Comparing Phreesia (NYSE:PHR) & Zhongchao (NASDAQ:ZCMD)

Zhongchao (NASDAQ:ZCMD) and Phreesia (NYSE:PHR) are both small-cap medical companies, but which is the better stock? We will contrast the two companies based on the strength of their institutional ownership, risk, dividends, earnings, valuation, profitability and analyst recommendations.

Valuation and Earnings

This table compares Zhongchao and Phreesia”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Zhongchao	$11.37 million	0.15	-$6.31 million	N/A	N/A
Phreesia	$480.59 million	1.36	$2.31 million	$0.15	70.57

Phreesia has higher revenue and earnings than Zhongchao.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Zhongchao and Phreesia, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Zhongchao	1	0	0	0	1.00
Phreesia	1	9	9	0	2.42

Phreesia has a consensus target price of $16.65, indicating a potential upside of 57.27%. Given Phreesia’s stronger consensus rating and higher probable upside, analysts plainly believe Phreesia is more favorable than Zhongchao.

Insider & Institutional Ownership

1.7% of Zhongchao shares are held by institutional investors. Comparatively, 92.1% of Phreesia shares are held by institutional investors. 28.6% of Zhongchao shares are held by insiders. Comparatively, 5.2% of Phreesia shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Risk & Volatility

Zhongchao has a beta of 0.01, indicating that its stock price is 99% less volatile than the S&P 500. Comparatively, Phreesia has a beta of 0.87, indicating that its stock price is 13% less volatile than the S&P 500.

Profitability

This table compares Zhongchao and Phreesia’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Zhongchao	N/A	N/A	N/A
Phreesia	1.85%	5.13%	3.12%

Summary

Phreesia beats Zhongchao on 11 of the 12 factors compared between the two stocks.

About Zhongchao

Zhongchao Inc. provides healthcare information, education, and training services in the People's Republic of China. The company offers online and onsite health information services, healthcare education programs, and healthcare training products, including clinical practice training, open classes of popular medical topics, interactive case studies, academic conference and workshops, continuing education courses, and articles and short videos with educational healthcare content. It also provides customized medical courses and medical training services; and patient management services through online platform under the Zhongxun brand. The company operates through its mdmooc.org online platform under the MDMOOC brand; and Sunshine Health Forums, a Wechat subscription account and mobile app. It serves enterprises, non-for-profit organizations, and medical journals, as well as healthcare professionals, nurses, doctors, and other healthcare workers. The company was founded in 2012 and is headquartered in Shanghai, China.

About Phreesia

Phreesia, Inc. provides an integrated SaaS-based software and payment platform for the healthcare industry in the United States and Canada. The company offers access solutions that offers appointment scheduling system for online appointments, reminders, and referral tracking management; registration solution to automate patient self-registration; revenue cycle solution, which offer insurance-verification processes, point-of-sale payments applications, post-visit payment collection, and flexible payment options; and network connect solution to deliver clinically relevant content to patients. The company deploys its platform in a range of modalities, such as Phreesia Mobile, a patients' mobile device; Phreesia Dashboard, a web-based dashboard for healthcare services clients; PhreesiaPads, a self-service intake tablets; and Arrivals Kiosks, an on-site kiosks. It serves patients; single-specialty practices, multi-specialty groups, and health systems; and pharmaceutical, medical device, and biotechnology companies. The company was incorporated in 2005 and is based in Wilmington, Delaware.