Medtronic (NYSE:MDT – Get Free Report) and Senseonics Holdings, Inc. Common Stock (NASDAQ:SENS – Get Free Report) are both healthcare companies, but which is the better investment? We will contrast the two companies based on the strength of their profitability, earnings, dividends, analyst recommendations, risk, valuation and institutional ownership.
Risk and Volatility
Medtronic has a beta of 0.55, indicating that its stock price is 45% less volatile than the S&P 500. Comparatively, Senseonics Holdings, Inc. Common Stock has a beta of 1.02, indicating that its stock price is 2% more volatile than the S&P 500.
Insider and Institutional Ownership
82.1% of Medtronic shares are owned by institutional investors. Comparatively, 12.4% of Senseonics Holdings, Inc. Common Stock shares are owned by institutional investors. 0.3% of Medtronic shares are owned by insiders. Comparatively, 4.7% of Senseonics Holdings, Inc. Common Stock shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.
Profitability
This table compares Medtronic and Senseonics Holdings, Inc. Common Stock’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Medtronic | 13.93% | 14.78% | 7.97% |
| Senseonics Holdings, Inc. Common Stock | -225.09% | -165.80% | -80.14% |
Analyst Recommendations
This is a breakdown of current ratings for Medtronic and Senseonics Holdings, Inc. Common Stock, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Medtronic | 1 | 9 | 18 | 0 | 2.61 |
| Senseonics Holdings, Inc. Common Stock | 1 | 2 | 3 | 0 | 2.33 |
Medtronic currently has a consensus target price of $102.88, indicating a potential upside of 7.75%. Senseonics Holdings, Inc. Common Stock has a consensus target price of $13.00, indicating a potential upside of 73.10%. Given Senseonics Holdings, Inc. Common Stock’s higher probable upside, analysts clearly believe Senseonics Holdings, Inc. Common Stock is more favorable than Medtronic.
Earnings and Valuation
This table compares Medtronic and Senseonics Holdings, Inc. Common Stock”s gross revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Medtronic | $37.54 billion | 3.25 | $4.80 billion | $4.06 | 23.52 |
| Senseonics Holdings, Inc. Common Stock | $35.26 million | 8.90 | -$69.11 million | ($2.23) | -3.37 |
Medtronic has higher revenue and earnings than Senseonics Holdings, Inc. Common Stock. Senseonics Holdings, Inc. Common Stock is trading at a lower price-to-earnings ratio than Medtronic, indicating that it is currently the more affordable of the two stocks.
Summary
Medtronic beats Senseonics Holdings, Inc. Common Stock on 10 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 Senseonics Holdings, Inc. Common Stock
Senseonics Holdings, Inc., a medical technology company, develops and commercializes continuous glucose monitoring (CGM) systems for people with diabetes in the United States, Europe, the Middle East, and Africa. The company’s products include Eversense and Eversense XL, which are implantable CGM systems to measure glucose levels in people with diabetes through an under-the-skin sensor, a removable and rechargeable smart transmitter, and a convenient app for real-time diabetes monitoring and management for a period of up to six months. It serves healthcare providers and patients through a network of distributors and strategic fulfillment partners. The company has a collaboration agreement with the University Hospitals Accountable Care Organization. Senseonics Holdings, Inc. was founded in 1996 and is headquartered in Germantown, Maryland.
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