Analyzing Joint (NASDAQ:JYNT) and Guardant Health (NASDAQ:GH)

Joint (NASDAQ:JYNT) and Guardant Health (NASDAQ:GH) are both healthcare companies, but which is the better business? We will compare the two businesses based on the strength of their profitability, valuation, institutional ownership, dividends, risk, analyst recommendations and earnings.

Profitability

This table compares Joint and Guardant Health’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Joint	6.49%	12.02%	3.47%
Guardant Health	-38.33%	N/A	-25.40%

Risk & Volatility

Joint has a beta of 1.05, meaning that its stock price is 5% more volatile than the S&P 500. Comparatively, Guardant Health has a beta of 1.57, meaning that its stock price is 57% more volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for Joint and Guardant Health, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Joint	1	2	0	0	1.67
Guardant Health	1	0	24	1	2.96

Guardant Health has a consensus price target of $188.12, suggesting a potential upside of 4.88%. Given Guardant Health’s stronger consensus rating and higher possible upside, analysts plainly believe Guardant Health is more favorable than Joint.

Institutional and Insider Ownership

76.9% of Joint shares are owned by institutional investors. Comparatively, 92.6% of Guardant Health shares are owned by institutional investors. 30.2% of Joint shares are owned by insiders. Comparatively, 5.6% of Guardant Health shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Earnings & Valuation

This table compares Joint and Guardant Health”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Joint	$54.90 million	2.17	$2.91 million	$0.27	31.26
Guardant Health	$982.02 million	24.51	-$416.28 million	($3.49)	-51.40

Joint has higher earnings, but lower revenue than Guardant Health. Guardant Health is trading at a lower price-to-earnings ratio than Joint, indicating that it is currently the more affordable of the two stocks.

Summary

Guardant Health beats Joint on 8 of the 15 factors compared between the two stocks.

About Joint

The Joint Corp. operates and franchises chiropractic clinics in the United States. The company operates in two segments, Corporate Clinics and Franchise Operations. The Joint Corp. was incorporated in 2010 and is headquartered in Scottsdale, Arizona.

About Guardant Health

Guardant Health, Inc., a precision oncology company, provides blood and tissue tests, data sets, and analytics in the United States and internationally. The company provides Guardant360; Guardant360 LDT; Guardant360 CDx Test; Guardant360 Response Test; Guardant360 TissueNext Test; GuardantINFINITY Test; GuardantConnect, an integrated software-based solution designed for clinical and biopharmaceutical customers to connect patients tested with assays with actionable alterations with potentially relevant clinical studies; GuardantOMNI Test for advanced stage cancer; and GuardantINFORM, an in-silico research platform for tumor evolution and treatment resistance across various biomarker-driven cancers. It offers Shield Test; Guardant Reveal Test for adjuvant treatment selection in early-stage cancer patients; Smart Liquid Biopsy Platform; and Guardant Galaxy, an AI-backed digital pathology platform that helps improve cancer biomarker detection. In addition, the company offers development services, including companion diagnostic development and regulatory approval, clinical study setup, monitoring and maintenance, testing development and support, technologies licensing, and kits fulfillment. The company has a collaboration agreement with Illumina, Inc. for the sharing of specimen samples to advance cancer research. The company was incorporated in 2011 and is headquartered in Palo Alto, California.