Comparing Penumbra (NYSE:PEN) and Beyond Air (NASDAQ:XAIR)

Beyond Air (NASDAQ:XAIR) and Penumbra (NYSE:PEN) are both medical companies, but which is the superior stock? We will contrast the two companies based on the strength of their profitability, analyst recommendations, earnings, dividends, risk, institutional ownership and valuation.

Valuation and Earnings

This table compares Beyond Air and Penumbra”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Beyond Air	$1.16 million	25.50	-$60.24 million	($1.41)	-0.28
Penumbra	$1.06 billion	9.71	$90.95 million	$0.86	311.43

Penumbra has higher revenue and earnings than Beyond Air. Beyond Air is trading at a lower price-to-earnings ratio than Penumbra, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of recent recommendations for Beyond Air and Penumbra, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Beyond Air	0	1	3	1	3.00
Penumbra	0	4	11	1	2.81

Beyond Air presently has a consensus price target of $3.67, indicating a potential upside of 842.59%. Penumbra has a consensus price target of $261.36, indicating a potential downside of 2.42%. Given Beyond Air’s stronger consensus rating and higher probable upside, research analysts clearly believe Beyond Air is more favorable than Penumbra.

Risk and Volatility

Beyond Air has a beta of -0.15, indicating that its share price is 115% less volatile than the S&P 500. Comparatively, Penumbra has a beta of 0.53, indicating that its share price is 47% less volatile than the S&P 500.

Profitability

This table compares Beyond Air and Penumbra’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Beyond Air	-2,369.17%	-227.29%	-106.51%
Penumbra	2.97%	8.99%	6.80%

Insider and Institutional Ownership

31.5% of Beyond Air shares are owned by institutional investors. Comparatively, 88.9% of Penumbra shares are owned by institutional investors. 20.1% of Beyond Air shares are owned by insiders. Comparatively, 5.0% of Penumbra shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Summary

Penumbra beats Beyond Air on 9 of the 13 factors compared between the two stocks.

About Beyond Air

Beyond Air, Inc. operates as a commercial-stage medical device and biopharmaceutical company in the United States. The company engages in the development of LungFit platform, a nitric oxide generator and delivery system. It offers LungFit PH for the treatment of persistent pulmonary hypertension of the newborn. The company is also developing LungFit PRO for the treatment of viral lung infections, such as community-acquired viral pneumonia, including COVID-19, as well as bronchiolitis in hospitalized patients; and LungFit GO for the treatment of nontuberculous mycobacteria. The company was formerly known as AIT Therapeutics, Inc. and changed its name to Beyond Air, Inc. in June 2019. Beyond Air, Inc. is based in Garden City, New York.

About Penumbra

Penumbra, Inc., together with its subsidiaries, designs, develops, manufactures, and markets medical devices in the United States and internationally. The company offers peripheral products, including the Indigo System for power aspiration of thrombus in the body; Lightning Flash, a mechanical thrombectomy system; Lightning Bolt 7, an arterial thrombectomy system; and CAT RX. It also provides access products, including guide catheters and the Penumbra distal delivery catheters under the Neuron, Neuron MAX Select, BENCHMARK, BMX96, BMX81, DDC, SENDit, and PX SLIM brands; Penumbra System, an integrated mechanical thrombectomy system comprising reperfusion catheters and separators, the 3D Revascularization Device, aspiration tubing, and aspiration pump under the Penumbra RED, JET, ACE, Max, 3D Revascularization Device, and Penumbra ENGINE brands; and neuro embolization coiling systems that includes the Penumbra Coil 400, a detachable coil that provides an alternative for the treatment of aneurysms and other complex lesions, as well as Penumbra SMART COIL, a detachable coil to treat patients with a wide range of neurovascular lesions; and POD400 and PAC400 brands. In addition, the company provides peripheral embolization products, such as Ruby Coil System consisting of detachable coils for peripheral applications; Penumbra LANTERN Delivery Microcatheter, a low-profile microcatheter with a high-flow lumen; POD (Penumbra Occlusion Device) System, a single device solution; and Packing Coil, a complementary device for use in other peripheral embolization products. Further, it offers an immersive 3D computer-based technology platform under the real immersive system brand; and neurosurgical tools, such as Artemis Neuro Evacuation Device for surgical removal of fluid and tissue from the ventricles and cerebrum. The company sells its products through direct sales organizations and distributors. Penumbra, Inc. was incorporated in 2004 and is headquartered in Alameda, California.