AxoGen (NASDAQ:AXGN) versus Solventum (NYSE:SOLV) Head-To-Head Comparison

Solventum (NYSE:SOLV) and AxoGen (NASDAQ:AXGN) are both healthcare companies, but which is the better investment? We will contrast the two companies based on the strength of their dividends, risk, earnings, valuation, analyst recommendations, institutional ownership and profitability.

Volatility & Risk

Solventum has a beta of 0.69, indicating that its stock price is 31% less volatile than the S&P 500. Comparatively, AxoGen has a beta of 1.21, indicating that its stock price is 21% more volatile than the S&P 500.

Institutional & Insider Ownership

80.3% of AxoGen shares are held by institutional investors. 0.2% of Solventum shares are held by insiders. Comparatively, 2.4% of AxoGen shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Earnings and Valuation

This table compares Solventum and AxoGen”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Solventum	$8.16 billion	1.87	$1.56 billion	$0.89	101.22
AxoGen	$266.93 million	11.39	-$15.70 million	($0.65)	-78.29

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

Profitability

This table compares Solventum and AxoGen’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Solventum	1.91%	25.03%	8.65%
AxoGen	-11.96%	-5.35%	-4.41%

Analyst Ratings

This is a summary of recent recommendations for Solventum and AxoGen, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Solventum	1	4	9	0	2.57
AxoGen	1	2	13	0	2.75

Solventum presently has a consensus price target of $90.27, suggesting a potential upside of 0.20%. AxoGen has a consensus price target of $57.92, suggesting a potential upside of 13.81%. Given AxoGen’s stronger consensus rating and higher probable upside, analysts plainly believe AxoGen is more favorable than Solventum.

About Solventum

Solventum is a global healthcare company that develops products and services for hospitals, dental professionals, health systems and other care providers. It was formed from 3M’s healthcare business and became an independent public company in April 2024. The company’s offerings include medical and surgical supplies, wound-care products, sterilization and infection-prevention solutions, dental materials and technologies, and software for health information management. Its products and services support clinical care, dental care and healthcare administration.

About AxoGen

AxoGen, Inc. is a medical technology company focused on repairing peripheral nerve injuries—damage to nerves outside the brain and spinal cord. Its products are used by surgeons in procedures intended to restore nerve function and sensation. The company’s offerings include Avance Nerve Graft, a processed human nerve allograft used to bridge gaps in damaged nerves, and Axoguard products designed to protect, connect or cap nerves during repair. Axogen also provides education and support for healthcare professionals who use its nerve-repair solutions.