Head to Head Review: Quipt Home Medical (NASDAQ:QIPT) & Meihua International Medical Technologies (NASDAQ:MHUA)

Meihua International Medical Technologies (NASDAQ:MHUA) and Quipt Home Medical (NASDAQ:QIPT) are both small-cap medical companies, but which is the better stock? We will compare the two businesses based on the strength of their analyst recommendations, valuation, earnings, dividends, institutional ownership, risk and profitability.

Risk and Volatility

Meihua International Medical Technologies has a beta of 0.44, indicating that its stock price is 56% less volatile than the S&P 500. Comparatively, Quipt Home Medical has a beta of 0.6, indicating that its stock price is 40% less volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent ratings for Meihua International Medical Technologies and Quipt Home Medical, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Meihua International Medical Technologies	0	0	0	0	N/A
Quipt Home Medical	1	0	3	2	3.00

Quipt Home Medical has a consensus target price of $6.25, indicating a potential upside of 120.85%. Given Quipt Home Medical’s higher possible upside, analysts clearly believe Quipt Home Medical is more favorable than Meihua International Medical Technologies.

Valuation & Earnings

This table compares Meihua International Medical Technologies and Quipt Home Medical”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Meihua International Medical Technologies	$97.10 million	0.28	$11.62 million	N/A	N/A
Quipt Home Medical	$221.74 million	0.55	-$2.78 million	($0.10)	-28.30

Meihua International Medical Technologies has higher earnings, but lower revenue than Quipt Home Medical.

Profitability

This table compares Meihua International Medical Technologies and Quipt Home Medical’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Meihua International Medical Technologies	N/A	N/A	N/A
Quipt Home Medical	-1.95%	-4.51%	-2.01%

Insider & Institutional Ownership

1.2% of Meihua International Medical Technologies shares are owned by institutional investors. Comparatively, 42.9% of Quipt Home Medical shares are owned by institutional investors. 66.6% of Meihua International Medical Technologies shares are owned by insiders. Comparatively, 4.2% of Quipt Home Medical shares are owned by 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.

Summary

Quipt Home Medical beats Meihua International Medical Technologies on 7 of the 12 factors compared between the two stocks.

About Meihua International Medical Technologies

Meihua International Medical Technologies Co., Ltd. engages in the manufacture, sells, and marketing of medical consumables in the People's Republic of China. The company offers class I, II, and III disposable medical devices. Its products include non-bottled products, such as brushes and ID bracelets; and polyethylene bottled products, such as eye drop and tablet bottles, as well as electronic pumps. The company also distributes disposable medical devices sourced from other manufacturers to customers in China. In addition, it offers COVID-19 products comprising disposable medical masks. The company serves hospitals, pharmacies, medical institutions, and medical equipment companies. It also exports its products to Europe, North America, South America, Asia, Africa, and Oceania. The company was founded in 1991 and is based in Yangzhou, the People's Republic of China. Meihua International Medical Technologies Co., Ltd. operates as a subsidiary of Bright Accomplish Limited.

About Quipt Home Medical

Quipt Home Medical Corp., through its subsidiaries, engages in the provision of durable and home medical equipment and supplies in the United States. The company offers nebulizers, oxygen concentrators, and CPAP and BiPAP units; traditional and non-traditional durable medical respiratory equipment and services; non-invasive ventilation equipment, supplies, and services; and engages in the rental of medical equipment. It offers management of various chronic disease states focusing on patients with heart and pulmonary disease, sleep apnea, reduced mobility, and other chronic health conditions. The company was formerly known as Protech Home Medical Corp. and changed its name to Quipt Home Medical Corp. in May 2021. Quipt Home Medical Corp. is headquartered in Wilder, Kentucky.