Head-To-Head Analysis: DarioHealth (NASDAQ:DRIO) & Intuitive Surgical (NASDAQ:ISRG)

DarioHealth (NASDAQ:DRIO) and Intuitive Surgical (NASDAQ:ISRG) are both medical companies, but which is the better stock? We will contrast the two companies based on the strength of their institutional ownership, analyst recommendations, risk, profitability, valuation, earnings and dividends.

Risk and Volatility

DarioHealth has a beta of 1.28, suggesting that its share price is 28% more volatile than the S&P 500. Comparatively, Intuitive Surgical has a beta of 1.68, suggesting that its share price is 68% more volatile than the S&P 500.

Institutional and Insider Ownership

33.4% of DarioHealth shares are owned by institutional investors. Comparatively, 83.6% of Intuitive Surgical shares are owned by institutional investors. 3.5% of DarioHealth shares are owned by company insiders. Comparatively, 0.6% of Intuitive Surgical shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Valuation & Earnings

This table compares DarioHealth and Intuitive Surgical”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
DarioHealth	$22.36 million	2.30	-$41.71 million	($10.43)	-0.67
Intuitive Surgical	$10.06 billion	16.16	$2.86 billion	$7.89	58.06

Intuitive Surgical has higher revenue and earnings than DarioHealth. DarioHealth is trading at a lower price-to-earnings ratio than Intuitive Surgical, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a breakdown of recent ratings and price targets for DarioHealth and Intuitive Surgical, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
DarioHealth	1	1	2	0	2.25
Intuitive Surgical	1	7	16	1	2.68

DarioHealth presently has a consensus target price of $35.00, indicating a potential upside of 397.87%. Intuitive Surgical has a consensus target price of $598.36, indicating a potential upside of 30.62%. Given DarioHealth’s higher possible upside, equities research analysts plainly believe DarioHealth is more favorable than Intuitive Surgical.

Profitability

This table compares DarioHealth and Intuitive Surgical’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
DarioHealth	-186.57%	-59.48%	-36.94%
Intuitive Surgical	28.38%	15.06%	13.34%

Summary

Intuitive Surgical beats DarioHealth on 13 of the 15 factors compared between the two stocks.

About DarioHealth

DarioHealth Corp. operates as a digital health company in the United States, Canada, the European Union, Australia, and New Zealand. Its digital therapeutics platform and suite of solutions deliver personalized and dynamic interventions driven by data analytics and one-on-one coaching for diabetes, hypertension, weight management, musculoskeletal pain, and behavioral health. The company offers Dario Evolve, a metabolic solution to address metabolic health needs, such as diabetes, pre-diabetes, hypertension, and weight management; Dario Move, which address most common musculoskeletal conditions; Dario Elevate, a behavioral health solution that optimizes access to evidence-based care; and Dario One, a full suite of chronic condition management solution; and Dario blood glucose monitoring systems. It also provides native devices, such as glucose meter, blood pressure cuff, digital scale, and biofeedback sensor device, as well as live coaching services. The company was formerly known as LabStyle Innovations Corp. and changed its name to DarioHealth Corp. in July 2016. DarioHealth Corp. was incorporated in 2011 and is based in New York, New York.

About Intuitive Surgical

Intuitive Surgical, Inc. develops, manufactures, and markets products that enable physicians and healthcare providers to enhance the quality of and access to minimally invasive care in the United States and internationally. The company offers the da Vinci Surgical System that enables complex surgery using a minimally invasive approach; and Ion endoluminal system, which extends its commercial offerings beyond surgery into diagnostic procedures enabling minimally invasive biopsies in the lung. It also provides a suite of stapling, energy, and core instrumentation for its multi-port da Vinci surgical systems; progressive learning pathways to support the use of its technology; infrastructure of service and support specialists, a complement of services to its customers, including installation, repair, maintenance, 24/7 technical support, and proactive system health monitoring; and integrated digital capabilities providing connected offerings, streamlining performance for hospitals with program-enhancing insights. The company sells its products through direct sales organizations, such as capital and clinical sales teams. It has a collaboration agreement with FluoGuide A/S for head & neck cancer. The company was incorporated in 1995 and is headquartered in Sunnyvale, California.