Critical Comparison: Xcorporeal (OTCMKTS:XCRP) versus Globus Medical (NYSE:GMED)

Xcorporeal (OTCMKTS:XCRP) and Globus Medical (NYSE:GMED) are both medical companies, but which is the better business? We will contrast the two businesses based on the strength of their valuation, analyst recommendations, earnings, profitability, institutional ownership, dividends and risk.

Institutional & Insider Ownership

95.2% of Globus Medical shares are owned by institutional investors. 18.4% of Globus Medical shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Profitability

This table compares Xcorporeal and Globus Medical’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Xcorporeal	N/A	N/A	N/A
Globus Medical	18.92%	13.46%	11.65%

Earnings & Valuation

This table compares Xcorporeal and Globus Medical”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Xcorporeal	N/A	N/A	N/A	N/A	N/A
Globus Medical	$2.94 billion	3.62	$537.87 million	$4.30	18.22

Globus Medical has higher revenue and earnings than Xcorporeal.

Analyst Recommendations

This is a summary of current recommendations and price targets for Xcorporeal and Globus Medical, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Xcorporeal	0	0	0	0	0.00
Globus Medical	0	4	9	2	2.87

Globus Medical has a consensus price target of $106.36, indicating a potential upside of 35.74%. Given Globus Medical’s stronger consensus rating and higher probable upside, analysts clearly believe Globus Medical is more favorable than Xcorporeal.

Summary

Globus Medical beats Xcorporeal on 10 of the 10 factors compared between the two stocks.

About Xcorporeal

Xcorporeal, Inc. is in the process of liquidation and dissolution, pursuant to the plan adopted by board of directors of the company on February 4, 2010. The company has formed the liquidating trust, Xcorporeal, Inc. Liquidating Trust, and transferred all of its assets to the trust for the purpose of completing the liquidation and dissolution of the company. Previously, it operated as a medical device company, which was engaged in the development of an extra-corporeal platform technology to be used in devices to replace the function of various human organs. Xcorporeal, Inc. was founded in 2001 and is based in Lake Forest, California.

About Globus Medical

Globus Medical, Inc., a medical device company, develops and commercializes healthcare solutions for patients with musculoskeletal disorders in the United States and internationally. The company offers spine products, such as traditional fusion implants comprising pedicle screw and rod systems, plating systems, intervertebral spacers, and corpectomy devices for treating degenerative and congenital conditions, deformity, tumors, and trauma injuries; treatment options for motion preservation technologies that consist of dynamic stabilization, total disc replacement, and interspinous distraction devices; interventional solutions to treat vertebral compression fractures; and regenerative biologic products comprising of allografts and synthetic alternatives. It also offers products for the treatment of orthopedic trauma, including fracture plates, compression screws, intramedullary nails, and external fixation systems; and hip and knee joint solutions, including modular hip stems and acetabular cups, as well as posterior stabilizing and cruciate retaining knee arthroplasty implants. In addition, the company distributes human cell, tissue, and cellular and tissue-based products. It sells its products through direct or distributor sales representatives, as well as hip and knee products through independent sales agents. Globus Medical, Inc. was incorporated in 2003 and is headquartered in Audubon, Pennsylvania.