Electromed, Inc. (ELMD) vs RxSight, Inc. (RXST)

Electromed, Inc. and RxSight, Inc. are both Medical Devices companies. Electromed, Inc. is the larger, with a market value of $233.1M against $196.7M — 1.2× the size. RxSight, Inc. has negative trailing earnings, so its P/E is not meaningful; Electromed, Inc. trades at 20.4×. Electromed, Inc. grew revenue faster over the last twelve months: 15.3% against −13.3%. Electromed, Inc. has the higher net margin (15.3% vs −36.8%) and the higher return on invested capital (25.9% vs −63.2%). Across the 19 metrics below, Electromed, Inc. leads on 14 and RxSight, Inc. on 5.

Valuation

Metric ELMD RXST Medical Devices median
P/E 20.35 n/m 22.18
P/S 3.12 1.52 2.70
P/B 4.27 0.73 2.46
Price to free cash flow 27.55 n/m 22.53
EV/EBITDA 14.05 0.24 11.78
EV/Sales 2.85 (0.11) 2.38
Earnings yield 4.91% (24.25%) (8.22%)
Free cash flow yield 3.63% (14.05%) (7.80%)

Profitability

Metric ELMD RXST Medical Devices median
Gross margin 78.54% 77.50% 56.01%
Operating margin 18.82% (43.20%) (15.03%)
Net margin 15.32% (36.80%) (20.40%)
Free cash flow margin 11.34% (21.29%) (7.24%)
Return on equity 23.26% (17.35%) (15.32%)
Return on assets 18.82% (14.19%) (19.72%)
Return on invested capital 25.87% (63.16%) (10.33%)

Growth

Metric ELMD RXST Medical Devices median
Revenue growth (TTM) 15.28% (13.25%) 8.80%
EPS growth (last fiscal year) 52.94% (33.80%) —
Revenue growth, 5-year CAGR 15.59% 55.74% 15.23%
Net income growth, 5-year CAGR 36.76% 0.00% 0.00%

Health

Metric ELMD RXST Medical Devices median
Debt to equity 0.00 0.00 0.07
Current ratio 4.69 4.07 2.50
Net debt to EBITDA (1.37) 4.27 0.49

Dividend

Metric ELMD RXST Medical Devices median
Dividend yield — — 0.94%
Payout ratio 0.00 0.00 0.00

Size

Metric ELMD RXST Medical Devices median
Market cap 233.08m 196.74m 172.91m

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