Nihon Kohden (OTCMKTS:NHNKY) & Adagio Medical (NASDAQ:ADGM) Head-To-Head Analysis

Nihon Kohden (OTCMKTS:NHNKY) and Adagio Medical (NASDAQ:ADGM) are both small-cap medical companies, but which is the superior stock? We will contrast the two companies based on the strength of their profitability, dividends, earnings, risk, valuation, analyst recommendations and institutional ownership.

Institutional and Insider Ownership

0.1% of Nihon Kohden shares are owned by institutional investors. Comparatively, 48.1% of Adagio Medical shares are owned by institutional investors. 5.2% of Adagio Medical shares are owned 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.

Volatility & Risk

Nihon Kohden has a beta of 0.41, meaning that its stock price is 59% less volatile than the S&P 500. Comparatively, Adagio Medical has a beta of 0.13, meaning that its stock price is 87% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of current ratings and price targets for Nihon Kohden and Adagio Medical, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Nihon Kohden	0	0	0	0	0.00
Adagio Medical	1	0	1	0	2.00

Adagio Medical has a consensus price target of $4.00, indicating a potential upside of 340.04%. Given Adagio Medical’s stronger consensus rating and higher possible upside, analysts clearly believe Adagio Medical is more favorable than Nihon Kohden.

Profitability

This table compares Nihon Kohden and Adagio Medical’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Nihon Kohden	7.78%	9.28%	6.60%
Adagio Medical	N/A	-791.01%	-199.58%

Earnings and Valuation

This table compares Nihon Kohden and Adagio Medical”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Nihon Kohden	$1.48 billion	1.33	$93.05 million	$0.73	15.75
Adagio Medical	$600,000.00	23.30	-$75.04 million	($1.52)	-0.60

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

Summary

Nihon Kohden beats Adagio Medical on 8 of the 14 factors compared between the two stocks.

About Nihon Kohden

Nihon Kohden Corporation engages in development, manufacturing, sale, maintenance, and consultation of medical electronic equipment, and related systems and products in Japan, Americas, Europe, rest of Asia, and internationally. It offers physiological measuring equipment comprising electrocardiographs, electroencephalographs, and polygraphs for Cath-labs; patient monitoring systems, such as beside and central monitors; and treatment equipment including defibrillators, automated external defibrillators, ventilators, and pacemakers. The company also provides medical support system, which includes diagnostic and clinical information system; and in-vitro diagnostic equipment comprising hematology and clinical chemistry analyzers. In addition, it operates insurance brokerage and technology licensing business. The company was incorporated in 1951 and is headquartered in Shinjuku, Japan.

About Adagio Medical

Adagio Medical Holdings, Inc., a developmental stage medical device company, focuses on the development and commercialization of ablation technologies for the treatment of cardiac arrhythmias. It offers treatment for cardiac arrhythmias, including atrial fibrillation, atrial flutter, and ventricular tachycardia. The company’s product portfolio includes iCLAS atrial ultra-low temperature cryoablation (ULTC) catheter and accessories; vCLAS ventricular ULTC catheter; and Cryopulse atrial pulsed-field cryoablation catheter and accessories. The company is based in Laguna Hills, California.