Analyzing Accuray (NASDAQ:ARAY) & SI-BONE (NASDAQ:SIBN)

Accuray (NASDAQ:ARAY) and SI-BONE (NASDAQ:SIBN) are both small-cap medical companies, but which is the better stock? We will compare the two companies based on the strength of their institutional ownership, profitability, earnings, dividends, valuation, risk and analyst recommendations.

Analyst Ratings

This is a summary of recent ratings and price targets for Accuray and SI-BONE, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Accuray	0	0	3	0	3.00
SI-BONE	0	0	6	0	3.00

Accuray presently has a consensus target price of $8.25, suggesting a potential upside of 276.71%. SI-BONE has a consensus target price of $23.00, suggesting a potential upside of 46.22%. Given Accuray’s higher possible upside, equities research analysts clearly believe Accuray is more favorable than SI-BONE.

Insider and Institutional Ownership

64.1% of Accuray shares are held by institutional investors. Comparatively, 98.1% of SI-BONE shares are held by institutional investors. 3.8% of Accuray shares are held by company insiders. Comparatively, 5.4% of SI-BONE shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Risk & Volatility

Accuray has a beta of 1.4, meaning that its share price is 40% more volatile than the S&P 500. Comparatively, SI-BONE has a beta of 1.22, meaning that its share price is 22% more volatile than the S&P 500.

Profitability

This table compares Accuray and SI-BONE’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Accuray	-3.48%	-33.39%	-3.29%
SI-BONE	-27.10%	-24.27%	-17.98%

Earnings and Valuation

This table compares Accuray and SI-BONE”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Accuray	$446.55 million	0.49	-$15.55 million	($0.22)	-9.95
SI-BONE	$138.89 million	4.72	-$43.34 million	($1.09)	-14.43

Accuray has higher revenue and earnings than SI-BONE. SI-BONE is trading at a lower price-to-earnings ratio than Accuray, indicating that it is currently the more affordable of the two stocks.

Summary

Accuray beats SI-BONE on 8 of the 13 factors compared between the two stocks.

About Accuray

Accuray Incorporated designs, develops, manufactures, and sells radiosurgery and radiation therapy systems for the treatment of tumors in the United States, Canada, Latin America, Australia, New Zealand, Europe, the Middle East, India, Africa, Japan, China, and rest of the Asia Pacific region. It offers the CyberKnife System, a robotic stereotactic radiosurgery and stereotactic body radiation therapy system used for the treatment of primary and metastatic tumors outside the brain, including tumors on or near the spine and in the breast, kidney, liver, lung, pancreas, and prostate. The company also provides the TomoTherapy System, including the Radixact System, which allows for integrated radiation treatment planning, delivery, and data management, enabling clinicians to deliver ultra-precise treatments to approximately 50 patients per day; iDMS data management system, a fully integrated treatment planning and data management systems; and Accuray precision treatment planning system, a treatment planning and data management systems. In addition, it offers post-contract customer support, installation, training, and other professional services. The company primarily markets its products directly to customers, including hospitals and stand-alone treatment facilities through its sales organization, as well as to customers through sales agents and group purchasing organizations in the United States; and to customers directly and through distributors and sales agents internationally. Accuray Incorporated was incorporated in 1990 and is headquartered in Madison, Wisconsin.

About SI-BONE

SI-BONE, Inc., a medical device company, that operate to solve musculoskeletal disorders of the sacropelvic anatomy in the United States and internationally. It offers proprietary minimally invasive surgical implant system to address sacroiliac joint dysfunction and fusion, adult deformity and degeneration, and pelvic trauma; and implantable bone products. The company also provides iFuse-3D, a titanium implant that combines the triangular cross-section of the iFuse implant with the proprietary 3D-printed porous surface and fenestrated design; iFuse-TORQ, a set of 3D-printed threaded implants designed to treat pelvic trauma; and iFuse Bedrock Granite implant provides sacroiliac fusion and sacropelvic fixation as a foundational element for segmental spinal fusion. It markets its products primarily with a direct sales force, as well as through agents and resellers. SI-BONE, Inc. was incorporated in 2008 and is headquartered in Santa Clara, California.