Spotlight Innovation (OTCMKTS:STLT) & Pro-Dex (NASDAQ:PDEX) Head to Head Analysis

Pro-Dex (NASDAQ:PDEX) and Spotlight Innovation (OTCMKTS:STLT) are both medical companies, but which is the better investment? We will contrast the two companies based on the strength of their valuation, earnings, risk, profitability, analyst recommendations, institutional ownership and dividends.

Analyst Ratings

This is a breakdown of recent ratings and target prices for Pro-Dex and Spotlight Innovation, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Pro-Dex	0	1	1	0	2.50
Spotlight Innovation	0	0	0	0	0.00

Pro-Dex presently has a consensus price target of $56.00, suggesting a potential upside of 41.95%. Given Pro-Dex’s stronger consensus rating and higher probable upside, equities analysts clearly believe Pro-Dex is more favorable than Spotlight Innovation.

Earnings & Valuation

This table compares Pro-Dex and Spotlight Innovation”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Pro-Dex	$66.59 million	1.93	$8.98 million	$3.35	11.78
Spotlight Innovation	N/A	N/A	N/A	N/A	N/A

Pro-Dex has higher revenue and earnings than Spotlight Innovation.

Profitability

This table compares Pro-Dex and Spotlight Innovation’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Pro-Dex	15.94%	23.64%	13.73%
Spotlight Innovation	N/A	N/A	N/A

Institutional and Insider Ownership

15.3% of Pro-Dex shares are owned by institutional investors. 45.9% of Pro-Dex shares are owned by company 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.

Summary

Pro-Dex beats Spotlight Innovation on 9 of the 9 factors compared between the two stocks.

About Pro-Dex

Pro-Dex, Inc. designs, develops, manufactures, and sells powered surgical instruments for medical device original equipment manufacturers worldwide. The company offers autoclavable, battery-powered and electric, and multi-function surgical drivers and shavers that are primarily used in the orthopedic, thoracic, and craniomaxillofacial markets. It also provides engineering, quality, and regulatory consulting services; and manufactures and sells rotary air motors to various industries. The company's products are used in hospitals, medical engineering labs, scientific research facilities, and high-tech manufacturing operations. Pro-Dex, Inc. was founded in 1978 and is headquartered in Irvine, California.

About Spotlight Innovation

Spotlight Innovation Inc., a pharmaceutical company, acquires and develops proprietary therapies to address unmet medical needs with an emphasis on rare, emerging, and neglected diseases. It identifies in-licensing opportunities and manages product development through partnerships with universities, medical schools, contract research organizations, and contract manufacturing organizations, as well as pursues product commercialization opportunities, including out-licensing and strategic partnerships. The company is developing Crotoxin, which is in Phase I clinical study for the treatment of cancer. It also develops various compounds for the treatment of viral infections, including Zika virus infection; and products derived from cobra venom to treat chronic pain. Spotlight Innovation Inc. has a license agreement with Indiana University Research and Technology Corporation to commercialize STL-182, an orally-available small molecule that might have therapeutic potential for treating spinal muscular atrophy. The company is based in Urbandale, Iowa.