Financial Contrast: Elutia (NASDAQ:ELUT) versus Nano-X Imaging (NASDAQ:NNOX)

Elutia (NASDAQ:ELUT) and Nano-X Imaging (NASDAQ:NNOX) are both small-cap healthcare companies, but which is the better investment? We will contrast the two businesses based on the strength of their valuation, risk, earnings, analyst recommendations, dividends, institutional ownership and profitability.

Insider & Institutional Ownership

74.0% of Elutia shares are held by institutional investors. Comparatively, 21.5% of Nano-X Imaging shares are held by institutional investors. 17.8% of Elutia shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Profitability

This table compares Elutia and Nano-X Imaging’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Elutia	426.93%	-407.37%	-47.08%
Nano-X Imaging	-926.05%	-116.93%	-100.67%

Risk and Volatility

Elutia has a beta of 0.84, meaning that its share price is 16% less volatile than the S&P 500. Comparatively, Nano-X Imaging has a beta of 1.28, meaning that its share price is 28% more volatile than the S&P 500.

Analyst Ratings

This is a breakdown of current ratings and target prices for Elutia and Nano-X Imaging, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Elutia	1	0	0	0	1.00
Nano-X Imaging	1	2	2	1	2.50

Nano-X Imaging has a consensus price target of $4.33, suggesting a potential upside of 604.15%. Given Nano-X Imaging’s stronger consensus rating and higher possible upside, analysts clearly believe Nano-X Imaging is more favorable than Elutia.

Valuation & Earnings

This table compares Elutia and Nano-X Imaging”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Elutia	$12.29 million	2.80	$53.38 million	$0.95	0.82
Nano-X Imaging	$13.02 million	3.71	-$75.02 million	($2.14)	-0.29

Elutia has higher earnings, but lower revenue than Nano-X Imaging. Nano-X Imaging is trading at a lower price-to-earnings ratio than Elutia, indicating that it is currently the more affordable of the two stocks.

Summary

Nano-X Imaging beats Elutia on 8 of the 15 factors compared between the two stocks.

About Elutia

Elutia Inc., a commercial-stage company, develops and commercializes drug-eluting biologics products for neurostimulation, wound care, and breast reconstruction in the United States. The company operates in three segments: Device Protection; Women's Health; and Cardiovascular. It offers CanGaroo Envelope, which is used to accommodate cardiac implantable electronic devices, such as pacemakers and internal defibrillators. The company also develops CanGarooRM, a combination of the CanGaroo envelope with antibiotics, to reduce the risk of infection after surgical implantation of an electronic device. In addition, it provides ProxiCor for cardiac tissue repair and pericardial closure; Tyke, an extracellular material that is used in the repair of cardiac structures for neonate and infant patients; and VasCure, a patch material to repair or reconstruct the peripheral vasculature. Further, the company offers SimpliDerm, which uses human acellular dermal matrices for tissue repair and reconstruction in various applications, such as sports medicine, hernia repair, trauma reconstruction, and breast reconstruction surgeries following mastectomy. It serves hospitals and healthcare facilities through its direct sales force, independent sales agents, and distributors. The company was formerly known as Aziyo Biologics, Inc. and changed its name to Elutia Inc. in September 2023. Elutia Inc. was incorporated in 2015 and is headquartered in Silver Spring, Maryland.

About Nano-X Imaging

Nano-X Imaging Ltd. develops a commercial-grade tomographic imaging device with a digital X-ray source. The company provides teleradiology services and develops artificial intelligence applications to be used in real-world medical imaging applications. Its X-ray source is based on a digital micro-electro-mechanical systems semiconductor cathode. The company's solutions include Nanox Multi Source System comprising Nanox.ARC, a medical tomographic imaging system incorporating its digital X-ray source, and Nanox. CLOUD, a platform which employs a matching engine to match medical images to radiologists that provides image repository, connectivity to diagnostic assistive AI systems, billing, and reporting. It also offers Nanox.MARKETPLACE, which connects imaging facilities with radiologists and enables radiologists to provide, as well as customers to obtain remote interpretations of imaging data; artificial intelligence (AI)-based software imaging solutions to hospitals, health maintenance organizations, integrated delivery networks, pharmaceutical companies, and insurers that are designed to identify or predict undiagnosed or underdiagnosed medical conditions through the mining of data included in images of existing computed tomography scans for osteoporosis and cardiovascular disease; Teleradiology Services, which provide imaging interpretation services for radiology practices, hospitals, medical clinics, diagnostic imaging centers, urgent care facilities; and multi-specialty physician groups, contracts, and radiology readings. The company is headquartered in Petach Tikva, Israel.