Head-To-Head Comparison: Schrodinger (NASDAQ:SDGR) vs. MDxHealth (NASDAQ:MDXH)

MDxHealth (NASDAQ:MDXH) and Schrodinger (NASDAQ:SDGR) are both small-cap medical companies, but which is the superior investment? We will compare the two businesses based on the strength of their valuation, profitability, institutional ownership, earnings, risk, dividends and analyst recommendations.

Risk and Volatility

MDxHealth has a beta of 1.62, suggesting that its share price is 62% more volatile than the S&P 500. Comparatively, Schrodinger has a beta of 1.54, suggesting that its share price is 54% more volatile than the S&P 500.

Insider and Institutional Ownership

79.1% of Schrodinger shares are owned by institutional investors. 1.7% of MDxHealth shares are owned by company insiders. Comparatively, 21.0% of Schrodinger shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Profitability

This table compares MDxHealth and Schrodinger’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
MDxHealth	-30.50%	-1,078.01%	-20.05%
Schrodinger	-68.49%	-48.24%	-24.21%

Analyst Recommendations

This is a summary of current ratings and price targets for MDxHealth and Schrodinger, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
MDxHealth	1	0	4	0	2.60
Schrodinger	1	4	5	0	2.40

MDxHealth presently has a consensus price target of $7.75, suggesting a potential upside of 112.33%. Schrodinger has a consensus price target of $24.33, suggesting a potential upside of 67.01%. Given MDxHealth’s stronger consensus rating and higher probable upside, equities analysts plainly believe MDxHealth is more favorable than Schrodinger.

Earnings and Valuation

This table compares MDxHealth and Schrodinger”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
MDxHealth	$90.05 million	1.92	-$38.07 million	($0.64)	-5.70
Schrodinger	$207.54 million	5.17	-$187.12 million	($2.41)	-6.05

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

Summary

MDxHealth beats Schrodinger on 8 of the 14 factors compared between the two stocks.

About MDxHealth

MDxHealth SA, a commercial-stage precision diagnostics company, provides urologic solutions in the United States, Europe, and internationally. Its testing solutions includes Select mdx, a non-invasive urine test for prostate cancer that measures the expression of two mRNA cancer-related biomarkers; Confirm mdx for prostate cancer tissue test that validates epigenetic test that guides the detection of occult prostate cancer on a patient's previously biopsied negative tissue; and Resolved mdx for urinary tract infection that identifies personalized effective antibiotic options against the patient's infection. The company offers genomic prostate score which provides personalized genomic insights to both physicians and patients navigating the complexities of prostate cancer diagnosis and treatment. It sells its products through urology sales force, consisting of direct sales representatives, strategic account managers, and regional sales managers. The company was formerly known as OncoMethylome Sciences SA and changed its name to MDxHealth SA in October 2010. MDxHealth SA was incorporated in 2003 and is headquartered in Herstal, Belgium.

About Schrodinger

Schrödinger, Inc., together with its subsidiaries, develops physics-based computational platform that enables discovery of novel molecules for drug development and materials applications. The company operates in two segments, Software and Drug Discovery. The Software segment is focused on licensing its software to transform molecular discovery for life sciences and materials science industries. The Drug Discovery segment focuses on building a portfolio of preclinical and clinical programs, internally and through collaborations. The company serves biopharmaceutical and industrial companies, academic institutions, and government laboratories worldwide. Schrödinger, Inc. was incorporated in 1990 and is based in New York, New York.