Critical Contrast: Jushi (OTCMKTS:JUSHF) and Brainsway (NASDAQ:BWAY)

Jushi (OTCMKTS:JUSHF) and Brainsway (NASDAQ:BWAY) are both small-cap medical companies, but which is the superior stock? We will contrast the two businesses based on the strength of their dividends, analyst recommendations, profitability, earnings, risk, institutional ownership and valuation.

Volatility & Risk

Jushi has a beta of -0.91, suggesting that its share price is 191% less volatile than the S&P 500. Comparatively, Brainsway has a beta of 1.2, suggesting that its share price is 20% more volatile than the S&P 500.

Institutional & Insider Ownership

21.7% of Jushi shares are held by institutional investors. Comparatively, 30.1% of Brainsway shares are held by institutional investors. 22.5% of Jushi shares are held by insiders. Comparatively, 19.0% of Brainsway shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Profitability

This table compares Jushi and Brainsway’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Jushi	-25.15%	N/A	-15.07%
Brainsway	14.62%	11.10%	6.97%

Valuation & Earnings

This table compares Jushi and Brainsway”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Jushi	$262.91 million	0.39	-$48.78 million	($0.35)	-1.48
Brainsway	$52.23 million	10.41	$7.63 million	$0.25	54.32

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

Analyst Ratings

This is a summary of recent ratings and recommmendations for Jushi and Brainsway, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Jushi	0	0	0	1	4.00
Brainsway	0	1	2	1	3.00

Brainsway has a consensus price target of $15.00, indicating a potential upside of 10.46%. Given Brainsway’s higher possible upside, analysts clearly believe Brainsway is more favorable than Jushi.

Summary

Brainsway beats Jushi on 11 of the 14 factors compared between the two stocks.

About Jushi

Jushi Holdings Inc., a vertically integrated cannabis company, engages in the cultivation, processing, retail, and distribution of cannabis for medical and adult-use markets. The company offers flower, extracts, concentrates, edibles, oil, pre-rolls, tinctures, capsules, softgels, cannabis-infused gummies and ultra-premium chocolate, and topicals products, as well as vaporization devices and cartridges under The Bank, The Lab, Nira+ Medicinals, Sèchè, Tasteology, and Hijinks brands. It is also involved in the bulk wholesale of refined cannabinoids and terpenes. In addition, the company operates medical cannabis dispensaries under the BEYOND/HELLO, Nature’s Remedy, and NuLeaf brands. It markets its products to local dispensaries and large multi-state operators. The company is headquartered in Boca Raton, Florida.

About Brainsway

BrainsWay Ltd. develops and sells noninvasive neurostimulation treatments for mental health disorders in the United States and internationally. It offers Deep Transcranial Magnetic Stimulation platform technology for the treatment of major depressive disorders, anxious depression, obsessive-compulsive disorders, smoking addiction, bipolar disorders, post traumatic stress disorders, schizophrenia, Alzheimer's disease, autism, chronic pain, multiple sclerosis, post stroke rehabilitation, and Parkinson's diseases. The company serves doctors, hospitals, and medical centers in the field of psychiatry. BrainsWay Ltd. was founded in 2003 and is headquartered in Jerusalem, Israel.