Comparing Elekta (OTCMKTS:EKTAY) & Lifeward (NASDAQ:LFWD)

Lifeward (NASDAQ:LFWD) and Elekta (OTCMKTS:EKTAY) are both small-cap healthcare companies, but which is the superior stock? We will contrast the two businesses based on the strength of their dividends, risk, institutional ownership, earnings, profitability, valuation and analyst recommendations.

Analyst Ratings

This is a breakdown of current ratings and price targets for Lifeward and Elekta, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Lifeward	1	1	2	0	2.25
Elekta	0	1	0	0	2.00

Lifeward presently has a consensus price target of $10.00, suggesting a potential upside of 44.51%. Given Lifeward’s stronger consensus rating and higher possible upside, analysts clearly believe Lifeward is more favorable than Elekta.

Valuation & Earnings

This table compares Lifeward and Elekta”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Lifeward	$22.03 million	0.89	-$19.91 million	($16.82)	-0.41
Elekta	$1.78 billion	1.07	-$55.38 million	($0.12)	-43.08

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

Profitability

This table compares Lifeward and Elekta’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Lifeward	-141.28%	-235.86%	-81.72%
Elekta	-2.38%	13.31%	3.80%

Volatility and Risk

Lifeward has a beta of 0.39, indicating that its stock price is 61% less volatile than the S&P 500. Comparatively, Elekta has a beta of 1.05, indicating that its stock price is 5% more volatile than the S&P 500.

Institutional and Insider Ownership

26.8% of Lifeward shares are owned by institutional investors. 1.5% of Lifeward shares are owned by company insiders. Comparatively, 41.3% of Elekta shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Summary

Elekta beats Lifeward on 8 of the 14 factors compared between the two stocks.

About Lifeward

ReWalk Robotics Ltd., a medical device company, designs, develops, and commercializes technologies that enable mobility and wellness in rehabilitation and daily life for individuals with physical and neurological conditions in the United States, Europe, the Asia-Pacific, and internationally. It offers ReWalk personal exoskeleton and rehabilitation exoskeleton devices; ReStore, a soft exo-suit intended for use in the rehabilitation of individuals with lower limb disability due to stroke; AlterG Anti-Gravity System for use in physical and neurological rehabilitation and athletic training; MyoCycle devices; and ReBoot, a personal soft exo-suit for home and community use by individuals post-stroke. The company markets and sells its products directly to institutions and individuals, as well as through third-party distributors. The company was formerly known as Argo Medical Technologies Ltd. ReWalk Robotics Ltd. was incorporated in 2001 and is headquartered in Yokneam Illit, Israel.

About Elekta

Elekta AB (publ), a medical technology company, provides clinical solutions for treating cancer and brain disorders worldwide. The company offers Versa HD, a brain metastases solution; Elekta Unity for real-time MR visualization; Elekta Harmony, a linear accelerator; Elekta Infinity for treating a range of patients with simple-to-complex radiotherapy needs; Elekta Synergy, a digital accelerator for image guided radiation therapy; treatment and workflow management solutions; radiation and medical oncology; and other patient services. It also provides Elekta Studio, an image guided brachytherapy solution; ImagingRing, a mobile CT scanner; Oncentra Brachy, a smart tool that facilitate repetitive tasks; Venezia applicator that enables the oncologist to treat locally advanced cervical cancer; Elekta Flexitron afterloader for enabling the precise execution of all steps in the workflow; Geneva, an applicator for cervical cancer treatment; veterinary radiation therapy products; and Elekta Kaiku for personalized cancer care. In addition, the company offers stereotactic radiosurgery, such as Leksell Gamma Knife Icon for personalized radiation treatment; Leksell Gamma Knife Perfexion, a tool for radiosurgeons; and Elekta Esprit. Further, it provides neurosurgery products comprising Leksell Vantage Stereotactic System for intracranial neurosurgery; and Leksell Stereotactic System for minimally invasive stereotactic neurosurgery. The company was incorporated in 1972 and is headquartered in Stockholm, Sweden.