Analyzing Brainsway (NASDAQ:BWAY) & Lonza Group (OTCMKTS:LZAGY)

Brainsway (NASDAQ:BWAY) and Lonza Group (OTCMKTS:LZAGY) are both medical companies, but which is the superior investment? We will compare the two businesses based on the strength of their valuation, analyst recommendations, profitability, institutional ownership, risk, dividends and earnings.

Risk and Volatility

Brainsway has a beta of 1.2, indicating that its share price is 20% more volatile than the S&P 500. Comparatively, Lonza Group has a beta of 1.14, indicating that its share price is 14% more volatile than the S&P 500.

Profitability

This table compares Brainsway and Lonza Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Brainsway	15.68%	12.28%	7.75%
Lonza Group	N/A	N/A	N/A

Valuation and Earnings

This table compares Brainsway and Lonza Group”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Brainsway	$52.22 million	10.77	$7.57 million	$0.35	40.11
Lonza Group	$7.88 billion	5.49	$1.15 billion	N/A	N/A

Lonza Group has higher revenue and earnings than Brainsway.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Brainsway and Lonza Group, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Brainsway	0	1	3	0	2.75
Lonza Group	0	1	1	0	2.50

Brainsway currently has a consensus price target of $16.00, suggesting a potential upside of 13.96%. Given Brainsway’s stronger consensus rating and higher probable upside, equities analysts plainly believe Brainsway is more favorable than Lonza Group.

Insider & Institutional Ownership

30.1% of Brainsway shares are held by institutional investors. Comparatively, 0.0% of Lonza Group shares are held by institutional investors. 19.0% of Brainsway shares are held by insiders. Comparatively, 0.1% of Lonza Group shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Summary

Brainsway beats Lonza Group on 10 of the 12 factors compared between the two stocks.

About Brainsway

BrainsWay Ltd. develops and sells noninvasive neurostimulation treatments for mental health disorders in the United States and internationally. It offers Deep Transcranial Magnetic Stimulation platform technology for the treatment of major depressive disorders, anxious depression, obsessive-compulsive disorders, smoking addiction, bipolar disorders, post traumatic stress disorders, schizophrenia, Alzheimer's disease, autism, chronic pain, multiple sclerosis, post stroke rehabilitation, and Parkinson's diseases. The company serves doctors, hospitals, and medical centers in the field of psychiatry. BrainsWay Ltd. was founded in 2003 and is headquartered in Jerusalem, Israel.

About Lonza Group

Lonza Group AG, together with its subsidiaries, supplies various products and services for pharmaceutical, biotech, and nutrition markets in Europe, North and Central America, Latin America, Asia, Australia, New Zealand, and internationally. It operates through Biologics, Small Molecules, Cell & Gene, and Capsules & Health Ingredients segments. The Biologics segment engages in the contract development and manufacturing of biopharmaceuticals for clinical and commercial manufacturing needs throughout the product lifecycle, including drug substance and drug product manufacturing. The Small Molecules segment operates as an integrated development and manufacturing service provider for small molecule drug substances and their intermediates. This segment also supports customers across various aspects of design, development, and manufacturing, including particle engineering and drug product packaging. The Cell & Gene segment develops technologies and platforms that industrialize the manufacturing processes and production of cell and gene therapies; offers contract development and manufacturing services, and regulatory support for a range of allogeneic and autologous cell therapies, and exosome-based therapies, as well as viral vector gene therapies. This segment also provides Cocoon platform, a closed automated system for patient-scale cell therapy manufacturing; and specialty raw materials and enabling technology solutions in cell and gene therapy, injectable drugs, vaccines, and bio-manufacturing markets. The Capsules & Health Ingredients segment offers capsules, dosage form solutions, and health ingredients for pharmaceutical and nutraceutical customers. Lonza Group AG was incorporated in 1897 and is headquartered in Basel, Switzerland.