SANUWAVE Health (OTCMKTS:SNWV) versus NeuroPace (NASDAQ:NPCE) Head-To-Head Survey

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

Earnings and Valuation

This table compares NeuroPace and SANUWAVE Health’s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
NeuroPace	$69.07 million	2.95	-$32.96 million	($1.19)	-5.96
SANUWAVE Health	$20.40 million	0.93	-$25.81 million	($0.01)	-1.60

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

Risk and Volatility

NeuroPace has a beta of 1.8, suggesting that its stock price is 80% more volatile than the S&P 500. Comparatively, SANUWAVE Health has a beta of 1.08, suggesting that its stock price is 8% more volatile than the S&P 500.

Insider & Institutional Ownership

78.8% of NeuroPace shares are held by institutional investors. Comparatively, 42.5% of SANUWAVE Health shares are held by institutional investors. 22.2% of NeuroPace shares are held by company insiders. Comparatively, 16.4% of SANUWAVE Health shares are held by company 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.

Profitability

This table compares NeuroPace and SANUWAVE Health’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
NeuroPace	-45.61%	-173.62%	-30.89%
SANUWAVE Health	-77.00%	-3.81%	9.71%

Analyst Ratings

This is a breakdown of recent ratings and price targets for NeuroPace and SANUWAVE Health, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
NeuroPace	0	1	6	0	2.86
SANUWAVE Health	0	0	0	0	N/A

NeuroPace currently has a consensus price target of $14.00, suggesting a potential upside of 97.32%. Given NeuroPace’s higher possible upside, analysts plainly believe NeuroPace is more favorable than SANUWAVE Health.

Summary

NeuroPace beats SANUWAVE Health on 8 of the 13 factors compared between the two stocks.

About NeuroPace

NeuroPace, Inc. operates as a medical device company in the United States. The company develops RNS system, a brain-responsive neuromodulation system that delivers personalized, real-time treatment at the seizure source for treating medically refractory focal epilepsy. It also records continuous brain activity data and enables clinicians to monitor patients in person and remotely. Its RNS System includes RNS neurostimulator, cortical strip and depth leads, and Patient Remote Monitor, as well as other implantable and non-implantable accessories. The company sells its products to hospital facilities for initial RNS system implant procedures and for replacement procedures. NeuroPace, Inc. was incorporated in 1997 and is headquartered in Mountain View, California.

About SANUWAVE Health

SANUWAVE Health, Inc., a shock wave technology company, researches, develops, and commercializes noninvasive, high-energy, and acoustic shock waves for regenerative medicine and other applications in the United States and internationally. Its shockwaves are used to produce a biological response resulting in the body healing itself through the repair and regeneration of tissue, musculoskeletal, and vascular structures. The company's pulsed acoustic cellular expression systems, including dermaPACE system for treating diabetic foot ulcers and other chronic wounds; orthoPACE system for treating tendinopathies and acute and nonunion fractures; and Profile is used to provide solution for pain management in sports medicine and physical therapy. Its portfolio of wound treatment solutions provides patients with a noninvasive technology that boosts the body's normal healing and tissue regeneration processes. In addition, the company offers UltraMIST, non-contact and non-thermal ultrasound therapy device used to treat diabetic foot ulcers, pressure ulcers, venous leg ulcers, deep tissue pressure injuries, and surgical wounds. SANUWAVE Health, Inc. was founded in 2004 and is headquartered in Eden Prairie, Minnesota.