Head-To-Head Analysis: Nexalin Technology (NASDAQ:NXL) versus NeurAxis (NASDAQ:NRXS)

Nexalin Technology (NASDAQ:NXL) and NeurAxis (NASDAQ:NRXS) are both small-cap business services companies, but which is the superior stock? We will contrast the two companies based on the strength of their earnings, risk, analyst recommendations, dividends, valuation, profitability and institutional ownership.

Institutional and Insider Ownership

0.7% of Nexalin Technology shares are owned by institutional investors. Comparatively, 11.8% of NeurAxis shares are owned by institutional investors. 27.7% of Nexalin Technology shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Profitability

This table compares Nexalin Technology and NeurAxis’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Nexalin Technology	-3,088.12%	-154.84%	-122.94%
NeurAxis	-633.10%	N/A	-926.02%

Analyst Ratings

This is a summary of recent ratings and target prices for Nexalin Technology and NeurAxis, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Nexalin Technology	0	0	0	0	N/A
NeurAxis	0	0	1	0	3.00

Valuation & Earnings

This table compares Nexalin Technology and NeurAxis’ top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Nexalin Technology	$110,000.00	51.06	-$4.65 million	($0.66)	-1.14
NeurAxis	$2.46 million	7.54	-$14.63 million	($3.73)	-0.75

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

Summary

NeurAxis beats Nexalin Technology on 6 of the 11 factors compared between the two stocks.

About Nexalin Technology

Nexalin Technology, Inc., a medical device company, designs and develops neurostimulation products for the treatment of mental health in the United States and China. The company designs and develops Generation 2 and Generation 3, that is in clinical trials for the treatment of substance abuse issues related to opiate, cocaine, alcohol abuse, alzheimer's disease, and dementia. It also licenses and sells Nexalin Device, a non-invasive and undetectable to the human body that can provide relief to its afflicted with mental health issues. The company is based in Houston, Texas.

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.