Contrasting Henry Schein (NASDAQ:HSIC) & Avitar (OTCMKTS:AVTI)

Henry Schein (NASDAQ:HSIC) and Avitar (OTCMKTS:AVTI) are both medical companies, but which is the better stock? We will compare the two businesses based on the strength of their risk, dividends, valuation, analyst recommendations, earnings, profitability and institutional ownership.

Profitability

This table compares Henry Schein and Avitar’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Henry Schein	3.02%	15.16%	5.54%
Avitar	N/A	N/A	N/A

Valuation and Earnings

This table compares Henry Schein and Avitar”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Henry Schein	$13.18 billion	0.68	$398.00 million	$3.27	23.92
Avitar	N/A	N/A	N/A	N/A	N/A

Henry Schein has higher revenue and earnings than Avitar.

Volatility & Risk

Henry Schein has a beta of 0.88, indicating that its stock price is 12% less volatile than the S&P 500. Comparatively, Avitar has a beta of 0.08, indicating that its stock price is 92% less volatile than the S&P 500.

Institutional & Insider Ownership

96.6% of Henry Schein shares are owned by institutional investors. 1.1% of Henry Schein shares are owned by insiders. Comparatively, 7.4% of Avitar shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Analyst Recommendations

This is a summary of recent ratings for Henry Schein and Avitar, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Henry Schein	1	7	7	0	2.40
Avitar	0	0	0	0	0.00

Henry Schein currently has a consensus target price of $86.69, suggesting a potential upside of 10.83%. Given Henry Schein’s stronger consensus rating and higher probable upside, research analysts clearly believe Henry Schein is more favorable than Avitar.

Summary

Henry Schein beats Avitar on 9 of the 10 factors compared between the two stocks.

About Henry Schein

Henry Schein, Inc. provides health care products and services to dental practitioners, laboratories, physician practices, and ambulatory surgery centers, government, institutional health care clinics, and other alternate care clinics worldwide. It operates through two segments, Health Care Distribution, and Technology and Value-Added Services. The Health Care Distribution segment offers dental products, including infection-control products, handpieces, preventatives, impression materials, composites, anesthetics, teeth, dental implants, gypsum, acrylics, articulators, abrasives, dental chairs, delivery units and lights, X-ray supplies and equipment, personal protective equipment, and high-tech and digital restoration equipment, as well as equipment repair services. This segment also provides medical products, such as branded and generic pharmaceuticals, vaccines, surgical products, diagnostic tests, infection-control products, X-ray products, equipment, and vitamins. The Technology and Value-Added Services segment offers software, technology, and other value-added services that include practice management software systems for dental and medical practitioners; and value-added practice solutions comprising practice consultancy, education, revenue cycle management and financial services, e-services, practice technology, and network and hardware services, as well as consulting, and continuing education services. Henry Schein, Inc. was founded in 1932 and is headquartered in Melville, New York.

About Avitar

Avitar, Inc. is a holding company which through its subsidiaries designs, develops, manufactures, and markets diagnostic test products and proprietary hydrophilic polyurethane foam disposables for medical, diagnostics, dental, and consumer applications in the United States. It offers ORALscreen 4 and ORALscreen DRUGOMETER, the oral fluid-based onsite assay systems, for detecting drugs of abuse, such as opiates, including heroin, morphine, codeine, and synthetic opiates comprising oxycocone-oxycontin, percoset, and hydrocodone-vicodin; cocaine such as crack; marijuana; and methamphetamines, including meth and ecstasy. The company also provides foam disposable products including medical-grade hydrophilic polyurethane foam disposables such as wound dressings comprising Hydrasorb, a wound dressing product for exudating wounds; and various custom foam products comprising a sinus dressing and a device used by astronauts for relieving ear pressure while in a pressurized space suit. In addition, it develops specialty wound dressings for the cardiac catheter lab market, as well as the Illizarov Dressing used for dressing external bone fixators in orthopedic procedures. The company markets its products and services to employers, diagnostic test distributors, medical supply companies, governmental agencies, schools, and corporations through direct sales force and strategic partners, as well as through a network of distributors. Avitar, Inc. was founded in 1986 and is based in Canton, Massachusetts with Additional office in Calgary, Canada.