AxoGen, Inc. (AXGN) vs Inspire Medical Systems, Inc. (INSP)

AxoGen, Inc. and Inspire Medical Systems, Inc. are both Medical Devices companies. AxoGen, Inc. is the larger, with a market value of $2.5B against $2.0B — 1.3× the size. AxoGen, Inc. has negative trailing earnings, so its P/E is not meaningful; Inspire Medical Systems, Inc. trades at 15.1×. AxoGen, Inc. grew revenue faster over the last twelve months: 23.6% against 4.35%. Inspire Medical Systems, Inc. has the higher net margin (15.0% vs −13.4%) and the higher return on invested capital (6.70% vs −4.99%). Across the 19 metrics below, Inspire Medical Systems, Inc. leads on 18 and AxoGen, Inc. on 1.

Valuation

Metric AXGN INSP Medical Devices median
P/E n/m 15.13 22.18
P/S 9.21 2.26 2.70
P/B 9.03 2.46 2.46
Price to free cash flow 355.51 17.36 22.53
EV/EBITDA n/m 24.81 11.78
EV/Sales 8.84 1.93 2.38
Earnings yield (1.56%) 6.61% (8.22%)
Free cash flow yield 0.28% 5.76% (7.80%)

Profitability

Metric AXGN INSP Medical Devices median
Gross margin 74.56% 86.13% 56.01%
Operating margin (5.12%) 6.02% (15.03%)
Net margin (13.36%) 15.03% (20.40%)
Free cash flow margin 2.59% 13.03% (7.24%)
Return on equity (18.21%) 17.96% (15.32%)
Return on assets (13.15%) 15.63% (19.72%)
Return on invested capital (4.99%) 6.70% (10.33%)

Growth

Metric AXGN INSP Medical Devices median
Revenue growth (TTM) 23.57% 4.35% 8.80%
EPS growth (last fiscal year) (47.83%) 179.43% —
Revenue growth, 5-year CAGR 14.93% 51.21% 15.23%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric AXGN INSP Medical Devices median
Debt to equity 0.07 0.00 0.07
Current ratio 6.60 8.55 2.50
Net debt to EBITDA 14.26 (4.97) 0.49

Dividend

Metric AXGN INSP Medical Devices median
Dividend yield — — 0.94%
Payout ratio 0.00 0.00 0.00

Size

Metric AXGN INSP Medical Devices median
Market cap 2.54b 1.96b 172.91m

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