Reviewing Beyond Air (NASDAQ:XAIR) and Alpha Tau Medical (NASDAQ:DRTS)

Alpha Tau Medical (NASDAQ:DRTS) and Beyond Air (NASDAQ:XAIR) are both small-cap medical companies, but which is the superior stock? We will contrast the two businesses based on the strength of their analyst recommendations, institutional ownership, earnings, risk, profitability, valuation and dividends.

Profitability

This table compares Alpha Tau Medical and Beyond Air’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Alpha Tau Medical	N/A	-33.75%	-26.78%
Beyond Air	-3,272.46%	-240.15%	-109.38%

Volatility and Risk

Alpha Tau Medical has a beta of 0.77, suggesting that its share price is 23% less volatile than the S&P 500. Comparatively, Beyond Air has a beta of -0.18, suggesting that its share price is 118% less volatile than the S&P 500.

Earnings and Valuation

This table compares Alpha Tau Medical and Beyond Air”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Alpha Tau Medical	N/A	N/A	-$29.16 million	($0.40)	-5.63
Beyond Air	$1.16 million	20.70	-$60.24 million	($1.64)	-0.31

Alpha Tau Medical has higher earnings, but lower revenue than Beyond Air. Alpha Tau Medical is trading at a lower price-to-earnings ratio than Beyond Air, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

2.7% of Alpha Tau Medical shares are held by institutional investors. Comparatively, 31.5% of Beyond Air shares are held by institutional investors. 39.5% of Alpha Tau Medical shares are held by insiders. Comparatively, 19.0% of Beyond Air shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Analyst Ratings

This is a summary of recent recommendations and price targets for Alpha Tau Medical and Beyond Air, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Alpha Tau Medical	0	0	3	0	3.00
Beyond Air	0	1	3	1	3.00

Alpha Tau Medical presently has a consensus target price of $8.00, suggesting a potential upside of 255.56%. Beyond Air has a consensus target price of $3.67, suggesting a potential upside of 620.65%. Given Beyond Air’s higher possible upside, analysts plainly believe Beyond Air is more favorable than Alpha Tau Medical.

Summary

Alpha Tau Medical beats Beyond Air on 7 of the 11 factors compared between the two stocks.

About Alpha Tau Medical

Alpha Tau Medical Ltd., a clinical-stage oncology therapeutics company, engages in research, development, and commercialization of diffusing alpha-emitters radiation therapy (Alpha DaRT) for the treatment of solid cancer In Israel and the United States. Its Alpha-DaRT technology used in clinical trials for skin, oral, pancreatic, prostate, and breast cancers; and preclinical studies for brain, hepatic cell carcinoma, glioblastoma multiforme, lung cancer, and others. The company was incorporated in 2015 and is headquartered in Jerusalem, Israel.

About Beyond Air

Beyond Air, Inc. operates as a commercial-stage medical device and biopharmaceutical company in the United States. The company engages in the development of LungFit platform, a nitric oxide generator and delivery system. It offers LungFit PH for the treatment of persistent pulmonary hypertension of the newborn. The company is also developing LungFit PRO for the treatment of viral lung infections, such as community-acquired viral pneumonia, including COVID-19, as well as bronchiolitis in hospitalized patients; and LungFit GO for the treatment of nontuberculous mycobacteria. The company was formerly known as AIT Therapeutics, Inc. and changed its name to Beyond Air, Inc. in June 2019. Beyond Air, Inc. is based in Garden City, New York.