Reviewing Grail (NASDAQ:GRAL) and RadNet (NASDAQ:RDNT)

RadNet (NASDAQ:RDNT) and Grail (NASDAQ:GRAL) are both medical companies, but which is the superior stock? We will compare the two businesses based on the strength of their earnings, risk, valuation, profitability, dividends, analyst recommendations and institutional ownership.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for RadNet and Grail, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
RadNet	0	0	4	1	3.20
Grail	0	3	0	0	2.00

RadNet presently has a consensus price target of $84.75, suggesting a potential upside of 3.85%. Grail has a consensus price target of $16.00, suggesting a potential downside of 25.99%. Given RadNet’s stronger consensus rating and higher probable upside, research analysts clearly believe RadNet is more favorable than Grail.

Profitability

This table compares RadNet and Grail’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
RadNet	-0.25%	4.29%	1.45%
Grail	N/A	N/A	N/A

Earnings and Valuation

This table compares RadNet and Grail”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
RadNet	$1.62 billion	3.74	$3.04 million	($0.07)	-1,165.69
Grail	N/A	N/A	N/A	N/A	N/A

RadNet has higher revenue and earnings than Grail.

Insider & Institutional Ownership

77.9% of RadNet shares are owned by institutional investors. 5.1% of RadNet shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Summary

RadNet beats Grail on 9 of the 10 factors compared between the two stocks.

About RadNet

RadNet, Inc., together with its subsidiaries, provides outpatient diagnostic imaging services in the United States. The company operates in two segments: Imaging Centers and Artificial Intelligence. Its services include magnetic resonance imaging, computed tomography, positron emission tomography, nuclear medicine, mammography, ultrasound, diagnostic radiology, fluoroscopy, and other related procedures, as well as multi-modality imaging services. The company also develops and sells computerized systems that distribute, display, store, and retrieve digital images; offers picture archiving communications systems and related services; and develops and deploys AI suites to enhance radiologist interpretation of breast, lung, and prostate images, as well as AI solutions for prostate cancer screening. RadNet, Inc. was founded in 1981 and is headquartered in Los Angeles, California.

About Grail

GRAIL, Inc., a biotechnology company, focuses on developing technologies for early cancer detection. The company develops Galleri, a screening test for asymptomatic individuals over 50 years of age; and DAC, a diagnostic aid for cancer tests to accelerate diagnostic resolution for patients for whom there is a clinical suspicion of cancer. It is also developing minimal residual disease and other post-diagnostic tests. The company was incorporated in 2015 and is based in Menlo Park, California. GRAIL, Inc. operates as a former subsidiary of Illumina, Inc.