Integer (NYSE:ITGR) & Star Equity (NASDAQ:STRR) Critical Analysis

Star Equity (NASDAQ:STRR) and Integer (NYSE:ITGR) are both multi-sector conglomerates companies, but which is the superior stock? We will contrast the two companies based on the strength of their profitability, valuation, risk, dividends, institutional ownership, analyst recommendations and earnings.

Insider & Institutional Ownership

3.8% of Star Equity shares are owned by institutional investors. Comparatively, 99.3% of Integer shares are owned by institutional investors. 33.5% of Star Equity shares are owned by company insiders. Comparatively, 2.0% of Integer shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Analyst Ratings

This is a summary of recent ratings and price targets for Star Equity and Integer, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Star Equity	0	0	0	0	0.00
Integer	0	1	8	0	2.89

Integer has a consensus target price of $145.44, suggesting a potential upside of 9.99%. Given Integer’s stronger consensus rating and higher possible upside, analysts clearly believe Integer is more favorable than Star Equity.

Earnings and Valuation

This table compares Star Equity and Integer”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Star Equity	$50.38 million	0.15	$25.13 million	($2.57)	-0.90
Integer	$1.71 billion	2.59	$90.65 million	$3.24	40.81

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

Profitability

This table compares Star Equity and Integer’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Star Equity	-12.41%	-8.72%	-4.62%
Integer	6.70%	11.63%	5.86%

Volatility and Risk

Star Equity has a beta of 0.15, indicating that its stock price is 85% less volatile than the S&P 500. Comparatively, Integer has a beta of 1.12, indicating that its stock price is 12% more volatile than the S&P 500.

Summary

Integer beats Star Equity on 13 of the 14 factors compared between the two stocks.

About Star Equity

Star Equity Holdings, Inc. engages in the construction business in the United States and internationally. It operates through two segments: Construction, and Investments. It manufactures modular housing units, structural wall panels, permanent wood foundation systems, and other engineered wood products; supplies general contractors with building materials; holds real estate assets; and manages investments. The company was formerly known as Digirad Corporation and changed its name to Star Equity Holdings, Inc. in December 2020. Star Equity Holdings, Inc. was founded in 1985 and is headquartered in Old Greenwich, Connecticut.

About Integer

Integer Holdings Corporation operates as a medical device outsource manufacturer in the United States, Puerto Rico, Costa Rica, and internationally. It operates through two segments, Medical and Non-Medical. The company offers products for interventional cardiology, structural heart, heart failure, peripheral vascular, neurovascular, interventional oncology, electrophysiology, vascular access, infusion therapy, hemodialysis, non-vascular, urology, and gastroenterology procedures. It also provides cardiac rhythm management products, including implantable pacemakers, implantable cardioverter defibrillators, insertable cardiac monitors, implantable cardiac pacing and defibrillation leads, and heart failure therapies; neuromodulation products, such as implantable spinal cord stimulators; and non-rechargeable batteries, feedthroughs, device enclosures, machined components, and lead components and sub-assemblies. In addition, the company offers rechargeable batteries and chargers; and arthroscopic, laparoscopic, and general surgery devices and components, such as harmonic scalpels, shaver blades, burr shavers, radio frequency probes, biopsy probes, trocars, electrocautery components, wound dressings, GERD treatment components, and phacoemulsification needles. Further, it provides orthopedic products that include instruments used in hip, knee, and spine surgeries, as well as reamers and chisels. Additionally, the company offers customized battery power and power management systems, and battery solutions for the energy, military, and environmental markets. Furthermore, the company provides medical technologies. It serves multi-national original equipment manufacturers and their affiliated subsidiaries in the cardiac rhythm management, neuromodulation, orthopedics, vascular, and advanced surgical and portable medical markets. Integer Holdings Corporation was founded in 1970 and is headquartered in Plano, Texas.