Critical Survey: GBS (NYSE:GBS) and T2 Biosystems (NASDAQ:TTOO)

Institutional & Insider Ownership

23.2% of T2 Biosystems shares are owned by institutional investors. Comparatively, 2.8% of GBS shares are owned by institutional investors. 0.0% of T2 Biosystems shares are owned by company insiders. Comparatively, 0.3% of GBS shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Profitability

This table compares T2 Biosystems and GBS’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
T2 Biosystems	-563.16%	N/A	-174.06%
GBS	N/A	-85.64%	-54.42%

Earnings and Valuation

This table compares T2 Biosystems and GBS”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
T2 Biosystems	$7.68 million	0.03	-$50.08 million	N/A	N/A
GBS	N/A	N/A	-$8.31 million	($0.56)	-2.09

GBS has lower revenue, but higher earnings than T2 Biosystems.

Volatility and Risk

T2 Biosystems has a beta of 0.6, meaning that its share price is 40% less volatile than the S&P 500. Comparatively, GBS has a beta of 1.32, meaning that its share price is 32% more volatile than the S&P 500.

Summary

GBS beats T2 Biosystems on 5 of the 8 factors compared between the two stocks.

About T2 Biosystems

T2 Biosystems, Inc., an in vitro diagnostics company, develops and sells diagnostic products and product candidates in the United States and internationally. Its technology enables detection of pathogens, biomarkers, and other abnormalities in various unpurified patient sample types, including whole blood, plasma, serum, saliva, sputum, cerebral spinal fluid, and urine. The company also offers T2Dx Instrument, a bench-top instrument that runs various diagnostic tests from patient samples; T2Candida panel, a direct-from-blood molecular diagnostic test panel that detects lethal form of common blood stream infections, which cause sepsis and candidemia; T2Bacteria panel, a direct-from-blood molecular diagnostic test panel, which detects bacterial pathogens in blood stream infections; T2Resistance panel, a direct-from-blood test that identifies carbapenem resistance genes; and T2Biothreat, a direct-from-blood molecular diagnostic test panel that runs on the T2Dx Instrument and detects biothreat pathogens. In addition, it is developing T2Cauris panel, a direct-from-blood molecular diagnostic test that runs on the T2Dx Instrument and detects Candida auris; and T2Lyme panel, a direct-from-blood molecular diagnostic test panel that runs on the T2Dx Instrument to identify the bacteria that cause Lyme disease. T2 Biosystems, Inc. was incorporated in 2006 and is headquartered in Lexington, Massachusetts.

About GBS

GBS Inc. operates as a biosensor diagnostic technology company in the Asia-Pacific and North America. It offers Saliva Glucose Biosensor, an organic thin-film transistor for diabetes management that measures glucose in saliva. The company also focuses on developing SARS-CoV-2 Biosensor, a biosensor test can be used as a complement to the (RNA) virus detection test; and a biosensor platform comprising of biochemistry, immunology, tumor markers, hormones, and nucleic acid diagnostic modalities. GBS Inc. has a research agreement with Johns Hopkins Bloomberg School of Public Health for the development of saliva-based diagnostic tests. The company was formerly known as Glucose Biosensor Systems (Greater China) Holdings, Inc. and changed its name to GBS Inc. in September 2019. The company was incorporated in 2016 and is headquartered in New York, New York. GBS Inc. is a subsidiary of Life Science Biosensor Diagnostics Pty Ltd.