Comparing Biodesix (NASDAQ:BDSX) & Renalytix (NASDAQ:RNLX)

Renalytix (NASDAQ:RNLX) and Biodesix (NASDAQ:BDSX) are both small-cap computer and technology companies, but which is the better business? We will compare the two companies based on the strength of their profitability, institutional ownership, valuation, risk, analyst recommendations, earnings and dividends.

Insider & Institutional Ownership

9.9% of Renalytix shares are held by institutional investors. Comparatively, 21.0% of Biodesix shares are held by institutional investors. 17.8% of Renalytix shares are held by company insiders. Comparatively, 69.2% of Biodesix shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares Renalytix and Biodesix’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Renalytix	-1,687.80%	-1,008.88%	-205.46%
Biodesix	-85.80%	-29,379.44%	-52.08%

Analyst Recommendations

This is a breakdown of recent recommendations for Renalytix and Biodesix, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Renalytix	0	0	0	0	N/A
Biodesix	0	0	5	0	3.00

Biodesix has a consensus target price of $3.10, suggesting a potential upside of 91.36%. Given Biodesix’s higher possible upside, analysts plainly believe Biodesix is more favorable than Renalytix.

Risk & Volatility

Renalytix has a beta of 2.78, meaning that its share price is 178% more volatile than the S&P 500. Comparatively, Biodesix has a beta of 1.21, meaning that its share price is 21% more volatile than the S&P 500.

Valuation and Earnings

This table compares Renalytix and Biodesix’s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Renalytix	$2.22 million	10.49	-$45.61 million	($0.39)	-0.77
Biodesix	$49.09 million	3.78	-$52.15 million	($0.55)	-2.95

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

Summary

Biodesix beats Renalytix on 7 of the 13 factors compared between the two stocks.

About Renalytix

Renalytix Plc develops artificial intelligence-enabled in vitro diagnostic solutions for kidney diseases. The company offers KidneyIntelX, a diagnostic platform that employs an artificial intelligence-enabled algorithm that combines various data inputs, including validated blood-based biomarkers, inherited genetics, and personalized patient data from electronic health record systems to generate a unique patient risk score. Its products are used in kidney disease diagnosis and prognosis, clinical care, patient stratification for drug clinical trials, and drug target discovery. Renalytix Plc has a license agreement with Mount Sinai Health System to develop and commercialize licensed products in connection with the application of artificial intelligence for the diagnosis of kidney disease; and Joslin Diabetes Center, Inc. for developing and commercializing products for diagnosing and predicting kidney disease using biomarkers. The company also has a partnership agreement with Atrium Health, Wake Forest Baptist Health, and Wake Forest School of Medicine to implement an advanced clinical care model designed to improve kidney health and reduce kidney disease progression and kidney failure. The company was formerly known as Renalytix AI plc and changed its name to Renalytix Plc in June 2021. Renalytix Plc was incorporated in 2018 and is based in New York, New York.

About Biodesix

Biodesix, Inc. operates as a data-driven diagnostic solutions company in the United States. The company offers blood-based lung tests, including Nodify XL2 and Nodify CDT tests, together marketed as part of Nodify Lung Nodule Risk Assessment testing strategy, to assess the risk of lung cancer and help in identifying the appropriate treatment pathway and help physicians in reclassifying risk of malignancy in patients with suspicious lung nodules. It also provides GeneStrat ddPCR and NGS, and VeriStrat tests, which are used in the diagnosis of lung cancer to measure the presence of mutations in the tumor and the state of the patient's immune system to establish the patient's prognosis and help guide treatment decisions. In addition, the company, through its partnership with Bio-Rad Laboratories, Inc., provides Bio-Rad SARS-CoV-2 ddPCR, a COVID-19 Test under Biodesix WorkSafe testing program; and Platelia SARS-CoV-2 Total Ab test, an antibody test for detecting a B-cell immune response to SARS-CoV-2 that indicate recent or prior infection. Further, it offers diagnostic and clinical research, as well as clinical trial testing services to biopharmaceutical companies; and discovers, develops, and commercializes companion diagnostics. The company was formerly known as Elston Technologies, Inc. and as changed to Biodesix, Inc. in 2006. Biodesix, Inc. was incorporated in 2005 and is headquartered in Louisville, Colorado.