Medtronic (NYSE:MDT – Get Free Report) and MariMed (OTCMKTS:MRMD – Get Free Report) are both medical companies, but which is the superior investment? We will compare the two businesses based on the strength of their valuation, institutional ownership, analyst recommendations, profitability, earnings, dividends and risk.
Risk and Volatility
Medtronic has a beta of 0.75, meaning that its stock price is 25% less volatile than the S&P 500. Comparatively, MariMed has a beta of 1.15, meaning that its stock price is 15% more volatile than the S&P 500.
Valuation and Earnings
This table compares Medtronic and MariMed”s top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Medtronic | $35.48 billion | 3.12 | $4.66 billion | $3.59 | 24.02 |
| MariMed | $159.83 million | 0.17 | -$14.48 million | ($0.03) | -2.27 |
Medtronic has higher revenue and earnings than MariMed. MariMed is trading at a lower price-to-earnings ratio than Medtronic, indicating that it is currently the more affordable of the two stocks.
Profitability
This table compares Medtronic and MariMed’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Medtronic | 13.00% | 14.82% | 7.88% |
| MariMed | -8.94% | -5.85% | -1.58% |
Institutional & Insider Ownership
82.1% of Medtronic shares are owned by institutional investors. Comparatively, 0.2% of MariMed shares are owned by institutional investors. 0.3% of Medtronic shares are owned by company insiders. Comparatively, 19.0% of MariMed shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.
Analyst Recommendations
This is a summary of current ratings and price targets for Medtronic and MariMed, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Medtronic | 0 | 10 | 16 | 0 | 2.62 |
| MariMed | 0 | 2 | 0 | 0 | 2.00 |
Medtronic currently has a consensus price target of $109.25, indicating a potential upside of 26.69%. Given Medtronic’s stronger consensus rating and higher probable upside, research analysts plainly believe Medtronic is more favorable than MariMed.
Summary
Medtronic beats MariMed on 12 of the 14 factors compared between the two stocks.
About Medtronic
Medtronic plc develops, manufactures, and sells device-based medical therapies to healthcare systems, physicians, clinicians, and patients worldwide. Its Cardiovascular Portfolio segment offers implantable cardiac pacemakers, cardioverter defibrillators, and cardiac resynchronization therapy devices; cardiac ablation products; insertable cardiac monitor systems; TYRX products; and remote monitoring and patient-centered software. It also provides aortic valves, surgical valve replacement and repair products, endovascular stent grafts and accessories, and transcatheter pulmonary valves; and percutaneous coronary intervention products, percutaneous angioplasty balloons, and products. The company's Medical Surgical Portfolio segment offers surgical stapling devices, vessel sealing instruments, wound closure, electrosurgery products, surgical artificial intelligence and robotic-assisted surgery products, hernia mechanical devices, mesh implants, gynecology and lung products, and various therapies to treat diseases, as well as products in the fields of minimally invasive gastrointestinal and hepatologic diagnostics and therapies, patient monitoring, airway management and ventilation therapies, and renal disease. Its Neuroscience Portfolio segment offers products for spinal surgeons; neurosurgeons; neurologists; pain management specialists; anesthesiologists; orthopedic surgeons; urologists; urogynecologists; interventional radiologists; ear, nose, and throat specialists; and systems that incorporate energy surgical instruments. It also provides image-guided surgery and intra-operative imaging systems and robotic guidance systems used in robot assisted spine procedures; and therapies for vasculature in and around the brain. The company's Diabetes Operating Unit segment offers insulin pumps and consumables, continuous glucose monitoring systems, smart insulin pen systems, and consumables and supplies. The company was founded in 1949 and is headquartered in Dublin, Ireland.
About MariMed
MariMed Inc. engages in cultivation, production, and dispensing of medicinal and recreational cannabis in the United States and internationally. The company sells flowers and concentrates under the Nature’s Heritage brand; and soft and chewy baked goods and a hot chocolate mix under Bubby’s Baked brand; and drink mix under Vibations brand. It also offers chewable cannabis-infused mint tablet under the brand Kalm Fusion; and flower, vapes, and edibles under InHouse brand. In addition, the company provides supplement, nutrient-infused fruit chews under Betty’s Eddies brand and ice creams under Emack & Bolio’s brand. The company licenses its brands. MariMed Inc. was incorporated in 2011 and is based in Norwood, Massachusetts.
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