Profound Medical (PROF) vs Neuronetics, Inc. (STIM)

Profound Medical and Neuronetics, Inc. are both Medical Devices companies. Profound Medical and Neuronetics, Inc. are of similar size ($214.9M and $204.6M). Profound Medical grew revenue faster over the last twelve months: 61.2% against 39.6%. Neuronetics, Inc. has the higher net margin (−19.6% vs −171.6%) and the higher return on invested capital (−24.6% vs −137.8%). Across the 18 metrics below, Neuronetics, Inc. leads on 12 and Profound Medical on 6.

Valuation

Metric PROF STIM Medical Devices median
P/E n/m n/m 22.18
P/S 10.97 1.29 2.70
P/B 4.20 9.26 2.46
Price to free cash flow n/m n/m 22.53
EV/EBITDA n/m n/m 11.78
EV/Sales 9.44 1.61 2.38
Earnings yield (17.01%) (16.06%) (8.22%)
Free cash flow yield (17.55%) (5.60%) (7.80%)

Profitability

Metric PROF STIM Medical Devices median
Gross margin 71.79% 49.12% 56.01%
Operating margin (185.31%) (14.74%) (15.03%)
Net margin (171.56%) (19.62%) (20.40%)
Free cash flow margin (189.15%) (7.24%) (7.24%)
Return on equity (73.53%) (114.52%) (15.32%)
Return on assets (58.44%) (22.87%) (19.72%)
Return on invested capital (137.78%) (24.64%) (10.33%)

Growth

Metric PROF STIM Medical Devices median
Revenue growth (TTM) 61.20% 39.59% 8.80%
EPS growth (last fiscal year) (25.89%) 56.93% —
Revenue growth, 5-year CAGR 17.12% 24.81% 15.23%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric PROF STIM Medical Devices median
Debt to equity 0.09 2.84 0.07
Current ratio 6.46 1.88 2.50
Net debt to EBITDA 1.36 (1.12) 0.49

Dividend

Metric PROF STIM Medical Devices median
Dividend yield — — 0.94%
Payout ratio 0.00 0.00 0.00

Size

Metric PROF STIM Medical Devices median
Market cap 204.57m 214.88m 172.91m

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