Comparing Nemaura Medical (NASDAQ:NMRD) & GBS (NYSE:GBS)

Nemaura Medical (NASDAQ:NMRD) and GBS (NYSE:GBS) are both small-cap medical companies, but which is the better business? We will contrast the two businesses based on the strength of their profitability, earnings, risk, dividends, analyst recommendations, institutional ownership and valuation.

Institutional and Insider Ownership

4.4% of Nemaura Medical shares are held by institutional investors. Comparatively, 2.8% of GBS shares are held by institutional investors. 40.4% of Nemaura Medical shares are held by company insiders. Comparatively, 0.3% of GBS shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Valuation & Earnings

This table compares Nemaura Medical and GBS’s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Nemaura Medical	$80,000.00	17.45	-$14.14 million	($0.39)	-0.09
GBS	$440,000.00	45.01	-$8.31 million	($0.56)	-2.38

GBS has higher revenue and earnings than Nemaura Medical. GBS is trading at a lower price-to-earnings ratio than Nemaura Medical, indicating that it is currently the more affordable of the two stocks.

Volatility and Risk

Nemaura Medical has a beta of -0.03, suggesting that its share price is 103% less volatile than the S&P 500. Comparatively, GBS has a beta of 1.32, suggesting that its share price is 32% more volatile than the S&P 500.

Profitability

This table compares Nemaura Medical and GBS’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Nemaura Medical	N/A	N/A	-142.69%
GBS	N/A	-85.64%	-54.42%

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Nemaura Medical and GBS, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Nemaura Medical	0	0	1	0	3.00
GBS	0	0	0	0	N/A

Nemaura Medical presently has a consensus target price of $2.50, suggesting a potential upside of 7,712.50%. Given Nemaura Medical’s higher possible upside, research analysts plainly believe Nemaura Medical is more favorable than GBS.

Summary

Nemaura Medical beats GBS on 7 of the 12 factors compared between the two stocks.

About Nemaura Medical

Nemaura Medical Inc., a medical technology company, manufactures continuous glucose monitoring system in the United States. It offers sugarBEAT, a non-invasive continuous glucose monitoring device for use by persons with Type I and Type II diabetes, as well as screen pre-diabetic patients. The company also offers proBEAT, a wellness guidance notes, that provide prompts and educate users on factors affecting blood sugar profiles, as well as conducts diabetes prevention and reversal programs. Nemaura Medical Inc. was founded in 2009 and is based in New York, New York.

About GBS

GBS Inc. operates as a biosensor diagnostic technology company in the Asia-Pacific and North America. It offers Saliva Glucose Biosensor, an organic thin-film transistor for diabetes management that measures glucose in saliva. The company also focuses on developing SARS-CoV-2 Biosensor, a biosensor test can be used as a complement to the (RNA) virus detection test; and a biosensor platform comprising of biochemistry, immunology, tumor markers, hormones, and nucleic acid diagnostic modalities. GBS Inc. has a research agreement with Johns Hopkins Bloomberg School of Public Health for the development of saliva-based diagnostic tests. The company was formerly known as Glucose Biosensor Systems (Greater China) Holdings, Inc. and changed its name to GBS Inc. in September 2019. The company was incorporated in 2016 and is headquartered in New York, New York. GBS Inc. is a subsidiary of Life Science Biosensor Diagnostics Pty Ltd.