Critical Analysis: Waters (NYSE:WAT) versus ENDRA Life Sciences (NASDAQ:NDRA)

ENDRA Life Sciences (NASDAQ:NDRA) and Waters (NYSE:WAT) are both medical companies, but which is the better stock? We will contrast the two companies based on the strength of their institutional ownership, earnings, dividends, profitability, analyst recommendations, valuation and risk.

Profitability

This table compares ENDRA Life Sciences and Waters’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ENDRA Life Sciences	N/A	-396.15%	-190.40%
Waters	20.89%	36.59%	16.18%

Institutional & Insider Ownership

1.2% of ENDRA Life Sciences shares are owned by institutional investors. Comparatively, 94.0% of Waters shares are owned by institutional investors. 10.0% of ENDRA Life Sciences shares are owned by company insiders. Comparatively, 0.6% of Waters shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Earnings & Valuation

This table compares ENDRA Life Sciences and Waters”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ENDRA Life Sciences	N/A	N/A	-$11.51 million	($26.45)	-0.18
Waters	$2.96 billion	8.07	$637.83 million	$10.88	36.84

Waters has higher revenue and earnings than ENDRA Life Sciences. ENDRA Life Sciences is trading at a lower price-to-earnings ratio than Waters, indicating that it is currently the more affordable of the two stocks.

Volatility & Risk

ENDRA Life Sciences has a beta of -0.31, indicating that its share price is 131% less volatile than the S&P 500. Comparatively, Waters has a beta of 1.16, indicating that its share price is 16% more volatile than the S&P 500.

Analyst Ratings

This is a summary of current recommendations for ENDRA Life Sciences and Waters, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ENDRA Life Sciences	1	0	1	0	2.00
Waters	0	9	9	1	2.58

ENDRA Life Sciences presently has a consensus target price of $30.00, suggesting a potential upside of 539.66%. Waters has a consensus target price of $395.00, suggesting a potential downside of 1.44%. Given ENDRA Life Sciences’ higher possible upside, research analysts plainly believe ENDRA Life Sciences is more favorable than Waters.

Summary

Waters beats ENDRA Life Sciences on 12 of the 14 factors compared between the two stocks.

About ENDRA Life Sciences

ENDRA Life Sciences Inc. develops technologies to improve the capabilities of clinical diagnostic ultrasound. The company is developing thermo-acoustic enhanced ultrasound technology that uses radio frequency pulses to generate ultrasonic waves in tissue to create high-contrast images for use in the treatment of nonalcoholic fatty liver disease, as well as in tissue composition, temperature monitoring, vascular imaging, and tissue perfusion. It has a collaborative research agreement with General Electric Company. ENDRA Life Sciences Inc. was incorporated in 2007 and is based in Ann Arbor, Michigan.

About Waters

Waters Corporation provides analytical workflow solutions in Asia, the Americas, and Europe. It operates through two segments: Waters and TA. The company designs, manufactures, sells, and services high and ultra-performance liquid chromatography, as well as mass spectrometry (MS) technology systems and support products, including chromatography columns, other consumable products, and post-warranty service plans. It also designs, manufactures, sells, and services thermal analysis, rheometry, and calorimetry instruments; and develops and supplies software-based products that interface with its instruments, as well as other manufacturers' instruments. In addition, the company offers MS technology instruments are used in drug discovery and development comprising clinical trial testing, the analysis of proteins in disease processes, nutritional safety analysis, and environmental testing. Further, the company provides thermal analysis, rheometry, and calorimetry instruments for use in predicting the suitability and stability of fine chemicals, pharmaceuticals, water, polymers, metals, and viscous liquids for various industrial, consumer good, and healthcare products, as well as for life science research. Its products are used by clinical, pharmaceutical, biochemical, industrial, nutritional safety, environmental, academic, and governmental customers working in research and development, quality assurance, and other laboratory applications. The company was founded in 1958 and is headquartered in Milford, Massachusetts.