Comparing HeartSciences (NASDAQ:HSCS) & Hims & Hers Health (NYSE:HIMS)

HeartSciences (NASDAQ:HSCS) and Hims & Hers Health (NYSE:HIMS) are both medical companies, but which is the superior business? We will compare the two companies based on the strength of their valuation, dividends, analyst recommendations, risk, profitability, institutional ownership and earnings.

Insider and Institutional Ownership

17.2% of HeartSciences shares are owned by institutional investors. Comparatively, 63.5% of Hims & Hers Health shares are owned by institutional investors. 1.8% of HeartSciences shares are owned by insiders. Comparatively, 17.7% of Hims & Hers Health shares are owned by 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 Ratings

This is a breakdown of current recommendations and price targets for HeartSciences and Hims & Hers Health, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
HeartSciences	1	0	2	0	2.33
Hims & Hers Health	3	10	3	1	2.12

HeartSciences currently has a consensus target price of $10.50, suggesting a potential upside of 260.82%. Hims & Hers Health has a consensus target price of $45.50, suggesting a potential upside of 16.51%. Given HeartSciences’ stronger consensus rating and higher probable upside, research analysts clearly believe HeartSciences is more favorable than Hims & Hers Health.

Profitability

This table compares HeartSciences and Hims & Hers Health’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
HeartSciences	N/A	-383.38%	-145.28%
Hims & Hers Health	6.05%	24.67%	9.37%

Volatility and Risk

HeartSciences has a beta of 2.57, suggesting that its share price is 157% more volatile than the S&P 500. Comparatively, Hims & Hers Health has a beta of 2.41, suggesting that its share price is 141% more volatile than the S&P 500.

Valuation and Earnings

This table compares HeartSciences and Hims & Hers Health”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
HeartSciences	N/A	N/A	-$8.77 million	($8.30)	-0.35
Hims & Hers Health	$1.48 billion	6.02	$126.04 million	$0.54	72.32

Hims & Hers Health has higher revenue and earnings than HeartSciences. HeartSciences is trading at a lower price-to-earnings ratio than Hims & Hers Health, indicating that it is currently the more affordable of the two stocks.

Summary

Hims & Hers Health beats HeartSciences on 11 of the 14 factors compared between the two stocks.

About HeartSciences

Heart Test Laboratories, Inc., a medical technology company, provides cardiovascular diagnostic devices. The company offers MyoVista wavECG, a resting 12-lead electrocardiograph (ECG) to provide diagnostic information related to cardiac dysfunction, as well as conventional ECG information. It serves clinics, doctor's offices, urgent care centers, and hospitals. The company was incorporated in 2007 and is headquartered in Southlake, Texas.

About Hims & Hers Health

Hims & Hers Health, Inc. operates a telehealth consultation platform. It connects consumers to healthcare professionals, enabling them to access medical care for mental health, sexual health, dermatology and primary care. The company was founded in 2017 and is headquartered in San Francisco, CA.