Critical Review: Health Sciences Acquisitions Co. 2 (NASDAQ:HSAQ) & Tenon Medical (NASDAQ:TNON)

Health Sciences Acquisitions Co. 2 (NASDAQ:HSAQ) and Tenon Medical (NASDAQ:TNON) are both small-cap medical companies, but which is the better business? We will contrast the two businesses based on the strength of their analyst recommendations, profitability, institutional ownership, risk, dividends, valuation and earnings.

Profitability

This table compares Health Sciences Acquisitions Co. 2 and Tenon Medical’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Health Sciences Acquisitions Co. 2	N/A	N/A	-2.38%
Tenon Medical	-411.27%	-4,819.46%	-200.34%

Valuation & Earnings

This table compares Health Sciences Acquisitions Co. 2 and Tenon Medical”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Health Sciences Acquisitions Co. 2	N/A	N/A	-$380,000.00	N/A	N/A
Tenon Medical	$2.93 million	0.65	-$15.58 million	($35.28)	-0.11

Health Sciences Acquisitions Co. 2 has higher earnings, but lower revenue than Tenon Medical.

Risk and Volatility

Health Sciences Acquisitions Co. 2 has a beta of 0.09, suggesting that its share price is 91% less volatile than the S&P 500. Comparatively, Tenon Medical has a beta of 2.19, suggesting that its share price is 119% more volatile than the S&P 500.

Insider and Institutional Ownership

89.7% of Health Sciences Acquisitions Co. 2 shares are held by institutional investors. Comparatively, 22.7% of Tenon Medical shares are held by institutional investors. 21.9% of Health Sciences Acquisitions Co. 2 shares are held by company insiders. Comparatively, 4.7% of Tenon Medical shares are held 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.

Analyst Ratings

This is a summary of recent ratings and recommmendations for Health Sciences Acquisitions Co. 2 and Tenon Medical, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Health Sciences Acquisitions Co. 2	0	0	0	0	N/A
Tenon Medical	0	0	1	0	3.00

Tenon Medical has a consensus price target of $3.00, indicating a potential downside of 20.00%. Given Tenon Medical’s higher probable upside, analysts clearly believe Tenon Medical is more favorable than Health Sciences Acquisitions Co. 2.

Summary

Health Sciences Acquisitions Co. 2 beats Tenon Medical on 6 of the 10 factors compared between the two stocks.

About Health Sciences Acquisitions Co. 2

Health Sciences Acquisitions Corporation 2 does not have significant operations. It intends to effect a merger, share exchange, asset acquisition, share purchase, recapitalization, reorganization, or related business combination with one or more businesses in the biopharma and medical technology sectors in North America or Europe. Health Sciences Acquisitions Corporation 2 was incorporated in 2020 and is based in New York, New York.

About Tenon Medical

Tenon Medical, Inc., a medical device company, engages in the development of surgical implant systems to treat severe lower back pain in the United States and Puerto Rico. The company offers CATAMARAN SI-Joint Fusion System to fuse sacroiliac joints (SI-Joints) to treat SI-Joint dysfunction that often causes severe lower back pain; and features fixation device that passes through the axial and sagittal planes of the ilium and sacrum, as well as transfixes the SI joints. Tenon Medical, Inc. was incorporated in 2012 and is headquartered in Los Gatos, California.