Analyzing Predictive Oncology (NASDAQ:POAI) and Avitar (OTCMKTS:AVTI)

Predictive Oncology (NASDAQ:POAI) and Avitar (OTCMKTS:AVTI) are both medical companies, but which is the superior investment? We will contrast the two companies based on the strength of their valuation, profitability, earnings, risk, analyst recommendations, institutional ownership and dividends.

Profitability

This table compares Predictive Oncology and Avitar’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Predictive Oncology	-1,012.32%	-286.30%	-122.11%
Avitar	N/A	N/A	N/A

Analyst Recommendations

This is a breakdown of current ratings and price targets for Predictive Oncology and Avitar, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Predictive Oncology	0	1	0	0	2.00
Avitar	0	0	0	0	0.00

Predictive Oncology currently has a consensus price target of $3.00, indicating a potential upside of 264.70%. Given Predictive Oncology’s stronger consensus rating and higher possible upside, equities research analysts plainly believe Predictive Oncology is more favorable than Avitar.

Valuation & Earnings

This table compares Predictive Oncology and Avitar”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Predictive Oncology	$1.78 million	3.08	-$13.98 million	($3.05)	-0.27
Avitar	N/A	N/A	N/A	N/A	N/A

Avitar has lower revenue, but higher earnings than Predictive Oncology.

Institutional and Insider Ownership

9.0% of Predictive Oncology shares are owned by institutional investors. 3.4% of Predictive Oncology shares are owned by insiders. Comparatively, 7.4% of Avitar shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Risk and Volatility

Predictive Oncology has a beta of 1.14, meaning that its share price is 14% more volatile than the S&P 500. Comparatively, Avitar has a beta of 0.11, meaning that its share price is 89% less volatile than the S&P 500.

Summary

Predictive Oncology beats Avitar on 5 of the 9 factors compared between the two stocks.

About Predictive Oncology

Predictive Oncology Inc. operates as a science-driven company on the oncology drug discovery. It provides various solutions for the oncology drug development. The company, through the integration of scientific rigor and machine learning, has developed the ability to advance molecules into medicine by introducing human diversity earlier into the discovery process with the pairing of artificial intelligence and the biobank of approximately 150K tumor samples. It operates through four segments: Helomics, zPREDICTA, Soluble, and Skyline. The Helomics segment provides services that include the application of AI, collaboration projects, and clinical testing. The zPREDICTA segment develops organ-specific disease models that provide 3D reconstruction of human tissues representing each disease state and mimicking drug response for testing of anticancer agents. The Soluble segment provides services using a self-contained automated system that conducts self-interaction chromatography screens using additives and excipients included in protein formulations resulting in soluble and physically stable formulations for biologics. This segment also offers protein stability analysis services; protein solubility kits that allow rapid identification of soluble formulations; and proprietary technologies for bacterial endotoxin detection and removal. The Skyline segment provides STREAMWAY System, a wall-mounted fully automated system, which virtually eliminates exposure to blood, irrigation fluid, and other infectious fluids found in the healthcare environment. The company was formerly known as Precision Therapeutics Inc. and changed its name to Predictive Oncology Inc. in June 2019. Predictive Oncology Inc. was incorporated in 2002 and is headquartered in Eagan, Minnesota.

About Avitar

Avitar, Inc. is a holding company which through its subsidiaries designs, develops, manufactures, and markets diagnostic test products and proprietary hydrophilic polyurethane foam disposables for medical, diagnostics, dental, and consumer applications in the United States. It offers ORALscreen 4 and ORALscreen DRUGOMETER, the oral fluid-based onsite assay systems, for detecting drugs of abuse, such as opiates, including heroin, morphine, codeine, and synthetic opiates comprising oxycocone-oxycontin, percoset, and hydrocodone-vicodin; cocaine such as crack; marijuana; and methamphetamines, including meth and ecstasy. The company also provides foam disposable products including medical-grade hydrophilic polyurethane foam disposables such as wound dressings comprising Hydrasorb, a wound dressing product for exudating wounds; and various custom foam products comprising a sinus dressing and a device used by astronauts for relieving ear pressure while in a pressurized space suit. In addition, it develops specialty wound dressings for the cardiac catheter lab market, as well as the Illizarov Dressing used for dressing external bone fixators in orthopedic procedures. The company markets its products and services to employers, diagnostic test distributors, medical supply companies, governmental agencies, schools, and corporations through direct sales force and strategic partners, as well as through a network of distributors. Avitar, Inc. was founded in 1986 and is based in Canton, Massachusetts with Additional office in Calgary, Canada.