98% |
| OrthoPediatrics | -16.77% | -6.70% | -4.74% |
Institutional and Insider Ownership
64.6% of OPKO Health shares are held by institutional investors. Comparatively, 69.1% of OrthoPediatrics shares are held by institutional investors. 49.7% of OPKO Health shares are held by company insiders. Comparatively, 32.7% of OrthoPediatrics shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.
Analyst Ratings
This is a breakdown of current ratings for OPKO Health and OrthoPediatrics, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| OPKO Health | 1 | 4 | 0 | 1 | 2.17 |
| OrthoPediatrics | 1 | 1 | 8 | 1 | 2.82 |
OPKO Health currently has a consensus price target of $1.55, suggesting a potential upside of 36.56%. OrthoPediatrics has a consensus price target of $24.78, suggesting a potential upside of 64.20%. Given OrthoPediatrics’ stronger consensus rating and higher probable upside, analysts plainly believe OrthoPediatrics is more favorable than OPKO Health.
Summary
OrthoPediatrics beats OPKO Health on 9 of the 14 factors compared between the two stocks.
About OPKO Health
OPKO Health, Inc., a healthcare company, engages in the diagnostics and pharmaceuticals businesses in the United States, Ireland, Chile, Spain, Israel, Mexico, and internationally. The company's Diagnostics segment operates BioReference Laboratories that offers laboratory testing services for the detection, diagnosis, evaluation, monitoring, and treatment of diseases, including esoteric testing, molecular diagnostics, anatomical pathology, genetics, women's health, and correctional healthcare to physician offices, clinics, hospitals, employers, and governmental units; and 4Kscore prostate cancer test. Its Pharmaceutical segment offers Rayaldee to treat secondary hyperparathyroidism in adults with stage 3 or 4 chronic kidney disease, and vitamin D insufficiency. This segment also develops multi-specific immune therapies focused on oncology, infectious diseases, vaccines, and immunology; OPK88004, an orally administered selective androgen receptor modulator; OPK88003, a once-weekly administered peptide for the treatment of type 2 diabetes and related obesity; Somatrogon (hGH-CTP), a once-weekly human growth hormone injection; and Factor VIIa-CTP, a novel long-acting coagulation factor being developed to treat hemophilia. In addition, it develops and commercializes longer-acting proprietary versions of already approved therapeutic proteins; develops and produces specialty APIs; develops, manufactures, markets, and sells pharmaceutical, nutraceutical, veterinary, and ophthalmic products; commercializes food supplements and over the counter products; manufactures and sells products primarily in the generics market; and markets, distributes, and sells pharmaceutical products in a range of indications, including cardiovascular products, vaccines, antibiotics, gastro-intestinal products, hormones, and others. The company also operates pharmaceutical platforms in Ireland, Chile, Spain, and Mexico. The company was founded in 1991 and is headquartered in Miami, Florida.
About OrthoPediatrics
OrthoPediatrics Corp., a medical device company, engages in designing, developing, and marketing anatomically appropriate implants, instruments, and specialized braces for children with orthopedic conditions in the United States and internationally. The company offers pediatric trauma and deformity correction products; scoliosis procedures for the treatment of spinal deformity; and sports medicine and other products. Its products comprise PediLoc, PediPlates, cannulated screws, PediFlex nail, PediNail, PediLoc Tibia, ACL Reconstruction System, Locking Cannulated Blade, Locking Proximal Femur, Spica Tables, RESPONSE Spine, BandLoc, Pediguard, Pediatric Nailing Platform | Femur, Devise Rail, Orthex, The Fassier-Duval Telescopic Intramedullary System, SLIMTM Nail, The GAP Nail, The Free Gliding SCFE Screw System, GIROTM Growth Modulation System, PNP Tibia System, ApiFix Mid-C System, and Mitchell Ponseti. The company serves pediatric orthopedic market, as well as pediatric orthopedic surgeons and caregivers. OrthoPediatrics Corp. was founded in 2006 and is headquartered in Warsaw, Indiana.
Receive News & Ratings for OPKO Health Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for OPKO Health and related companies with MarketBeat.com's FREE daily email newsletter.
