Analyzing Hypertension Diagnostics (OTCMKTS:HDII) and CVRx (NASDAQ:CVRX)

Hypertension Diagnostics (OTCMKTS:HDII) and CVRx (NASDAQ:CVRX) are both medical companies, but which is the better investment? We will contrast the two companies based on the strength of their earnings, institutional ownership, profitability, analyst recommendations, risk, dividends and valuation.

Analyst Recommendations

This is a summary of current ratings for Hypertension Diagnostics and CVRx, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Hypertension Diagnostics	0	0	0	0	0.00
CVRx	1	0	1	2	3.00

CVRx has a consensus target price of $11.50, suggesting a potential upside of 123.30%. Given CVRx’s stronger consensus rating and higher probable upside, analysts plainly believe CVRx is more favorable than Hypertension Diagnostics.

Insider and Institutional Ownership

75.3% of CVRx shares are held by institutional investors. 40.0% of Hypertension Diagnostics shares are held by insiders. Comparatively, 18.9% of CVRx shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Volatility & Risk

Hypertension Diagnostics has a beta of -0.2, indicating that its stock price is 120% less volatile than the S&P 500. Comparatively, CVRx has a beta of 0.8, indicating that its stock price is 20% less volatile than the S&P 500.

Profitability

This table compares Hypertension Diagnostics and CVRx’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Hypertension Diagnostics	N/A	N/A	N/A
CVRx	-89.14%	-120.76%	-48.38%

Valuation & Earnings

This table compares Hypertension Diagnostics and CVRx”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Hypertension Diagnostics	N/A	N/A	N/A	N/A	N/A
CVRx	$56.65 million	2.41	-$53.31 million	($2.02)	-2.55

Hypertension Diagnostics has higher earnings, but lower revenue than CVRx.

Summary

CVRx beats Hypertension Diagnostics on 7 of the 11 factors compared between the two stocks.

About Hypertension Diagnostics

Hypertension Diagnostics, Inc. designs, develops, manufactures, and markets proprietary noninvasive medical devices that detect subtle changes in the elasticity of arteries in the United States and internationally. It offers CVProfilor, which allows a physician to non-invasively assess the elasticity of small and large arteries, of which small artery elasticity is the earliest and sensitive marker of cardiovascular disease. The company offers CVProfilor DO-2020, which provides a patient's arterial elasticity indices used in the assessment for underlying vascular disease; CVProfilor MD-3000 that offers a sensitive and specific guide to the presence of blood vessel disease; and HD/PulseWave CR-2000 research cardiovascular profiling system, which provides researchers and scientists with a non-invasive means to assess arterial elasticity in support of human research in various areas. Its products collect 30 seconds of blood pressure waveform data, perform an analysis of the digitized blood pressure waveforms, and generate a CVProfile report that contains information on blood pressure, heart rate, pulse pressure, body surface area, body mass index, and C1-large and C2-small artery elasticity indices. The company sells its products to primary care physicians, cardiologists, health care professionals, trained medical personnel, research investigators at academic medical research centers, government institutes, cardiovascular specialists, and pharmaceutical firms. It markets its products through a representative organization in the United States. Hypertension Diagnostics, Inc. was founded in 1988 and is based in Richmond Hill, Canada.

About CVRx

CVRx, Inc., a commercial-stage medical device company, focuses on developing, manufacturing, and commercializing neuromodulation solutions for patients with cardiovascular diseases. The company offers Barostim, a neuromodulation device indicated to improve symptoms for patients with heart failure with reduced ejection fraction or systolic heart failure. It sells its products through direct sales force, as well as sales agents and independent distributors in the United States, Germany, and internationally. The company was incorporated in 2000 and is headquartered in Minneapolis, Minnesota.