Reviewing Biomerica (NASDAQ:BMRA) and Apyx Medical (NASDAQ:APYX)
by Michael Walen · The Markets DailyApyx Medical (NASDAQ:APYX – Get Free Report) and Biomerica (NASDAQ:BMRA – Get Free Report) are both small-cap healthcare companies, but which is the superior business? We will contrast the two businesses based on the strength of their valuation, profitability, analyst recommendations, institutional ownership, earnings, dividends and risk.
Risk and Volatility
Apyx Medical has a beta of 1.31, indicating that its share price is 31% more volatile than the S&P 500. Comparatively, Biomerica has a beta of 0.37, indicating that its share price is 63% less volatile than the S&P 500.
Valuation & Earnings
This table compares Apyx Medical and Biomerica”s revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Apyx Medical | $58.41 million | 2.13 | -$11.21 million | ($0.20) | -14.75 |
| Biomerica | $4.45 million | 1.81 | -$3.78 million | ($1.27) | -2.06 |
Biomerica has lower revenue, but higher earnings than Apyx Medical. Apyx Medical is trading at a lower price-to-earnings ratio than Biomerica, indicating that it is currently the more affordable of the two stocks.
Profitability
This table compares Apyx Medical and Biomerica’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Apyx Medical | -14.78% | -76.60% | -13.91% |
| Biomerica | -84.79% | -97.19% | -61.57% |
Insider & Institutional Ownership
55.3% of Apyx Medical shares are owned by institutional investors. Comparatively, 22.3% of Biomerica shares are owned by institutional investors. 15.9% of Apyx Medical shares are owned by company insiders. Comparatively, 18.0% of Biomerica shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.
Analyst Recommendations
This is a breakdown of current recommendations for Apyx Medical and Biomerica, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Apyx Medical | 1 | 1 | 4 | 1 | 2.71 |
| Biomerica | 1 | 0 | 0 | 0 | 1.00 |
Apyx Medical presently has a consensus price target of $6.60, suggesting a potential upside of 123.73%. Biomerica has a consensus price target of $9.00, suggesting a potential upside of 244.83%. Given Biomerica’s higher probable upside, analysts plainly believe Biomerica is more favorable than Apyx Medical.
Summary
Apyx Medical beats Biomerica on 11 of the 15 factors compared between the two stocks.
About Apyx Medical
Apyx Medical Corporation, an energy technology company, engages in the design, development, and manufacture of medical devices in the United States and internationally. The company operates through two segments: Advanced Energy and Original Equipment Manufacturing (OEM). It offers Helium Plasma Generator for delivery of RF energy and helium plasma to cut, coagulate, and ablate soft tissue during open and minimally invasive surgical procedures. The company's Helium Plasma Technology products are marketed and sold under the Renuvion name in the cosmetic surgery market and under the J-Plasma name in the hospital surgical market. It also develops and manufactures various hand pieces for open and laparoscopic procedures; and OEM generators, as well as related accessories. The company was formerly known as Bovie Medical Corporation and changed its name to Apyx Medical Corporation in January 2019. Apyx Medical Corporation was incorporated in 1982 and is based in Clearwater, Florida.
About Biomerica
Biomerica, Inc., a biomedical technology company, develops, patents, manufactures, and markets diagnostic and therapeutic products for the detection and/or treatment of medical conditions and diseases worldwide. The company's diagnostic test kits are used to analyze blood, urine, nasal or fecal specimens from patients in the diagnosis of various diseases, food intolerances, and other medical complications; or to measure bacteria, hormones, antibodies, antigens, or other substances which may exist in the human body, stools, or blood in extremely small concentrations. It primarily sells its products for gastrointestinal diseases, food intolerances, and various esoteric tests at the physicians' offices and over-the-counter drugstores, and hospital/clinical laboratories. The company is also developing InFoods IBS, that uses a simple blood sample to identify patient-specific foods which may alleviate irritable bowel syndrome symptoms; and H. Pylori diagnostic test that indicates if a patient is infected with the H. Pylori bacteria. In addition, it develops products to indicate if a person has been infected by COVID-19. Biomerica, Inc. was incorporated in 1971 and is headquartered in Irvine, California.