Compass Pathways (NASDAQ:CMPS – Get Free Report) and SeaStar Medical (NASDAQ:ICU – Get Free Report) are both small-cap medical companies, but which is the superior stock? We will compare the two businesses based on the strength of their valuation, institutional ownership, analyst recommendations, profitability, dividends, risk and earnings.
Analyst Recommendations
This is a breakdown of current ratings and price targets for Compass Pathways and SeaStar Medical, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Compass Pathways | 1 | 1 | 8 | 1 | 2.82 |
| SeaStar Medical | 1 | 0 | 0 | 0 | 1.00 |
Compass Pathways presently has a consensus target price of $20.45, suggesting a potential upside of 127.02%. SeaStar Medical has a consensus target price of $6.00, suggesting a potential upside of 37.30%. Given Compass Pathways’ stronger consensus rating and higher probable upside, equities research analysts clearly believe Compass Pathways is more favorable than SeaStar Medical.
Earnings and Valuation
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Compass Pathways | N/A | N/A | -$287.86 million | ($3.09) | -2.92 |
| SeaStar Medical | $1.23 million | 14.15 | -$12.15 million | ($8.30) | -0.53 |
SeaStar Medical has higher revenue and earnings than Compass Pathways. Compass Pathways is trading at a lower price-to-earnings ratio than SeaStar Medical, indicating that it is currently the more affordable of the two stocks.
Volatility and Risk
Compass Pathways has a beta of 2.39, indicating that its share price is 139% more volatile than the S&P 500. Comparatively, SeaStar Medical has a beta of -1.04, indicating that its share price is 204% less volatile than the S&P 500.
Profitability
This table compares Compass Pathways and SeaStar Medical’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Compass Pathways | N/A | -192.95% | -61.31% |
| SeaStar Medical | -984.60% | -188.47% | -106.42% |
Insider and Institutional Ownership
46.2% of Compass Pathways shares are held by institutional investors. Comparatively, 1.7% of SeaStar Medical shares are held by institutional investors. 2.8% of Compass Pathways shares are held by insiders. Comparatively, 0.7% of SeaStar Medical 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.
Summary
Compass Pathways beats SeaStar Medical on 10 of the 14 factors compared between the two stocks.
About Compass Pathways
Compass Pathways plc operates as a mental health care company in the United Kingdom and the United States. It develops COMP360, a psilocybin therapy that is in Phase III clinical trials for the treatment of treatment-resistant depression; and is in Phase II clinical trials for the treatment of post-traumatic stress disorder and anorexia nervosa. The company was formerly known as COMPASS Rx Limited and changed its name to Compass Pathways plc in August 2020. Compass Pathways plc was incorporated in 2020 and is headquartered in London, the United Kingdom.
About SeaStar Medical
SeaStar Medical Holding Corporation, a medical device company, develops a platform therapy to reduce the consequences of hyperinflammation on vital organs in the United States. The company offers inflammatory response to fend off infections and repair damaged tissue in the body. It is also developing products in various therapeutic areas, including pediatric and adult acute kidney injury on CRRT; cardiorenal syndrome in congestive heart failure; myocardial stunning in end stage renal disease; and hepatorenal syndrome. The company is headquartered in Denver, Colorado.
Receive News & Ratings for Compass Pathways Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Compass Pathways and related companies with MarketBeat.com's FREE daily email newsletter.
