Nephros Inc. (NEPH) vs Retractable Technologies, Inc. (RVP)

Nephros Inc. and Retractable Technologies, Inc. are both Medical Instruments & Supplies companies. Nephros Inc. is the larger, with a market value of $33.6M against $16.9M — 2.0× the size. Retractable Technologies, Inc. has negative trailing earnings, so its P/E is not meaningful; Nephros Inc. trades at 16.1×. Nephros Inc. grew revenue faster over the last twelve months: 20.4% against −11.2%. Nephros Inc. has the higher net margin (8.86% vs −10.6%) and the higher return on invested capital (14.3% vs −42.1%). Across the 19 metrics below, Nephros Inc. leads on 15 and Retractable Technologies, Inc. on 4.

Valuation

Metric NEPH RVP Medical Instruments & Supplies median
P/E 16.10 n/m 30.84
P/S 1.42 0.50 2.54
P/B 2.45 0.23 2.36
Price to free cash flow n/m n/m 23.46
EV/EBITDA 13.47 1.49 14.70
EV/Sales 1.21 (0.65) 2.78
Earnings yield 6.21% (21.05%) 0.25%
Free cash flow yield (3.37%) (29.93%) 0.57%

Profitability

Metric NEPH RVP Medical Instruments & Supplies median
Gross margin 60.55% (1.45%) 53.46%
Operating margin 8.48% (66.90%) 2.26%
Net margin 8.86% (10.62%) 0.16%
Free cash flow margin (4.22%) (15.07%) 4.10%
Return on equity 16.95% (4.84%) 0.00%
Return on assets 13.39% (2.49%) 0.00%
Return on invested capital 14.29% (42.05%) 0.13%

Growth

Metric NEPH RVP Medical Instruments & Supplies median
Revenue growth (TTM) 20.36% (11.16%) 8.97%
EPS growth (last fiscal year) 1,471.43% (7.50%) 6.51%
Revenue growth, 5-year CAGR 17.02% (14.11%) 8.85%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric NEPH RVP Medical Instruments & Supplies median
Debt to equity 0.00 0.01 0.10
Current ratio 5.50 4.93 2.42
Net debt to EBITDA (4.20) 2.69 0.97

Dividend

Metric NEPH RVP Medical Instruments & Supplies median
Dividend yield — — 1.03%
Payout ratio — — 0.25

Size

Metric NEPH RVP Medical Instruments & Supplies median
Market cap 33.59m 16.94m 1.64b

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