Critical Contrast: Modular Medical (NASDAQ:MODD) versus Hero Technologies (OTCMKTS:HENC)

Hero Technologies (OTCMKTS:HENC) and Modular Medical (NASDAQ:MODD) are both small-cap medical companies, but which is the superior business? We will compare the two businesses based on the strength of their dividends, analyst recommendations, earnings, risk, valuation, profitability and institutional ownership.

Volatility and Risk

Hero Technologies has a beta of 1.33, indicating that its stock price is 33% more volatile than the S&P 500. Comparatively, Modular Medical has a beta of 0.14, indicating that its stock price is 86% less volatile than the S&P 500.

Earnings and Valuation

This table compares Hero Technologies and Modular Medical”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Hero Technologies	N/A	N/A	-$540,000.00	N/A	N/A
Modular Medical	N/A	N/A	-$18.82 million	($0.51)	-0.96

Insider & Institutional Ownership

27.5% of Modular Medical shares are owned by institutional investors. 0.2% of Hero Technologies shares are owned by insiders. Comparatively, 20.5% of Modular Medical shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Analyst Recommendations

This is a summary of current recommendations for Hero Technologies and Modular Medical, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Hero Technologies	0	0	0	0	0.00
Modular Medical	1	0	0	0	1.00

Given Hero Technologies’ higher possible upside, analysts clearly believe Hero Technologies is more favorable than Modular Medical.

Profitability

This table compares Hero Technologies and Modular Medical’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Hero Technologies	N/A	N/A	N/A
Modular Medical	N/A	-185.60%	-158.95%

Summary

Hero Technologies beats Modular Medical on 5 of the 8 factors compared between the two stocks.

About Hero Technologies

Hero Technologies Inc. operates as an early-stage cannabis company. It focuses on the provision of BlackBox, an aeroponic cannabis cultivation system that provides optimal growing conditions to enhance photosynthesis and the cultivation of large flowering plants and create increased harvest efficiencies. The company also intends to offer cannabis genetic engineering farmland for medical and recreational cannabis cultivation, production, distribution, packaging, and retail operations, as well as for dispensaries. The company is based in Dover, Delaware.

About Modular Medical

Modular Medical, Inc. operates as a medical device company. It focuses on the design, development, and commercialization of insulin pumps. It offers MODD1, a two-part patch pump for type-1 and type-2 diabetes. The company is headquartered in San Diego, California.