LENSAR (NASDAQ:LNSR) & Delcath Systems (NASDAQ:DCTH) Head-To-Head Contrast

Delcath Systems (NASDAQ:DCTH) and LENSAR (NASDAQ:LNSR) are both small-cap medical companies, but which is the better investment? We will compare the two businesses based on the strength of their profitability, analyst recommendations, valuation, institutional ownership, risk, earnings and dividends.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Delcath Systems and LENSAR, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Delcath Systems	0	0	3	0	3.00
LENSAR	0	0	1	0	3.00

Delcath Systems presently has a consensus target price of $21.67, suggesting a potential upside of 144.27%. LENSAR has a consensus target price of $8.00, suggesting a potential upside of 81.41%. Given Delcath Systems’ higher probable upside, analysts clearly believe Delcath Systems is more favorable than LENSAR.

Volatility & Risk

Delcath Systems has a beta of 0.78, suggesting that its share price is 22% less volatile than the S&P 500. Comparatively, LENSAR has a beta of 0.64, suggesting that its share price is 36% less volatile than the S&P 500.

Institutional & Insider Ownership

61.1% of Delcath Systems shares are held by institutional investors. Comparatively, 40.2% of LENSAR shares are held by institutional investors. 17.9% of Delcath Systems shares are held by insiders. Comparatively, 38.5% of LENSAR shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares Delcath Systems and LENSAR’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Delcath Systems	-474.22%	-312.48%	-118.65%
LENSAR	-27.83%	-30.69%	-14.35%

Earnings and Valuation

This table compares Delcath Systems and LENSAR”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Delcath Systems	$2.07 million	119.08	-$47.68 million	($2.65)	-3.35
LENSAR	$42.16 million	1.21	-$14.38 million	($1.58)	-2.79

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

Summary

LENSAR beats Delcath Systems on 8 of the 13 factors compared between the two stocks.

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.

About LENSAR

LENSAR, Inc., a commercial-stage medical device company, focuses on designing, developing, and marketing a femtosecond laser system for the treatment of cataracts and the management of pre-existing or surgically induced corneal astigmatism. It offers LENSAR Laser System that incorporates a range of proprietary technologies designed to assist the surgeon in obtaining visual outcomes, efficiency, and reproducibility by providing imaging, procedure planning, design, and precision. The company also offers ALLY Adaptive Cataract Treatment System, a platform design to femtosecond laser technology features that enhanced laser capabilities into a single small unit that allows surgeons to perform a femtosecond laser assisted cataract procedure in a single operating room. LENSAR, Inc. was incorporated in 2004 and is headquartered in Orlando, Florida.