Reviewing ResMed (NYSE:RMD) and Trinity Biotech (NASDAQ:TRIB)

Trinity Biotech (NASDAQ:TRIB) and ResMed (NYSE:RMD) are both medical companies, but which is the superior stock? We will contrast the two companies based on the strength of their valuation, analyst recommendations, earnings, institutional ownership, profitability, risk and dividends.

Institutional & Insider Ownership

79.0% of Trinity Biotech shares are owned by institutional investors. Comparatively, 55.0% of ResMed shares are owned by institutional investors. 8.2% of Trinity Biotech shares are owned by company insiders. Comparatively, 0.7% of ResMed 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 Ratings

This is a breakdown of recent ratings and price targets for Trinity Biotech and ResMed, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Trinity Biotech	1	1	0	0	1.50
ResMed	0	5	10	1	2.75

ResMed has a consensus target price of $299.27, indicating a potential upside of 18.78%. Given ResMed’s stronger consensus rating and higher possible upside, analysts plainly believe ResMed is more favorable than Trinity Biotech.

Profitability

This table compares Trinity Biotech and ResMed’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Trinity Biotech	-68.48%	N/A	-32.33%
ResMed	27.35%	25.45%	18.68%

Earnings & Valuation

This table compares Trinity Biotech and ResMed”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Trinity Biotech	$61.56 million	0.06	-$31.79 million	($14.65)	-0.07
ResMed	$5.15 billion	7.14	$1.40 billion	$9.77	25.79

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

Summary

ResMed beats Trinity Biotech on 12 of the 14 factors compared between the two stocks.

About Trinity Biotech

Trinity Biotech plc acquires, together with its subsidiaries, develops, acquires, manufactures, and markets medical diagnostic products for the clinical laboratory and point-of-care (POC) segments of the diagnostic market in the Americas and Ireland. The company offers clinical laboratory products, including diagnostic tests and instrumentation, which detects infectious diseases; sexually transmitted diseases consisting of syphilis and herpes; SARS-CoV-2; and epstein barr, measles, mumps, toxoplasmosis, cytomegalovirus, rubella, varicella and other viral pathogens, as well as products for the in-vitro diagnostic testing for haemoglobin A1c used in the monitoring and diagnosis of diabetes, and identifying those who are at a risk of developing diabetes. It also provides laboratory-testing services for Sjogren's syndrome, hearing loss, celiac disease, lupus, rheumatoid arthritis, systemic sclerosis, and other laboratory-testing services for autoimmune disorders. The company develops, manufactures, and sells products in the immunofluorescence assay, enzyme-linked immunosorbent, western blot, and line immunoassay formats; and provides reagent products, such as ACE, bile acids, oxalate, and glucose-6-phosphate dehydrogenase for diagnosis of liver and kidney diseases, as well as haemolytic anaemia. It serves public health authorities, non-governmental organisations, and clinical and reference laboratories through its direct sales force, as well as through a network of independent distributors and strategic partners. Trinity Biotech plc was incorporated in 1992 and is headquartered in Bray, Ireland.

About ResMed

ResMed Inc. develops, manufactures, distributes, and markets medical devices and cloud-based software applications for the healthcare markets. The company operates in two segments, Sleep and Respiratory Care, and Software as a Service. It offers various products and solutions for a range of respiratory disorders, including ApneaLink Air, a portable diagnostic device that measures oximetry, respiratory effort, pulse, nasal flow, and snoring; and NightOwl, a portable, cloud-connected, and disposable diagnostic device that measures AHI based on derived peripheral arterial tone, actigraphy, and oximetry over several nights. The company also provides AirView, a cloud-based system that enables remote monitoring and changing of patients’ device settings; myAir, a personalized therapy management application for patients with sleep apnea that provides support, education, and troubleshooting tools for increased patient engagement and improved compliance; U-Sleep, a compliance monitoring solution that enables home medical equipment (HME) to streamline their sleep programs; connectivity module and propeller solutions; and Propeller portal. It offers out-of-hospital software solution, such as Brightree business management software and service solutions to providers of HME, pharmacy, home infusion, orthotics, and prosthetics services; MatrixCare care management and related ancillary solutions to senior living, skilled nursing, life plan communities, home health, home care, and hospice organizations, as well as related accountable care organizations; HEALTHCAREfirst that offers electronic health record, software, billing and coding services, and analytics for home health and hospice agencies; and MEDIFOX DAN’s software solutions. The company markets its products to sleep clinics, home healthcare dealers, and hospitals through a network of distributors and direct sales force. ResMed Inc. was founded in 1989 and is headquartered in San Diego, California.