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Financial Analysis: Anika Therapeutics (NASDAQ:ANIK) and AtriCure (NASDAQ:ATRC)

Defense World ·  Sep 8, 2022 01:42

Anika Therapeutics (NASDAQ:ANIK – Get Rating) and AtriCure (NASDAQ:ATRC – Get Rating) are both medical companies, but which is the superior investment? We will compare the two companies based on the strength of their earnings, profitability, dividends, analyst recommendations, valuation, institutional ownership and risk.

Institutional & Insider Ownership

92.5% of Anika Therapeutics shares are owned by institutional investors. Comparatively, 95.2% of AtriCure shares are owned by institutional investors. 3.0% of Anika Therapeutics shares are owned by company insiders. Comparatively, 2.8% of AtriCure shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

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Volatility & Risk

Anika Therapeutics has a beta of 1, meaning that its share price has a similar volatility profile to the S&P 500.Comparatively, AtriCure has a beta of 1.21, meaning that its share price is 21% more volatile than the S&P 500.

Analyst Ratings

This is a summary of recent ratings and price targets for Anika Therapeutics and AtriCure, as reported by MarketBeat.
Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Anika Therapeutics 0 2 0 0 2.00
AtriCure 0 0 5 0 3.00

Anika Therapeutics currently has a consensus target price of $41.50, suggesting a potential upside of 78.88%. AtriCure has a consensus target price of $75.86, suggesting a potential upside of 72.13%. Given Anika Therapeutics' higher possible upside, equities analysts clearly believe Anika Therapeutics is more favorable than AtriCure.

Profitability

This table compares Anika Therapeutics and AtriCure's net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Anika Therapeutics -7.26% -1.96% -1.61%
AtriCure 17.62% -11.47% -9.04%

Earnings & Valuation

This table compares Anika Therapeutics and AtriCure's revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Anika Therapeutics $147.79 million 2.29 $4.13 million ($0.76) -30.53
AtriCure $274.33 million 7.46 $50.20 million $1.16 37.99

AtriCure has higher revenue and earnings than Anika Therapeutics. Anika Therapeutics is trading at a lower price-to-earnings ratio than AtriCure, indicating that it is currently the more affordable of the two stocks.

Summary

AtriCure beats Anika Therapeutics on 10 of the 14 factors compared between the two stocks.

About Anika Therapeutics

(Get Rating)

Anika Therapeutics, Inc., a joint preservation company, creates and delivers advancements in early intervention orthopedic care in the areas of osteoarthritis (OA) pain management, regenerative solutions, soft tissue repair, and bone preserving joint technologies in the United States, Europe, and internationally. The company develops, manufactures, and commercializes products based on hyaluronic acid (HA) technology platform. Its OA pain management product family consists of Monovisc, Orthovisc, Cingal, and Hyvisc that are indicated to provide pain relief from osteoarthritis conditions; and joint preservation and restoration product family comprise a portfolio of approximately 150 bone preserving joint technology products, a line of sports medicine soft tissue repair solutions, and orthopedic regenerative solutions products. The company's non-orthopedic product family include HA-based products for non-orthopedic applications, including adhesion barrier products, advanced wound care products, ophthalmic products, and ear, nose, and throat products. Anika Therapeutics, Inc. was founded in 1983 and is headquartered in Bedford, Massachusetts.

About AtriCure

(Get Rating)

AtriCure, Inc. develops, manufactures, and sells devices for the surgical ablation of cardiac tissue and systems, and intercostal nerves to medical centers in the United States, Europe, Asia, and internationally. The company offers Isolator Synergy Clamps, a single-use disposable radio frequency products; multifunctional pens and linear ablation devices, such as the MAX Pen device that enables surgeons to evaluate cardiac arrhythmias, perform temporary cardiac pacing, sensing, and stimulation and ablate cardiac tissue with the same device; and the Coolrail device, which enable users to make longer linear lines of ablation. It also provides cryoICE Cryoablation System that enables the user to make linear ablations of varied lengths; EPi-Sense Guided Coagulation System, a single-use disposable device used for the treatment of symptomatic, drug-refractory, and long-standing persistent atrial fibrillation; AtriClip System, an implantable device coupled to a single-use disposable applier; and LARIAT System, a suture-based solution for soft-tissue closure compatible with a range of anatomical shapes. In addition, the company sells Lumitip Dissectors to separate tissues to provide access to key anatomical structures that are targeted for ablation; Glidepath guides for placement of clamps; Subtle Cannula's to support access for EPi-Sense catheters; and various reusable cardiac surgery instruments, which are used during surgical procedures for repair or replacement of certain heart valves. It markets and sells its products through independent distributors and direct sales personnel. The company was incorporated in 2000 and is headquartered in Mason, Ohio.

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