Head-To-Head Review: ERBA Diagnostics (OTCMKTS:ERBA) and CVRx (NASDAQ:CVRX)

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

Analyst Ratings

This is a summary of recent recommendations and price targets for CVRx and ERBA Diagnostics, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CVRx	1	0	5	1	2.86
ERBA Diagnostics	0	0	0	0	0.00

CVRx presently has a consensus target price of $14.00, suggesting a potential upside of 85.43%. Given CVRx’s stronger consensus rating and higher probable upside, equities analysts plainly believe CVRx is more favorable than ERBA Diagnostics.

Insider and Institutional Ownership

75.3% of CVRx shares are owned by institutional investors. 18.9% of CVRx shares are owned by insiders. Comparatively, 88.1% of ERBA Diagnostics shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
CVRx	-95.61%	-79.31%	-40.96%
ERBA Diagnostics	N/A	N/A	N/A

Earnings & Valuation

This table compares CVRx and ERBA Diagnostics”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CVRx	$51.29 million	3.85	-$59.97 million	($2.10)	-3.60
ERBA Diagnostics	N/A	N/A	N/A	N/A	N/A

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

Summary

CVRx beats ERBA Diagnostics on 6 of the 10 factors compared between the two stocks.

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.

About ERBA Diagnostics

ERBA Diagnostics, Inc., through its subsidiaries, develops, manufactures, and markets diagnostic test kits or assays, and automated systems that are used to aid in the detection of disease markers primarily in the areas of autoimmune, infectious diseases, clinical chemistry, hematology, and diabetes testing. It manufactures scientific and laboratory instruments, such as Mago 4, Mago 4S, and Mago Plus systems, which perform tests in an automated mode; sells other diagnostic products manufactured by third parties in Italy; and develops, manufactures, and markets raw materials, such as antigens that are used in the production of diagnostic kits. The company also develops, manufactures, and markets autoimmune reagents and research products for use by research laboratories and commercial diagnostic manufacturers. In addition, the company provides instruments for blood cell counting and blood analysis; supplies reagents and other consumable materials; sells diabetic testing products, including the DS5 instrument, dispenser, and associated reagent kits, which measure long-term glucose control in diabetic patients; and offers equipment for use in the field of human and veterinary hematology. Further, it manufactures and sells liquid stable, diagnostics chemistry reagents used for in vitro diagnostics testing. The company markets its products through its sales force to hospitals, reference laboratories, clinical laboratories, and research laboratories, as well as to other commercial companies that manufacture diagnostic products in the United States; and through sales representatives and independent agents in Italy, as well as through independent distributors internationally. The company was founded in 1980 and is headquartered in Miami Lakes, Florida. ERBA Diagnostics, Inc. is a subsidiary of ERBA Diagnostics Mannheim GmbH.