Analyzing Star Equity (NASDAQ:STRR) and QT Imaging (NASDAQ:QTI)

QT Imaging (NASDAQ:QTI) and Star Equity (NASDAQ:STRR) are both small-cap medical companies, but which is the better business? We will compare the two companies based on the strength of their valuation, risk, earnings, dividends, institutional ownership, profitability and analyst recommendations.

Analyst Ratings

This is a summary of current ratings and price targets for QT Imaging and Star Equity, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
QT Imaging	0	0	0	0	N/A
Star Equity	0	0	0	0	N/A

Risk & Volatility

QT Imaging has a beta of -0.11, indicating that its share price is 111% less volatile than the S&P 500. Comparatively, Star Equity has a beta of 0.11, indicating that its share price is 89% less volatile than the S&P 500.

Valuation and Earnings

This table compares QT Imaging and Star Equity’s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
QT Imaging	N/A	N/A	-$4.03 million	N/A	N/A
Star Equity	$45.78 million	0.31	$25.13 million	$6.50	0.70

Star Equity has higher revenue and earnings than QT Imaging.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
QT Imaging	N/A	N/A	-19.75%
Star Equity	52.81%	-5.42%	-3.38%

Insider & Institutional Ownership

24.2% of QT Imaging shares are owned by institutional investors. Comparatively, 3.8% of Star Equity shares are owned by institutional investors. 75.4% of QT Imaging shares are owned by insiders. Comparatively, 28.8% of Star Equity shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Summary

Star Equity beats QT Imaging on 5 of the 8 factors compared between the two stocks.

About QT Imaging

QT Imaging Holdings, Inc. engages in the research, development, and commercialization of body imaging systems for detection, diagnosis, monitoring, and treatment of diseases. The company offers QT Ultrasound Breast Scanner, an ultrasonic imaging system that provides reflection-mode and transmission-mode images of a patient's breast. QT Imaging Holdings, Inc. was founded in 2011 and is based in Novato, California.

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.