Comparing Adagio Medical (NASDAQ:ADGM) & Teleflex (NYSE:TFX)

Teleflex (NYSE:TFX) and Adagio Medical (NASDAQ:ADGM) are both medical companies, but which is the better business? We will contrast the two businesses based on the strength of their valuation, dividends, earnings, analyst recommendations, profitability, institutional ownership and risk.

Profitability

This table compares Teleflex and Adagio Medical’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Teleflex	-35.88%	13.29%	6.55%
Adagio Medical	N/A	-382.50%	-64.98%

Risk and Volatility

Teleflex has a beta of 0.82, suggesting that its share price is 18% less volatile than the S&P 500. Comparatively, Adagio Medical has a beta of -0.19, suggesting that its share price is 119% less volatile than the S&P 500.

Valuation & Earnings

This table compares Teleflex and Adagio Medical”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Teleflex	$1.99 billion	3.02	-$905.64 million	($22.80)	-5.96
Adagio Medical	$600,000.00	21.10	-$25.08 million	($1.53)	-0.37

Adagio Medical has lower revenue, but higher earnings than Teleflex. Teleflex is trading at a lower price-to-earnings ratio than Adagio Medical, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a breakdown of recent ratings and target prices for Teleflex and Adagio Medical, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Teleflex	1	5	4	1	2.45
Adagio Medical	1	1	2	0	2.25

Teleflex currently has a consensus price target of $147.44, suggesting a potential upside of 8.49%. Adagio Medical has a consensus price target of $3.50, suggesting a potential upside of 514.04%. Given Adagio Medical’s higher probable upside, analysts clearly believe Adagio Medical is more favorable than Teleflex.

Insider & Institutional Ownership

95.6% of Teleflex shares are owned by institutional investors. Comparatively, 48.1% of Adagio Medical shares are owned by institutional investors. 0.7% of Teleflex shares are owned by company insiders. Comparatively, 7.8% of Adagio Medical shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Summary

Teleflex beats Adagio Medical on 8 of the 15 factors compared between the two stocks.

About Teleflex

Teleflex Incorporated designs, develops, manufactures, and supplies single-use medical devices for common diagnostic and therapeutic procedures in critical care and surgical applications worldwide. The company provides vascular access products that comprise Arrow branded catheters, catheter navigation and tip positioning systems, and intraosseous access systems for the administration of intravenous therapies, the measurement of blood pressure, and the withdrawal of blood samples through a single puncture site. It also offers interventional products, which consists of various coronary catheters, structural heart support devices, and peripheral intervention and mechanical circulatory support platform that are used by interventional cardiologists and radiologists, and vascular surgeons; and Arrow branded pumps and catheters, Guideline, Turnpike, and Trapliner catheters, the Manta Vascular Closure, and Arrow Oncontrol devices. The company provides anesthesia products, such as airway and pain management products to support hospital, emergency medicine, and military channels; and surgical products, including metal and polymer ligation clips, and fascial closure surgical systems that are used in laparoscopic surgical procedures, percutaneous surgical systems, and other surgical instruments. It also offers interventional urology products comprising the UroLift System, an invasive technology for treating lower urinary tract symptoms due to benign prostatic hyperplasia; respiratory products, including oxygen and aerosol therapies, spirometry, and ventilation management products for use in various care settings; urology products, such as catheters, urine collectors, and catheterization accessories and products for operative endourology; and bladder management services. The company serves hospitals and healthcare providers, medical device manufacturers, and home care markets. Teleflex Incorporated was incorporated in 1943 and is headquartered in Wayne, Pennsylvania.

About Adagio Medical

Adagio Medical Holdings, Inc., a developmental stage medical device company, focuses on the development and commercialization of ablation technologies for the treatment of cardiac arrhythmias. It offers treatment for cardiac arrhythmias, including atrial fibrillation, atrial flutter, and ventricular tachycardia. The company’s product portfolio includes iCLAS atrial ultra-low temperature cryoablation (ULTC) catheter and accessories; vCLAS ventricular ULTC catheter; and Cryopulse atrial pulsed-field cryoablation catheter and accessories. The company is based in Laguna Hills, California.