ProSomnus (NASDAQ:OSA) and Cytosorbents (NASDAQ:CTSO) Financial Analysis

ProSomnus (NASDAQ:OSA) and Cytosorbents (NASDAQ:CTSO) are both small-cap medical companies, but which is the better business? We will compare the two companies based on the strength of their profitability, institutional ownership, valuation, risk, analyst recommendations, earnings and dividends.

Analyst Recommendations

This is a breakdown of recent recommendations for ProSomnus and Cytosorbents, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ProSomnus	0	1	2	0	2.67
Cytosorbents	0	1	1	0	2.50

ProSomnus presently has a consensus target price of $2.33, suggesting a potential upside of 1,078.45%. Cytosorbents has a consensus target price of $2.50, suggesting a potential upside of 208.64%. Given ProSomnus’ stronger consensus rating and higher possible upside, equities research analysts plainly believe ProSomnus is more favorable than Cytosorbents.

Insider & Institutional Ownership

70.0% of ProSomnus shares are held by institutional investors. Comparatively, 32.9% of Cytosorbents shares are held by institutional investors. 7.7% of ProSomnus shares are held by company insiders. Comparatively, 8.1% of Cytosorbents shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Valuation & Earnings

This table compares ProSomnus and Cytosorbents’ revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ProSomnus	$27.65 million	0.12	-$24.09 million	($1.56)	-0.13
Cytosorbents	$36.35 million	1.21	-$28.51 million	($0.64)	-1.27

ProSomnus has higher earnings, but lower revenue than Cytosorbents. Cytosorbents is trading at a lower price-to-earnings ratio than ProSomnus, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares ProSomnus and Cytosorbents’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ProSomnus	-87.14%	N/A	-106.30%
Cytosorbents	-78.43%	-120.24%	-54.11%

Risk & Volatility

ProSomnus has a beta of 0.21, meaning that its share price is 79% less volatile than the S&P 500. Comparatively, Cytosorbents has a beta of 0.58, meaning that its share price is 42% less volatile than the S&P 500.

About ProSomnus

ProSomnus, Inc. operates as a medical technology company that develops, manufactures, and markets precision intraoral medical devices for treating and managing patients with obstructive sleep apnea. The company sells its products to sleep dentists, sleep physicians, primary care providers, otolaryngologists, and other integrated healthcare service providers through a direct sales force. ProSomnus, Inc. is headquartered in Pleasanton, California.

About Cytosorbents

Cytosorbents Corporation engages in the research, development, and commercialization of medical devices with its blood purification technology platform incorporating a proprietary adsorbent and porous polymer technology in the United States, Germany, and internationally. Its flagship product is CytoSorb, an extracorporeal cytokine adsorber for adjunctive therapy in the treatment of sepsis, adjunctive therapy in other critical care applications, prevention, and treatment of perioperative complications, and maintaining or enhancing the quality of solid organs harvested from donors for organ transplant; and offers VetResQ, a device for adjunctive therapy in the treatment of sepsis, pancreatitis, and other critical illnesses in animals. The company also develops CytoSorb-XL, a device for adjunctive therapy in the treatment of sepsis and other critical illnesses; HemoDefend blood purification technology platform to reduce contaminants in the blood supply that can cause transfusion reactions or disease when administering blood and blood products to patients, and removal of anti-A and anti-B blood group antibodies from whole blood and plasma; K+ontrol for treatment of severe hyperkalemia in patients with life-threatening conditions; and ContrastSorb for the removal of IV contrast in blood administered during CT imaging, an angiogram, or during a vascular interventional radiology procedure to reduce the risk of contrast-induced nephropathy. In addition, it develops BetaSorb, a device for the prevention and treatment of health complications caused by the accumulation of metabolic toxins in patients with chronic renal failure; DrugSorb, a device to remove drugs and chemicals from the blood; and DrugSorb-ATR, an antithrombotic removal system. The company was formerly known as MedaSorb Technologies Corporation and changed its name to Cytosorbents Corporation in May 2010. Cytosorbents Corporation was founded in 1997 and is headquartered in Princeton, New Jersey.