Aeon Global Health (OTCMKTS:AGHC) and CareDx (NASDAQ:CDNA) are both small-cap medical companies, but which is the better business? We will compare the two companies based on the strength of their dividends, institutional ownership, profitability, earnings, analyst recommendations, valuation and risk.

Insider & Institutional Ownership

77.0% of CareDx shares are owned by institutional investors. 11.5% of Aeon Global Health shares are owned by insiders. Comparatively, 3.4% of CareDx shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Earnings and Valuation

This table compares Aeon Global Health and CareDx’s top-line revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Aeon Global Health $16.30 million 0.27 -$8.00 million ($1.15) -0.52
CareDx $48.32 million 22.47 -$55.46 million ($0.77) -36.25

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

Profitability

This table compares Aeon Global Health and CareDx’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Aeon Global Health -43.04% -337.14% -61.39%
CareDx -113.89% -125.24% -37.81%

Risk and Volatility

Aeon Global Health has a beta of 0.39, suggesting that its stock price is 61% less volatile than the S&P 500. Comparatively, CareDx has a beta of 1.07, suggesting that its stock price is 7% more volatile than the S&P 500.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Aeon Global Health and CareDx, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Aeon Global Health 0 0 1 0 3.00
CareDx 0 1 2 1 3.00

CareDx has a consensus price target of $35.00, suggesting a potential upside of 25.40%. Given CareDx’s higher probable upside, analysts clearly believe CareDx is more favorable than Aeon Global Health.

Summary

CareDx beats Aeon Global Health on 10 of the 13 factors compared between the two stocks.

About Aeon Global Health

AEON Global Health Corp., together with its subsidiaries, provides various clinical laboratory testing services in the United States. The company operates through two segments, Laboratory Testing Services and Web-Based Software. Its laboratory testing services include the testing of an individual's blood, urine, or saliva for the presence of drugs or chemicals, as well as the patient's DNA profile. The company primarily offers medical toxicology, DNA pharmacogenomics, cancer genetic testing, and molecular biology tests. It also provides Web-based services as software as a service for Web-based revenue cycle management applications; and telehealth products and services that enable healthcare organizations to coordinate care for patients, and enhance related administrative and clinical workflows, and compliance with regulatory requirements. In addition, AEON Global Health Corp. offers post contract customer support services. The company was formerly known as Authentidate Holding Corp. and changed its name to AEON Global Health Corp. in January 2018. AEON Global Health Corp. is based in Gainesville, Georgia.

About CareDx

CareDx, Inc., a transplant diagnostics company, together with its subsidiaries, engages in the discovery, development, and commercialization of diagnostic surveillance solutions for transplant patients worldwide. It operates through two segments, Post-Transplant Diagnostics and Pre-Transplant Diagnostics. The Post-Transplant Diagnostics segment develops and provides a diagnostic surveillance testing solution for heart and kidney transplant recipients. It offers AlloMap, a heart transplant molecular test; and AlloSure, a donor-derived cell free DNA test initially used for kidney transplant patients. The Pre-Transplant Diagnostics segment develops, manufactures, markets, and sells products that increase the chance of successful transplants by facilitating a match between a donor and a recipient of stem cells and organs. It sells Olerup SSP, which is used to type human leukocyte antigen (HAL) alleles based on sequence-specific primer technology; Olerup QTYPE, a test kit for sequence based HLA typing; Olerup SBT, a test kit for sequence based HLA typing; and XM-ONE, a test that identifies a patient's antigens against HLA Class I or Class II, as well as antibodies against a donor's endothelium. This segment offers its products directly to customers, as well as through third-party distributors. The company was formerly known as XDx, Inc. and changed its name to CareDx, Inc. in March 2014. CareDx, Inc. was incorporated in 1998 and is headquartered in Brisbane, California.

Receive News & Ratings for Aeon Global Health Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Aeon Global Health and related companies with MarketBeat.com's FREE daily email newsletter.