Head to Head Review: Inspire Medical Systems (NYSE:INSP) vs. Beta Bionics (NASDAQ:BBNX)

Inspire Medical Systems (NYSE:INSP) and Beta Bionics (NASDAQ:BBNX) are both medical companies, but which is the superior investment? We will compare the two businesses based on the strength of their dividends, analyst recommendations, earnings, institutional ownership, valuation, profitability and risk.

Profitability

This table compares Inspire Medical Systems and Beta Bionics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Inspire Medical Systems	6.67%	8.19%	7.09%
Beta Bionics	N/A	N/A	N/A

Valuation and Earnings

This table compares Inspire Medical Systems and Beta Bionics”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Inspire Medical Systems	$802.80 million	6.78	$53.51 million	$1.73	105.98
Beta Bionics	$53.03 million	13.04	N/A	N/A	N/A

Inspire Medical Systems has higher revenue and earnings than Beta Bionics.

Institutional and Insider Ownership

94.9% of Inspire Medical Systems shares are held by institutional investors. 4.1% of Inspire Medical Systems shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Inspire Medical Systems and Beta Bionics, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Inspire Medical Systems	0	3	8	0	2.73
Beta Bionics	0	3	5	1	2.78

Inspire Medical Systems currently has a consensus target price of $228.82, indicating a potential upside of 24.80%. Beta Bionics has a consensus target price of $24.83, indicating a potential upside of 53.86%. Given Beta Bionics’ stronger consensus rating and higher probable upside, analysts clearly believe Beta Bionics is more favorable than Inspire Medical Systems.

Summary

Inspire Medical Systems beats Beta Bionics on 7 of the 11 factors compared between the two stocks.

About Inspire Medical Systems

Inspire Medical Systems, Inc., a medical technology company, focuses on the development and commercialization of minimally invasive solutions for patients with obstructive sleep apnea (OSA) in the United States and internationally. The company offers Inspire system, a neurostimulation technology that provides a safe and effective treatment for moderate to severe OSA. It also develops a novel, closed-loop solution that continuously monitors a patient's breathing and delivers mild hypoglossal nerve stimulation to maintain an open airway. The company was incorporated in 2007 and is headquartered in Golden Valley, Minnesota.

About Beta Bionics

Beta Bionics, Inc. is a commercial-stage medical device company. It engages in the design, development, and commercialization of solutions for insulin-requiring people with diabetes. The company was founded by Edward R. Damiano on October 21, 2015 and is headquartered in Irvine, CA.