Haemonetics (NYSE:HAE) and Intuitive Surgical (NASDAQ:ISRG) Head to Head Contrast

Intuitive Surgical (NASDAQ:ISRG) and Haemonetics (NYSE:HAE) are both healthcare companies, but which is the better investment? We will contrast the two companies based on the strength of their institutional ownership, valuation, earnings, profitability, risk, analyst recommendations and dividends.

Valuation and Earnings

This table compares Intuitive Surgical and Haemonetics”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Intuitive Surgical	$10.06 billion	13.76	$2.86 billion	$8.73	44.90
Haemonetics	$1.33 billion	3.57	$97.31 million	$2.04	51.36

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

Institutional & Insider Ownership

83.6% of Intuitive Surgical shares are held by institutional investors. Comparatively, 99.7% of Haemonetics shares are held by institutional investors. 0.6% of Intuitive Surgical shares are held by insiders. Comparatively, 2.1% of Haemonetics shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Analyst Recommendations

This is a summary of current ratings for Intuitive Surgical and Haemonetics, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Intuitive Surgical	1	8	22	0	2.68
Haemonetics	0	4	6	1	2.73

Intuitive Surgical currently has a consensus target price of $508.68, suggesting a potential upside of 29.78%. Haemonetics has a consensus target price of $99.78, suggesting a potential downside of 4.77%. Given Intuitive Surgical’s higher possible upside, equities analysts plainly believe Intuitive Surgical is more favorable than Haemonetics.

Profitability

This table compares Intuitive Surgical and Haemonetics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Intuitive Surgical	28.45%	16.91%	14.83%
Haemonetics	7.12%	27.55%	9.65%

Risk & Volatility

Intuitive Surgical has a beta of 1.46, suggesting that its stock price is 46% more volatile than the S&P 500. Comparatively, Haemonetics has a beta of 0.61, suggesting that its stock price is 39% less volatile than the S&P 500.

Summary

Intuitive Surgical beats Haemonetics on 9 of the 15 factors compared between the two stocks.

About Intuitive Surgical

Intuitive Surgical, Inc. develops, manufactures, and markets products that enable physicians and healthcare providers to enhance the quality of and access to minimally invasive care in the United States and internationally. The company offers the da Vinci Surgical System that enables complex surgery using a minimally invasive approach; and Ion endoluminal system, which extends its commercial offerings beyond surgery into diagnostic procedures enabling minimally invasive biopsies in the lung. It also provides a suite of stapling, energy, and core instrumentation for its multi-port da Vinci surgical systems; progressive learning pathways to support the use of its technology; infrastructure of service and support specialists, a complement of services to its customers, including installation, repair, maintenance, 24/7 technical support, and proactive system health monitoring; and integrated digital capabilities providing connected offerings, streamlining performance for hospitals with program-enhancing insights. The company sells its products through direct sales organizations, such as capital and clinical sales teams. It has a collaboration agreement with FluoGuide A/S for head & neck cancer. The company was incorporated in 1995 and is headquartered in Sunnyvale, California.

About Haemonetics

Haemonetics Corporation, a healthcare company, provides suite of medical products and solutions in the United States and internationally. The company offers automated plasma collection systems, donor management software, and supporting software solutions including NexSys PCS and PCS2 plasmapheresis equipment and related disposables and solutions, as well as integrated information technology platforms for plasma customers to manage their donors, operations, and supply chain; and NexLynk DMS donor management system and Donor360 app. It also provides automated blood component and manual whole blood collection systems, such as MCS brand apheresis equipment to collect specific blood components from the donor; disposable whole blood collection and component storage sets; SafeTrace Tx blood bank information system; and BloodTrack blood management software, a suite of blood management and bedside transfusion solutions that combines software with hardware components, as well as an extension of the hospital's blood bank information system. In addition, the company offers hospital products comprising TEG and HAS hemostasis analyzer systems that provide a comprehensive assessment of a patient's overall hemostasis; and TEG Manager software, which connects various TEG analyzers throughout the hospital, providing clinicians remote access to active and historical test results that inform treatment decisions. Further, it provides Cell Saver Elite +, an autologous blood recovery system for cardiovascular, orthopedic, trauma, transplant, vascular, obstetrical, and gynecological surgeries; and VASCADE products comprising VASCADE and VASCADE MVP, a technology platform which offers catheter-based delivery system and leverages the natural clot-inducing properties of collagen. The company sells its products through direct sales force, independent distributors, and sales representatives. Haemonetics Corporation was founded in 1971 and is headquartered in Boston, Massachusetts.