Zhongchao (NASDAQ:ZCMD) & Augmedix (OTCMKTS:AUGX) Critical Contrast

Zhongchao (NASDAQ:ZCMD) and Augmedix (OTCMKTS:AUGX) are both small-cap medical companies, but which is the better business? We will contrast the two businesses based on the strength of their risk, valuation, dividends, institutional ownership, analyst recommendations, earnings and profitability.

Valuation and Earnings

This table compares Zhongchao and Augmedix’s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Zhongchao	$17.23 million	0.15	-$2.94 million	N/A	N/A
Augmedix	$44.86 million	3.46	-$24.45 million	($0.45)	-7.07

Zhongchao has higher earnings, but lower revenue than Augmedix.

Profitability

This table compares Zhongchao and Augmedix’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Zhongchao	N/A	N/A	N/A
Augmedix	-57.70%	-980.09%	-57.85%

Risk & Volatility

Zhongchao has a beta of 0.31, suggesting that its stock price is 69% less volatile than the S&P 500. Comparatively, Augmedix has a beta of -0.16, suggesting that its stock price is 116% less volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent ratings and target prices for Zhongchao and Augmedix, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Zhongchao	0	0	0	0	N/A
Augmedix	0	0	3	0	3.00

Augmedix has a consensus target price of $6.83, indicating a potential upside of 114.88%. Given Augmedix’s higher probable upside, analysts clearly believe Augmedix is more favorable than Zhongchao.

Institutional & Insider Ownership

1.7% of Zhongchao shares are held by institutional investors. Comparatively, 87.1% of Augmedix shares are held by institutional investors. 28.6% of Zhongchao shares are held by company insiders. Comparatively, 11.0% of Augmedix shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Summary

Zhongchao beats Augmedix on 6 of the 11 factors compared between the two stocks.

About Zhongchao

Zhongchao Inc. provides healthcare information, education, and training services in the People's Republic of China. The company offers online and onsite health information services, healthcare education programs, and healthcare training products, including clinical practice training, open classes of popular medical topics, interactive case studies, academic conference and workshops, continuing education courses, and articles and short videos with educational healthcare content. It also provides customized medical courses and medical training services; and patient management services through online platform under the Zhongxun brand. The company operates through its mdmooc.org online platform under the MDMOOC brand; and Sunshine Health Forums, a Wechat subscription account and mobile app. It serves enterprises, non-for-profit organizations, and medical journals, as well as healthcare professionals, nurses, doctors, and other healthcare workers. The company was founded in 2012 and is headquartered in Shanghai, China.

About Augmedix

Augmedix, Inc. provides remote medical documentation solutions and live clinical support services in the United States. Its platform offers Augmedix Live that provides synchronous medical note documentation and point of care support; Augmedix Go Assist that offers asynchronous medical documentation based upon previously recorded visits; Augmedix Prep that provides patient demographics, past medical history, medication changes and other points from the patient's health record; and Augmedix Go, an autonomous, ambient AI mobile software application that offers fully automated medical documentation based upon recorded visits. The company enables clinicians to access its applications through mobile devices, such as smartphones. It serves health systems and specialty groups. The company was founded in 2013 and is headquartered in San Francisco, California.