Predictive Oncology (NASDAQ:POAI) and Inspire Medical Systems (NYSE:INSP) Financial Survey

Predictive Oncology (NASDAQ:POAI) and Inspire Medical Systems (NYSE:INSP) are both medical companies, but which is the superior investment? We will compare the two companies based on the strength of their profitability, valuation, analyst recommendations, dividends, institutional ownership, risk and earnings.

Profitability

This table compares Predictive Oncology and Inspire Medical Systems’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Predictive Oncology	-587.31%	-722.01%	-167.23%
Inspire Medical Systems	6.17%	10.38%	8.93%

Insider and Institutional Ownership

9.0% of Predictive Oncology shares are held by institutional investors. Comparatively, 94.9% of Inspire Medical Systems shares are held by institutional investors. 3.4% of Predictive Oncology shares are held by company insiders. Comparatively, 4.1% of Inspire Medical Systems 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.

Volatility & Risk

Predictive Oncology has a beta of 1.32, meaning that its share price is 32% more volatile than the S&P 500. Comparatively, Inspire Medical Systems has a beta of 1.16, meaning that its share price is 16% more volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent ratings and price targets for Predictive Oncology and Inspire Medical Systems, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Predictive Oncology	1	1	0	0	1.50
Inspire Medical Systems	1	7	7	0	2.40

Inspire Medical Systems has a consensus target price of $148.00, indicating a potential upside of 89.67%. Given Inspire Medical Systems’ stronger consensus rating and higher probable upside, analysts plainly believe Inspire Medical Systems is more favorable than Predictive Oncology.

Valuation & Earnings

This table compares Predictive Oncology and Inspire Medical Systems”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Predictive Oncology	$1.66 million	4.37	-$12.66 million	($3.05)	-3.12
Inspire Medical Systems	$802.80 million	2.87	$53.51 million	$1.73	45.10

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

Summary

Inspire Medical Systems beats Predictive Oncology on 12 of the 14 factors compared between the two stocks.

About Predictive Oncology

Predictive Oncology Inc. operates as a science-driven company on the oncology drug discovery. It provides various solutions for the oncology drug development. The company, through the integration of scientific rigor and machine learning, has developed the ability to advance molecules into medicine by introducing human diversity earlier into the discovery process with the pairing of artificial intelligence and the biobank of approximately 150K tumor samples. It operates through four segments: Helomics, zPREDICTA, Soluble, and Skyline. The Helomics segment provides services that include the application of AI, collaboration projects, and clinical testing. The zPREDICTA segment develops organ-specific disease models that provide 3D reconstruction of human tissues representing each disease state and mimicking drug response for testing of anticancer agents. The Soluble segment provides services using a self-contained automated system that conducts self-interaction chromatography screens using additives and excipients included in protein formulations resulting in soluble and physically stable formulations for biologics. This segment also offers protein stability analysis services; protein solubility kits that allow rapid identification of soluble formulations; and proprietary technologies for bacterial endotoxin detection and removal. The Skyline segment provides STREAMWAY System, a wall-mounted fully automated system, which virtually eliminates exposure to blood, irrigation fluid, and other infectious fluids found in the healthcare environment. The company was formerly known as Precision Therapeutics Inc. and changed its name to Predictive Oncology Inc. in June 2019. Predictive Oncology Inc. was incorporated in 2002 and is headquartered in Eagan, Minnesota.

About Inspire Medical Systems

Inspire Medical Systems, Inc., a medical technology company, focuses on the development and commercialization of minimally invasive solutions for patients with obstructive sleep apnea (OSA) in the United States and internationally. The company offers Inspire system, a neurostimulation technology that provides a safe and effective treatment for moderate to severe OSA. It also develops a novel, closed-loop solution that continuously monitors a patient's breathing and delivers mild hypoglossal nerve stimulation to maintain an open airway. The company was incorporated in 2007 and is headquartered in Golden Valley, Minnesota.