Analyzing Co-Diagnostics (NASDAQ:CODX) and CVRx (NASDAQ:CVRX)

Co-Diagnostics (NASDAQ:CODX) and CVRx (NASDAQ:CVRX) are both small-cap medical companies, but which is the superior stock? We will compare the two businesses based on the strength of their valuation, profitability, institutional ownership, analyst recommendations, risk, earnings and dividends.

Profitability

This table compares Co-Diagnostics and CVRx’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Co-Diagnostics	-563.93%	-54.94%	-49.28%
CVRx	-116.91%	-93.06%	-51.78%

Risk & Volatility

Co-Diagnostics has a beta of -0.63, suggesting that its stock price is 163% less volatile than the S&P 500. Comparatively, CVRx has a beta of 1.3, suggesting that its stock price is 30% more volatile than the S&P 500.

Institutional and Insider Ownership

15.0% of Co-Diagnostics shares are held by institutional investors. Comparatively, 75.3% of CVRx shares are held by institutional investors. 6.1% of Co-Diagnostics shares are held by company insiders. Comparatively, 18.9% of CVRx shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Co-Diagnostics and CVRx, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Co-Diagnostics	0	1	0	0	2.00
CVRx	0	1	6	0	2.86

Co-Diagnostics currently has a consensus price target of $1.50, indicating a potential upside of 112.77%. CVRx has a consensus price target of $17.83, indicating a potential upside of 28.76%. Given Co-Diagnostics’ higher probable upside, research analysts clearly believe Co-Diagnostics is more favorable than CVRx.

Valuation & Earnings

This table compares Co-Diagnostics and CVRx”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Co-Diagnostics	$6.81 million	3.31	-$35.33 million	($1.38)	-0.51
CVRx	$51.29 million	7.03	-$59.97 million	($2.69)	-5.15

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

Summary

CVRx beats Co-Diagnostics on 8 of the 14 factors compared between the two stocks.

About Co-Diagnostics

Co-Diagnostics, Inc., a molecular diagnostics company, develops, manufactures, and sells reagents used for diagnostic tests that function through the detection and/or analysis of nucleic acid molecules in the United States and internationally. The company offers Co-Dx PCR platform, a polymerase chain reaction (PCR) testing to patients in point-of-care and at-home setting. It also provides PCR diagnostic tests for COVID-19, influenza, tuberculosis, hepatitis B and C, human papillomavirus, malaria, chikungunya, dengue, and the zika virus. In addition, the company offers three multiplexed tests to test mosquitos for the identification of diseases carried by the mosquitos; molecular tools for detection of infectious diseases, liquid biopsy for cancer screening, and agricultural applications; tests that identify genetic traits in plant and animal genomes; and portable diagnostic device designed to bring PCR to patients in point-of-care and at-home settings. The company was incorporated in 2013 and is headquartered in Salt Lake City, Utah.

About CVRx

CVRx, Inc., a commercial-stage medical device company, focuses on developing, manufacturing, and commercializing neuromodulation solutions for patients with cardiovascular diseases. The company offers Barostim, a neuromodulation device indicated to improve symptoms for patients with heart failure with reduced ejection fraction or systolic heart failure. It sells its products through direct sales force, as well as sales agents and independent distributors in the United States, Germany, and internationally. The company was incorporated in 2000 and is headquartered in Minneapolis, Minnesota.