Critical Contrast: InnovAge (NASDAQ:INNV) versus Basel Medical Group (NASDAQ:BMGL)

InnovAge (NASDAQ:INNV) and Basel Medical Group (NASDAQ:BMGL) are both small-cap medical companies, but which is the superior business? We will compare the two businesses based on the strength of their institutional ownership, earnings, dividends, profitability, valuation, risk and analyst recommendations.

Institutional and Insider Ownership

12.3% of InnovAge shares are held by institutional investors. 1.0% of InnovAge shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Analyst Ratings

This is a summary of recent ratings and price targets for InnovAge and Basel Medical Group, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
InnovAge	2	0	0	0	1.00
Basel Medical Group	1	0	0	0	1.00

InnovAge currently has a consensus target price of $5.00, indicating a potential downside of 14.53%. Given InnovAge’s higher probable upside, equities research analysts clearly believe InnovAge is more favorable than Basel Medical Group.

Valuation & Earnings

This table compares InnovAge and Basel Medical Group”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
InnovAge	$853.70 million	0.93	-$30.31 million	($0.13)	-45.00
Basel Medical Group	$8.90 million	1.75	N/A	N/A	N/A

Basel Medical Group has lower revenue, but higher earnings than InnovAge.

Profitability

This table compares InnovAge and Basel Medical Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
InnovAge	-1.96%	-7.02%	-3.31%
Basel Medical Group	N/A	N/A	N/A

About InnovAge

InnovAge Holding Corp. manages and provides a range of medical and ancillary services for seniors in need of care and support to live independently in its homes and communities. The company manages its business through Program of All-Inclusive Care for the Elderly (PACE) approach. It also offers in-home care services consisting of skilled, unskilled, and personal care; in-center services, such as primary care, physical therapy, occupational therapy, speech therapy, dental services, mental health and psychiatric services, meals, and activities; transportation to the PACE center and third-party medical appointments; and care management. The company serves participants in the United States; and operates PACE centers in Colorado, California, New Mexico, Pennsylvania, Florida, and Virginia. The company was formerly known as TCO Group Holdings, Inc. and changed its name to InnovAge Holding Corp. in January 2021. InnovAge Holding Corp. was founded in 2007 and is headquartered in Denver, Colorado.

About Basel Medical Group

Basel Medical Group Ltd. is an investment holding company, which engages in providing orthopedic surgeries, medical care, and diagnosis services. Its services include orthopedic surgeries, medical care, rehabilitative therapy, physiotherapy, non-surgical treatments, medical diagnosis, magnetic resonance imaging, general surgery, x-ray, lump removal, sports medicine, and total hip replacement. The company was founded by Man Hing Yip on August 10, 2023 and is headquartered in Singapore.