Becton, Dickinson and (NYSE:BDX) and Hologic (NASDAQ:HOLX) are both large-cap medical companies, but which is the superior business? We will contrast the two companies based on the strength of their dividends, valuation, analyst recommendations, risk, profitability, institutional ownership and earnings.
Institutional and Insider Ownership
83.2% of Becton, Dickinson and shares are held by institutional investors. Comparatively, 92.4% of Hologic shares are held by institutional investors. 0.8% of Becton, Dickinson and shares are held by company insiders. Comparatively, 1.0% of Hologic shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.
Analyst Ratings
This is a summary of recent recommendations and price targets for Becton, Dickinson and and Hologic, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
---|
Becton, Dickinson and | 0 | 7 | 7 | 0 | 2.50 |
Hologic | 0 | 5 | 8 | 0 | 2.62 |
Becton, Dickinson and currently has a consensus price target of $279.6667, indicating a potential upside of 7.46%. Hologic has a consensus price target of $79.5625, indicating a potential upside of 4.22%. Given Becton, Dickinson and's higher possible upside, analysts clearly believe Becton, Dickinson and is more favorable than Hologic.
Profitability
This table compares Becton, Dickinson and and Hologic's net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
---|
Becton, Dickinson and | 5.11% | 13.30% | 5.60% |
Hologic | 29.53% | 45.24% | 15.53% |
Volatility & Risk
Becton, Dickinson and has a beta of 0.79, indicating that its share price is 21% less volatile than the S&P 500. Comparatively, Hologic has a beta of 1.27, indicating that its share price is 27% more volatile than the S&P 500.
Earnings & Valuation
This table compares Becton, Dickinson and and Hologic's gross revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
---|
Becton, Dickinson and | $17.12 billion | 4.42 | $874 million | $10.20 | 25.51 |
Hologic | $3.78 billion | 5.20 | $1.12 billion | $3.98 | 19.18 |
Hologic has lower revenue, but higher earnings than Becton, Dickinson and. Hologic is trading at a lower price-to-earnings ratio than Becton, Dickinson and, indicating that it is currently the more affordable of the two stocks.
Summary
Hologic beats Becton, Dickinson and on 10 of the 14 factors compared between the two stocks.