Neogen (NASDAQ:NEOG – Get Free Report) and Delcath Systems (NASDAQ:DCTH – Get Free Report) are both healthcare companies, but which is the superior business? We will compare the two companies based on the strength of their earnings, analyst recommendations, institutional ownership, dividends, profitability, valuation and risk.
Volatility & Risk
Neogen has a beta of 1.79, suggesting that its share price is 79% more volatile than the S&P 500. Comparatively, Delcath Systems has a beta of 0.6, suggesting that its share price is 40% less volatile than the S&P 500.
Insider and Institutional Ownership
96.7% of Neogen shares are held by institutional investors. Comparatively, 61.1% of Delcath Systems shares are held by institutional investors. 0.5% of Neogen shares are held by company insiders. Comparatively, 19.4% of Delcath Systems shares are held 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.
Analyst Recommendations
This is a breakdown of recent recommendations and price targets for Neogen and Delcath Systems, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Neogen | 1 | 1 | 3 | 0 | 2.40 |
| Delcath Systems | 0 | 2 | 5 | 0 | 2.71 |
Neogen currently has a consensus price target of $12.67, suggesting a potential upside of 7.25%. Delcath Systems has a consensus price target of $23.17, suggesting a potential upside of 64.54%. Given Delcath Systems’ stronger consensus rating and higher possible upside, analysts clearly believe Delcath Systems is more favorable than Neogen.
Profitability
This table compares Neogen and Delcath Systems’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Neogen | -6.35% | 3.29% | 2.06% |
| Delcath Systems | 0.56% | 0.46% | 0.42% |
Earnings & Valuation
This table compares Neogen and Delcath Systems”s top-line revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Neogen | $870.40 million | 2.96 | -$7.90 million | ($0.25) | -47.24 |
| Delcath Systems | $85.23 million | 5.73 | $2.70 million | $0.01 | 1,408.00 |
Delcath Systems has lower revenue, but higher earnings than Neogen. Neogen is trading at a lower price-to-earnings ratio than Delcath Systems, indicating that it is currently the more affordable of the two stocks.
Summary
Delcath Systems beats Neogen on 9 of the 14 factors compared between the two stocks.
About Neogen
Neogen Corporation, together with its subsidiaries, engages in the development, manufacture, and marketing of various products and services dedicated to food and animal safety worldwide. It operates through two segments, Food Safety and Animal Safety. The Food Safety segment offers diagnostic test kits and related products to detect dangerous and unintended substances in food and animal feed, including foodborne pathogens, spoilage organisms, natural toxins, food allergens, genetic modifications, ruminant by-products, meat speciation, drug residues, pesticide residues, and general sanitation concerns; and AccuPoint Advanced rapid sanitation test to detect the presence of adenosine triphosphate, a chemical found in living cells, as well as provides genomics-based diagnostic technology and software systems that help testers to objectively analyze and store their results and perform analysis on the results from multiple locations over extended periods. The segment offers its products primarily to milling and grain, meat and poultry, prepared foods and ingredients, fruits and vegetables, seafood, dairy, beverage, water, healthcare, traditional culture media markets, food service, and dietary supplements markets. The Animal Safety segment provides veterinary instruments, pharmaceuticals, vaccines, topicals, parasiticides, diagnostic products, rodent control products, cleaners, disinfectants, insect control products, and genomics testing services marketed through veterinarians, retailers, livestock producers, and animal health product distributors, for the animal safety market. The segment offers its products for companion animal veterinarians; livestock producers, veterinarians, and breed associations; retailers; breeding and genetics companies; diagnostic labs and universities; distributors; and other manufacturers and government agencies. Neogen Corporation was incorporated in 1981 and is headquartered in Lansing, Michigan.
About Delcath Systems
Delcath Systems, Inc., an interventional oncology company, focuses on the treatment of primary and metastatic liver cancers in the United States and Europe. The company’s lead product candidate is HEPZATO KIT, a melphalan for injection/hepatic delivery system to administer high-dose chemotherapy to the liver while controlling systemic exposure and associated side effects. Its clinical development program for HEPZATO is the FOCUS clinical trial for patients with metastatic hepatic dominant Uveal Melanoma to investigate objective response rate in metastatic uveal melanoma. It also provides HEPZATO as a stand-alone medical device under the CHEMOSAT Hepatic Delivery System trade name for Melphalan or CHEMOSAT for medical centers to treat a range of liver cancers in Europe. Delcath Systems, Inc. was incorporated in 1988 and is headquartered in New York, New York.
Receive News & Ratings for Neogen Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Neogen and related companies with MarketBeat.com's FREE daily email newsletter.
