Head to Head Contrast: CompuMed (OTCMKTS:CMPD) & Clarivate (NYSE:CLVT)

CompuMed (OTCMKTS:CMPD) and Clarivate (NYSE:CLVT) are both medical companies, but which is the better investment? We will compare the two companies based on the strength of their valuation, profitability, institutional ownership, risk, earnings, dividends and analyst recommendations.

Risk & Volatility

CompuMed has a beta of 0.21, indicating that its stock price is 79% less volatile than the S&P 500. Comparatively, Clarivate has a beta of 1.14, indicating that its stock price is 14% more volatile than the S&P 500.

Valuation and Earnings

This table compares CompuMed and Clarivate”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CompuMed	$6.22 million	0.55	$190,000.00	$0.15	17.33
Clarivate	$2.63 billion	1.38	-$911.20 million	($1.99)	-2.56

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

Analyst Ratings

This is a breakdown of recent recommendations and price targets for CompuMed and Clarivate, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CompuMed	0	0	0	0	0.00
Clarivate	1	3	2	0	2.17

Clarivate has a consensus price target of $7.10, suggesting a potential upside of 39.35%. Given Clarivate’s stronger consensus rating and higher probable upside, analysts clearly believe Clarivate is more favorable than CompuMed.

Insider & Institutional Ownership

85.7% of Clarivate shares are owned by institutional investors. 22.0% of CompuMed shares are owned by insiders. Comparatively, 23.1% of Clarivate shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares CompuMed and Clarivate’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CompuMed	3.15%	6.19%	4.51%
Clarivate	-50.00%	9.69%	3.97%

Summary

Clarivate beats CompuMed on 9 of the 14 factors compared between the two stocks.

About CompuMed

CompuMed, Inc., an enterprise telemedicine solutions company, provides clinical care services for patients and medical facilities. It offers telecardiology and teleradiology services that provide real-time access to U.S. Board-Certified specialists through cloud-based technology and integrated medical devices to medical facilities worldwide. The company also provides enterprise telemedicine solutions; a suite of telecardiology services and diagnostic exam interpretations for pediatric and adult patients, including electrocardiogram (ECG) devices, echocardiogram, ECG, vascular, holter, nuclear, and video consults; and reading, transcription, reporting, storage, and video consultations in the areas of Vscan, X-ray, ultrasound, mammography, computed tomography, magnetic resonance imaging, and radiologist video consults. It also offers OsteoGram software that works in combination with standard or digital X-ray equipment to support osteoporosis screening, diagnosis, and therapy monitoring. In addition, the company provides mobile ECG and ultrasound solutions that provide patients with immediate access to its board-certified specialists; and medical devices. It serves organ procurement organizations, rural healthcare, and correctional healthcare industries. CompuMed, Inc. was founded in 1973 and is headquartered in Los Angeles, California.

About Clarivate

Clarivate Plc operates as an information services provider in the Americas, the Middle East, Africa, Europe, and the Asia Pacific. It operates through three segments: Academia & Government, Life Sciences & Healthcare, and Intellectual Property. The company offers Web of Science and InCites, that analyzes and explores the academic research landscape and manages research information; ProQuest One and Ebook Central that provides comprehensive content collections to institutions in a cost-effective manner; and Alma and Polaris, that manages academic resources and services, connect users, and support research publications. It also provides Patent and Trademark Renewals, that supports paralegal and admin tasks throughout the patent and trademark protection and maintenance process; CompuMark and Derwent, that supports critical decisions around patent and trademark protection, risk, and value creation throughout the innovation and brand lifecycle; IPFolio and Foundation IP that creates a structured environment for the protection and management of global patent and trademark assets. In addition, the company offers Cortellis Competitive Intelligence and Cortellis Drug Discovery Intelligence, that supports the development of new drugs and medical devices from discovery to clinical trials; Cortellis Regulatory Intelligence and OFF-X to monitor drug safety issues and adhere to regulatory protocols; Real World Data and Optimize that inform commercial launch strategy and set pricing for optimal reimbursement. It serves corporations, universities, law firms, government agencies, public libraries, and other professional services organizations. The company was formerly known as Clarivate Analytics Plc and changed its name to Clarivate Plc in May 2020. Clarivate Plc was founded in 1864 and is headquartered in London, the United Kingdom.