Financial Contrast: T2 Biosystems (NASDAQ:TTOO) & Iradimed (NASDAQ:IRMD)

T2 Biosystems (NASDAQ:TTOO) and Iradimed (NASDAQ:IRMD) are both small-cap medical companies, but which is the better stock? We will contrast the two businesses based on the strength of their analyst recommendations, valuation, dividends, risk, profitability, earnings and institutional ownership.

Risk & Volatility

T2 Biosystems has a beta of 0.34, meaning that its share price is 66% less volatile than the S&P 500. Comparatively, Iradimed has a beta of 0.83, meaning that its share price is 17% less volatile than the S&P 500.

Insider & Institutional Ownership

23.2% of T2 Biosystems shares are held by institutional investors. Comparatively, 92.3% of Iradimed shares are held by institutional investors. 0.0% of T2 Biosystems shares are held by company insiders. Comparatively, 37.1% of Iradimed shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Analyst Recommendations

This is a breakdown of current ratings and recommmendations for T2 Biosystems and Iradimed, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
T2 Biosystems	0	1	0	0	2.00
Iradimed	0	0	3	0	3.00

T2 Biosystems currently has a consensus price target of $5.00, indicating a potential upside of 3,687.88%. Iradimed has a consensus price target of $72.00, indicating a potential upside of 37.64%. Given T2 Biosystems’ higher probable upside, research analysts plainly believe T2 Biosystems is more favorable than Iradimed.

Earnings & Valuation

This table compares T2 Biosystems and Iradimed”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
T2 Biosystems	$7.68 million	0.36	-$50.08 million	N/A	N/A
Iradimed	$73.24 million	9.05	$19.23 million	$1.50	34.87

Iradimed has higher revenue and earnings than T2 Biosystems.

Profitability

This table compares T2 Biosystems and Iradimed’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
T2 Biosystems	-563.16%	N/A	-174.06%
Iradimed	26.26%	24.12%	21.20%

Summary

Iradimed beats T2 Biosystems on 11 of the 12 factors compared between the two stocks.

About T2 Biosystems

T2 Biosystems, Inc., an in vitro diagnostics company, develops and sells diagnostic products and product candidates in the United States and internationally. Its technology enables detection of pathogens, biomarkers, and other abnormalities in various unpurified patient sample types, including whole blood, plasma, serum, saliva, sputum, cerebral spinal fluid, and urine. The company also offers T2Dx Instrument, a bench-top instrument that runs various diagnostic tests from patient samples; T2Candida panel, a direct-from-blood molecular diagnostic test panel that detects lethal form of common blood stream infections, which cause sepsis and candidemia; T2Bacteria panel, a direct-from-blood molecular diagnostic test panel, which detects bacterial pathogens in blood stream infections; T2Resistance panel, a direct-from-blood test that identifies carbapenem resistance genes; and T2Biothreat, a direct-from-blood molecular diagnostic test panel that runs on the T2Dx Instrument and detects biothreat pathogens. In addition, it is developing T2Cauris panel, a direct-from-blood molecular diagnostic test that runs on the T2Dx Instrument and detects Candida auris; and T2Lyme panel, a direct-from-blood molecular diagnostic test panel that runs on the T2Dx Instrument to identify the bacteria that cause Lyme disease. T2 Biosystems, Inc. was incorporated in 2006 and is headquartered in Lexington, Massachusetts.

About Iradimed

IRadimed Corp. engages in the development, manufacture, marketing, and distribution of Magnetic Resonance Imaging compatible medical devices. It also provides a non-magnetic Intravenous infusion pump system that is specifically designed for use during MRI procedures. The company was founded by Roger Susi in July 1992 and is headquartered in Winter Springs, FL.