Head to Head Contrast: Green Thumb Industries (OTCMKTS:GTBIF) vs. NeurAxis (NASDAQ:NRXS)

Green Thumb Industries (OTCMKTS:GTBIF) and NeurAxis (NASDAQ:NRXS) are both small-cap healthcare companies, but which is the superior business? We will contrast the two businesses based on the strength of their dividends, institutional ownership, risk, earnings, profitability, analyst recommendations and valuation.

Insider & Institutional Ownership

0.1% of Green Thumb Industries shares are owned by institutional investors. Comparatively, 11.8% of NeurAxis shares are owned by institutional investors. 9.4% of Green Thumb Industries shares are owned by insiders. Comparatively, 21.1% of NeurAxis shares are owned by 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.

Profitability

This table compares Green Thumb Industries and NeurAxis’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Green Thumb Industries	10.48%	6.03%	4.09%
NeurAxis	-492.76%	N/A	-641.25%

Volatility & Risk

Green Thumb Industries has a beta of 1.28, meaning that its share price is 28% more volatile than the S&P 500. Comparatively, NeurAxis has a beta of 1.38, meaning that its share price is 38% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent ratings and target prices for Green Thumb Industries and NeurAxis, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Green Thumb Industries	0	1	1	0	2.50
NeurAxis	0	1	1	0	2.50

Green Thumb Industries currently has a consensus target price of $18.00, indicating a potential upside of 194.60%. NeurAxis has a consensus target price of $13.00, indicating a potential upside of 68.83%. Given Green Thumb Industries’ higher possible upside, analysts clearly believe Green Thumb Industries is more favorable than NeurAxis.

Earnings and Valuation

This table compares Green Thumb Industries and NeurAxis”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Green Thumb Industries	$1.18 billion	1.02	$114.15 million	$0.54	11.31
NeurAxis	$5.32 million	18.19	-$14.63 million	($0.78)	-9.87

Green Thumb Industries has higher revenue and earnings than NeurAxis. NeurAxis is trading at a lower price-to-earnings ratio than Green Thumb Industries, indicating that it is currently the more affordable of the two stocks.

Summary

Green Thumb Industries beats NeurAxis on 8 of the 12 factors compared between the two stocks.

About Green Thumb Industries

Green Thumb Industries Inc. manufactures, distributes, markets, and sells of cannabis products for medical and adult-use in the United States. It operates through two segments, Retail and Consumer Packaged Goods. The company offers cannabis flower; processed and packaged products, including pre-rolls, concentrates, vapes, capsules, tinctures, edibles, topicals, and other cannabis-related products under the &Shine, Beboe, Dogwalkers, Doctor Solomon's, Good Green, incredibles, and RHYTHM brands. It distributes its products primarily to third-party retail customers and sells finished products directly to consumers in its own retail stores, as well as direct-to consumer delivery channel. Green Thumb Industries Inc. was founded in 2014 and is headquartered in Chicago, Illinois.

About NeurAxis

NeurAxis, Inc., a medical technology company, focuses on developing neuromodulation therapies to address chronic and debilitating conditions in children and adults in the United States. It offers IB-Stim, a percutaneous electrical nerve field stimulation system intended to be used in patients 11-18 years of age with functional abdominal pain associated with irritable bowel syndrome. The company sells its products to healthcare companies, including hospitals and clinics. The company was formerly known as Innovative Health Solutions, Inc. and changed its name to NeurAxis, Inc. in March 2022. The company was founded in 2011 and is headquartered in Carmel, Indiana.