Allurion Technologies (NYSE:ALUR) vs. AVITA Medical (NASDAQ:RCEL) Head-To-Head Contrast

Allurion Technologies (NYSE:ALUR) and AVITA Medical (NASDAQ:RCEL) are both small-cap medical companies, but which is the better business? We will compare the two companies based on the strength of their valuation, institutional ownership, earnings, profitability, risk, analyst recommendations and dividends.

Profitability

This table compares Allurion Technologies and AVITA Medical’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Allurion Technologies	-71.24%	N/A	-56.75%
AVITA Medical	-95.47%	-194.69%	-60.67%

Valuation and Earnings

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Allurion Technologies	$34.75 million	0.68	-$80.61 million	($0.48)	-0.76
AVITA Medical	$50.14 million	6.80	-$35.38 million	($2.23)	-5.83

AVITA Medical has higher revenue and earnings than Allurion Technologies. AVITA Medical is trading at a lower price-to-earnings ratio than Allurion Technologies, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Allurion Technologies and AVITA Medical, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Allurion Technologies	0	1	3	1	3.00
AVITA Medical	0	2	1	0	2.33

Allurion Technologies presently has a consensus target price of $2.88, indicating a potential upside of 685.73%. AVITA Medical has a consensus target price of $16.50, indicating a potential upside of 26.92%. Given Allurion Technologies’ stronger consensus rating and higher possible upside, research analysts clearly believe Allurion Technologies is more favorable than AVITA Medical.

Volatility and Risk

Allurion Technologies has a beta of -0.37, suggesting that its share price is 137% less volatile than the S&P 500. Comparatively, AVITA Medical has a beta of 1.54, suggesting that its share price is 54% more volatile than the S&P 500.

Institutional and Insider Ownership

21.4% of Allurion Technologies shares are owned by institutional investors. Comparatively, 27.7% of AVITA Medical shares are owned by institutional investors. 22.4% of Allurion Technologies shares are owned by company insiders. Comparatively, 1.8% of AVITA Medical shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Summary

Allurion Technologies beats AVITA Medical on 10 of the 15 factors compared between the two stocks.

About Allurion Technologies

Allurion Technologies Inc. focuses on ending obesity with a weight loss platform to treat people who are overweight. Its platform, the Allurion Program, features swallowable and procedure-less intragastric balloon for weight loss (the Allurion Balloon), as well as offers access to AI-powered remote patient monitoring tools, a proprietary behavior change program, secure messaging, and video telehealth that are delivered by the Allurion Virtual Care Suite. Allurion Technologies Inc. is headquartered in Natick, Massachusetts.

About AVITA Medical

AVITA Medical, Inc., together with its subsidiaries, operates as a regenerative medicine company in the United States and internationally. The company's lead product is the RECELL System, a cell harvesting device used for the treatment of thermal burn wounds, full-thickness skin defects, and repigmentation of stable depigmented vitiligo lesions. It develops RECELL GO to control the manual process of disaggregation, filtration, and soak time. The company was formerly known as AVITA Therapeutics, Inc. AVITA Medical, Inc. was incorporated in 2020 and is headquartered in Valencia, California.