Comparing FONAR (NASDAQ:FONR) and QT Imaging (NASDAQ:QTI)

QT Imaging (NASDAQ:QTI) and FONAR (NASDAQ:FONR) are both small-cap medical companies, but which is the better investment? We will contrast the two businesses based on the strength of their analyst recommendations, valuation, earnings, profitability, dividends, risk and institutional ownership.

Valuation & Earnings

This table compares QT Imaging and FONAR’s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
QT Imaging	$3.07 million	4.49	-$4.03 million	N/A	N/A
FONAR	$102.72 million	1.00	$9.38 million	$1.56	10.40

FONAR has higher revenue and earnings than QT Imaging.

Institutional and Insider Ownership

24.2% of QT Imaging shares are owned by institutional investors. Comparatively, 50.6% of FONAR shares are owned by institutional investors. 75.4% of QT Imaging shares are owned by insiders. Comparatively, 2.2% of FONAR shares are owned by 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.

Profitability

This table compares QT Imaging and FONAR’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
QT Imaging	N/A	N/A	-37.12%
FONAR	10.66%	7.50%	5.69%

Risk & Volatility

QT Imaging has a beta of -0.12, indicating that its share price is 112% less volatile than the S&P 500. Comparatively, FONAR has a beta of 1.19, indicating that its share price is 19% more volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent ratings and target prices for QT Imaging and FONAR, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
QT Imaging	0	0	0	0	N/A
FONAR	0	0	0	0	N/A

Summary

FONAR beats QT Imaging on 7 of the 9 factors compared between the two stocks.

About QT Imaging

QT Imaging Holdings, Inc. engages in the research, development, and commercialization of body imaging systems for detection, diagnosis, monitoring, and treatment of diseases. The company offers QT Ultrasound Breast Scanner, an ultrasonic imaging system that provides reflection-mode and transmission-mode images of a patient's breast. QT Imaging Holdings, Inc. was founded in 2011 and is based in Novato, California.

About FONAR

FONAR Corporation, together with its subsidiaries, engages in the research, development, production, and marketing of magnetic resonance imaging (MRI) scanners for the detection and diagnosis of human diseases in the United States. The company operates in two segments, Medical Equipment, and Physician Management and Diagnostic Services. It provides Upright MRI scanner that allows patients to be scanned in weight-bearing conditions, such as standing, sitting, bending, or lying down. The company also offers non-medical management, including administrative services, billing and collection services, credentialing services, contract negotiations, compliance consulting, purchasing IT services, hiring, conducting interviews, training, supervision and management of non-medical personnel, storage of medical records, office space, equipment, repair maintenance services, accounting, assistance with compliance matters, and development and implementation of practice growth and marketing strategies. It owns and operates diagnostic imaging facilities in Florida; and manages MRI scanning facilities. The company markets its scanners to private diagnostic imaging centers and hospital outpatient imaging facilities. FONAR Corporation was founded in 1970 and is based in Melville, New York.