Financial Contrast: Revolutions Medical (OTCMKTS:RMCP) and Stryker (NYSE:SYK)

Stryker (NYSE:SYK) and Revolutions Medical (OTCMKTS:RMCP) are both medical companies, but which is the superior investment? We will contrast the two businesses based on the strength of their risk, valuation, institutional ownership, earnings, dividends, analyst recommendations and profitability.

Insider & Institutional Ownership

77.1% of Stryker shares are held by institutional investors. 5.9% of Stryker shares are held by insiders. Comparatively, 10.5% of Revolutions Medical shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Profitability

This table compares Stryker and Revolutions Medical’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Stryker	16.12%	22.89%	11.03%
Revolutions Medical	N/A	N/A	N/A

Valuation and Earnings

This table compares Stryker and Revolutions Medical”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Stryker	$21.39 billion	6.34	$3.17 billion	$8.76	40.62
Revolutions Medical	N/A	N/A	N/A	N/A	N/A

Stryker has higher revenue and earnings than Revolutions Medical.

Analyst Ratings

This is a summary of recent recommendations for Stryker and Revolutions Medical, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Stryker	0	4	15	0	2.79
Revolutions Medical	0	0	0	0	N/A

Stryker currently has a consensus price target of $379.37, indicating a potential upside of 6.62%. Given Stryker’s higher probable upside, analysts clearly believe Stryker is more favorable than Revolutions Medical.

Risk and Volatility

Stryker has a beta of 0.91, indicating that its stock price is 9% less volatile than the S&P 500. Comparatively, Revolutions Medical has a beta of -0.43, indicating that its stock price is 143% less volatile than the S&P 500.

Summary

Stryker beats Revolutions Medical on 8 of the 9 factors compared between the two stocks.

About Stryker

Stryker Corporation operates as a medical technology company. The company operates through two segments, MedSurg and Neurotechnology, and Orthopaedics and Spine. The Orthopaedics and Spine segment provides implants for use in total joint replacements, such as hip, knee and shoulder, and trauma and extremities surgeries. This segment also offers spinal implant products comprising cervical and thoracolumbar systems that include fixation, minimally invasive and interbody systems used in spinal injury, complex spine and degenerative therapies. The MedSurg and Neurotechnology segment offers surgical equipment, and surgical navigation systems, endoscopic and communications systems, patient handling, emergency medical equipment and intensive care disposable products, reprocessed and remanufactured medical devices, clinical communication and workflow solutions, and other medical device products that are used in various medical specialties, as well as patient and caregiver safety technologies. This segment also provides neurosurgical, neurovascular and craniomaxillofacial implant products, which include products used for minimally invasive endovascular procedures; products for brain and open skull based surgical procedures; orthobiologic and biosurgery products, such as synthetic bone grafts and vertebral augmentation products; minimally invasive products for the treatment of acute ischemic and hemorrhagic stroke; and craniomaxillofacial implant products, including cranial, maxillofacial, and chest wall devices, as well as dural substitutes and sealants. The company sells its products to doctors, hospitals, and other healthcare facilities through company-owned subsidiaries and branches, as well as third-party dealers and distributors in approximately 75 countries. Stryker Corporation was founded in 1941 and is headquartered in Portage, Michigan.

About Revolutions Medical

Revolutions Medical Corporation, a development stage company, is engaged in the design, development, and commercialization of auto retractable vacuum safety syringes in the United States and internationally. The company develops RevVac auto retractable vacuum safety syringe, which is designed to reduce accidental needle stick injuries and lower the spread of blood borne diseases. It is also developing a suite of magnetic resonance imaging software tools consisting of RevColor, Rev3D, RevDisplay, and RevScan that are designed to enhance general diagnostic confidence through education and research use. The company sells its products to acute care hospitals, alternate care facilities, doctors' offices, clinics, emergency centers, surgical centers, convalescent hospitals, veterans administration facilities, military organizations, public health facilities, and prisons through distributors. Revolutions Medical Corporation was founded in 1996 and is headquartered in Charleston, South Carolina.