Critical Analysis: Iradimed (NASDAQ:IRMD) and Endologix (OTCMKTS:ELGXQ)

Iradimed (NASDAQ:IRMD) and Endologix (OTCMKTS:ELGXQ) are both medical companies, but which is the better investment? We will contrast the two businesses based on the strength of their analyst recommendations, earnings, profitability, institutional ownership, dividends, valuation and risk.

Profitability

This table compares Iradimed and Endologix’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Iradimed	26.26%	24.12%	21.20%
Endologix	N/A	N/A	N/A

Analyst Ratings

This is a breakdown of recent ratings for Iradimed and Endologix, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Iradimed	0	0	3	0	3.00
Endologix	0	0	0	0	0.00

Iradimed presently has a consensus price target of $72.00, suggesting a potential upside of 36.26%. Given Iradimed’s stronger consensus rating and higher possible upside, research analysts plainly believe Iradimed is more favorable than Endologix.

Valuation & Earnings

This table compares Iradimed and Endologix”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Iradimed	$73.24 million	9.14	$19.23 million	$1.50	35.23
Endologix	N/A	N/A	N/A	N/A	N/A

Iradimed has higher revenue and earnings than Endologix.

Insider & Institutional Ownership

92.3% of Iradimed shares are owned by institutional investors. 37.1% of Iradimed shares are owned by insiders. Comparatively, 1.3% of Endologix shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Summary

Iradimed beats Endologix on 9 of the 9 factors compared between the two stocks.

About Iradimed

IRadimed Corp. engages in the development, manufacture, marketing, and distribution of Magnetic Resonance Imaging compatible medical devices. It also provides a non-magnetic Intravenous infusion pump system that is specifically designed for use during MRI procedures. The company was founded by Roger Susi in July 1992 and is headquartered in Winter Springs, FL.

About Endologix

Endologix, Inc. develops, manufactures, markets, and sells medical devices for the treatment of abdominal aortic aneurysms in the United States and internationally. The company offers minimally-invasive endovascular aneurysm repair (EVAR), including AFX (Anatomical Fixation) endovascular AAA system, which is a minimally invasive delivery system; VELA Proximal Endograft, which is designed for the treatment of proximal aortic neck anatomies with AFX; and the Ovation abdominal stent graft system. It also provides endovascular aneurysm sealing system (EVAS) product that is based on the Nellix EVAS system to seal the aneurysm, and provides blood flow to the legs through two blood lumens. In addition, the company offers proximal aortic extensions and limb extensions, which allow physicians to customize the implant to fit the patient's anatomy; and accessories to facilitate the delivery of its EVAR and EVAS products, including compatible guidewires, inflation devices, and snares. It sells its products through direct sales force, and a network of third party distributors and agents. The company was formerly known as Radiance Medical Systems, Inc. and changed its name to Endologix, Inc. in May 2002. Endologix, Inc. was founded in 1992 and is headquartered in Irvine, California. On July 5, 2020, Endologix, Inc. filed a voluntary petition for reorganization under Chapter 11 in the U.S. Bankruptcy Court for the Northern District of Texas. It is in joint administration with TriVascular Sales LLC.