AirSculpt Technologies (NASDAQ:AIRS) and Fathom (NASDAQ:FTHM) Head-To-Head Review

AirSculpt Technologies (NASDAQ:AIRS) and Fathom (NASDAQ:FTHM) are both small-cap business services companies, but which is the better business? We will contrast the two companies based on the strength of their earnings, institutional ownership, profitability, dividends, analyst recommendations, risk and valuation.

Earnings and Valuation

This table compares AirSculpt Technologies and Fathom”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
AirSculpt Technologies	$165.11 million	3.29	-$8.25 million	($0.25)	-34.84
Fathom	$335.18 million	0.15	-$21.58 million	($1.06)	-1.49

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

Profitability

This table compares AirSculpt Technologies and Fathom’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
AirSculpt Technologies	-8.79%	-15.63%	-6.30%
Fathom	-6.04%	-53.57%	-29.66%

Insider & Institutional Ownership

91.5% of AirSculpt Technologies shares are owned by institutional investors. Comparatively, 55.5% of Fathom shares are owned by institutional investors. 76.6% of AirSculpt Technologies shares are owned by insiders. Comparatively, 16.4% of Fathom shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Volatility & Risk

AirSculpt Technologies has a beta of 2.53, indicating that its stock price is 153% more volatile than the S&P 500. Comparatively, Fathom has a beta of 1.82, indicating that its stock price is 82% more volatile than the S&P 500.

Analyst Ratings

This is a summary of recent ratings and target prices for AirSculpt Technologies and Fathom, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
AirSculpt Technologies	1	3	0	0	1.75
Fathom	1	0	1	0	2.00

AirSculpt Technologies currently has a consensus price target of $3.75, indicating a potential downside of 56.95%. Given AirSculpt Technologies’ higher possible upside, equities research analysts clearly believe AirSculpt Technologies is more favorable than Fathom.

Summary

AirSculpt Technologies beats Fathom on 9 of the 14 factors compared between the two stocks.

About AirSculpt Technologies

AirSculpt Technologies, Inc., together with its subsidiaries, focuses on operating as a holding company for EBS Intermediate Parent LLC that provides body contouring procedure services in the United States. The company offers AirSculpt, a next-generation body contouring procedure that removes unwanted fat and tightens skin in a minimally invasive procedure. It also provides AirSculpt+, a procedure that permanently removes fat and tightens the skin with unparalleled precision and finesse; and AirSculpt Smooth, an advanced cellulite removal tool. In addition, it provides fat removal procedures across treatment areas, such as the stomach, back, and buttocks; and fat transfer procedures that use the patient’s own fat cells to enhance the breasts, buttocks, hips, or other areas. The company’s body contouring procedures also include the Power BBL, a Brazilian butt lift procedure; the Up a Cup, a breast enhancement procedure; and the Hip Flip, an hourglass contouring procedure. It operates various centers. The company was founded in 2012 and is headquartered in Miami Beach, Florida.

About Fathom

Fathom Holdings Inc. provides a real estate services platform that integrates residential brokerage, mortgage, title, and insurance services in the United States. It operates through three segments: Real Estate Brokerage, Mortgage, and Technology. The Real Estate Brokerage segment provides real estate brokerage services. The Mortgage segment offers residential loan origination and underwriting services. The Technology segment provides Software as a Service solutions and data mining for third party customers. It offers access to various properties for sale or lease through its FathomRealty.com website to buyers, sellers, landlords, and tenants; insurance agency services; and title services. In addition, the company provides intelliAgent, a real estate technology platform that offers a suite of brokerage and agent level tools, technology, business processes, business intelligence and reporting, and training; transaction, personnel, customer relationship, and accounting management for agent transactions; and reporting, social media marketing, and other marketing and marketing repository services, as well as marketplace for add-on services and third-party technology. Its brands include Fathom Realty, Dagley Insurance, Encompass Lending, intelliAgent, LiveBy, Real Results, Verus Title, and Cornerstone. The company was founded in 2010 and is headquartered in Cary, North Carolina.