Head to Head Review: Tactile Systems Technology (TCMD) & Its Rivals

Tactile Systems Technology (NASDAQ:TCMD) is one of 511 publicly-traded companies in the “Healthcare Equipment & Supplies” industry, but how does it compare to its competitors? We will compare Tactile Systems Technology to related businesses based on the strength of its dividends, earnings, risk, analyst recommendations, valuation, institutional ownership and profitability.

Analyst Recommendations

This is a breakdown of recent ratings and price targets for Tactile Systems Technology and its competitors, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Tactile Systems Technology	0	2	4	0	2.67
Tactile Systems Technology Competitors	4252	10480	18203	824	2.46

Tactile Systems Technology presently has a consensus target price of $37.60, suggesting a potential upside of 63.19%. As a group, “Healthcare Equipment & Supplies” companies have a potential upside of 25.50%. Given Tactile Systems Technology’s stronger consensus rating and higher probable upside, equities research analysts plainly believe Tactile Systems Technology is more favorable than its competitors.

Profitability

This table compares Tactile Systems Technology and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Tactile Systems Technology	7.10%	11.49%	9.17%
Tactile Systems Technology Competitors	-278.23%	-150.07%	-21.87%

Earnings & Valuation

This table compares Tactile Systems Technology and its competitors gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Tactile Systems Technology	$329.52 million	$19.09 million	21.33
Tactile Systems Technology Competitors	$1.88 billion	$139.14 million	10.75

Tactile Systems Technology’s competitors have higher revenue and earnings than Tactile Systems Technology. Tactile Systems Technology is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Risk & Volatility

Tactile Systems Technology has a beta of 0.82, meaning that its share price is 18% less volatile than the S&P 500. Comparatively, Tactile Systems Technology’s competitors have a beta of 5.49, meaning that their average share price is 449% more volatile than the S&P 500.

Insider & Institutional Ownership

83.4% of Tactile Systems Technology shares are held by institutional investors. Comparatively, 40.5% of shares of all “Healthcare Equipment & Supplies” companies are held by institutional investors. 2.1% of Tactile Systems Technology shares are held by company insiders. Comparatively, 14.8% of shares of all “Healthcare Equipment & Supplies” companies are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Summary

Tactile Systems Technology beats its competitors on 8 of the 13 factors compared.

About Tactile Systems Technology

Tactile Systems Technology, Inc., a medical technology company, develops and provides medical devices to treat underserved chronic diseases in the United States. It offers Flexitouch Plus system, a pneumatic compression device for the treatment of lymphedema in the home setting; and Entre Plus System, a portable pneumatic compression device for the at-home treatment of venous disorders, such as lymphedema and chronic venous insufficiency, including venous leg ulcers. The company also provides Kylee, a mobile application to help patients learn about lymphedema, track their symptoms, and treatment, as well as to share their progress with their doctor; and AffloVest, a portable high frequency chest wall oscillation vest to treat patients with retained pulmonary secretions resulting from bronchiectasis, cystic fibrosis, and various neuromuscular disorders. Tactile Systems Technology, Inc. was incorporated in 1995 and is headquartered in Minneapolis, Minnesota.