Critical Review: FitLife Brands (NASDAQ:FTLF) and MediWound (NASDAQ:MDWD)

FitLife Brands (NASDAQ:FTLF) and MediWound (NASDAQ:MDWD) are both small-cap medical companies, but which is the superior business? We will compare the two companies based on the strength of their dividends, earnings, institutional ownership, risk, profitability, valuation and analyst recommendations.

Insider and Institutional Ownership

2.3% of FitLife Brands shares are held by institutional investors. Comparatively, 46.8% of MediWound shares are held by institutional investors. 61.3% of FitLife Brands shares are held by company insiders. Comparatively, 9.2% of MediWound shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Valuation & Earnings

This table compares FitLife Brands and MediWound”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
FitLife Brands	$62.76 million	2.05	$5.30 million	$0.84	16.61
MediWound	$19.72 million	10.14	-$6.72 million	($2.90)	-6.39

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

Profitability

This table compares FitLife Brands and MediWound’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
FitLife Brands	13.38%	28.03%	15.13%
MediWound	-142.29%	-82.17%	-33.67%

Analyst Ratings

This is a breakdown of current recommendations for FitLife Brands and MediWound, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
FitLife Brands	0	0	1	1	3.50
MediWound	0	0	3	0	3.00

FitLife Brands currently has a consensus price target of $20.00, suggesting a potential upside of 43.37%. MediWound has a consensus price target of $31.33, suggesting a potential upside of 69.00%. Given MediWound’s higher possible upside, analysts clearly believe MediWound is more favorable than FitLife Brands.

Volatility and Risk

FitLife Brands has a beta of 0.95, indicating that its stock price is 5% less volatile than the S&P 500. Comparatively, MediWound has a beta of 0.82, indicating that its stock price is 18% less volatile than the S&P 500.

Summary

FitLife Brands beats MediWound on 11 of the 15 factors compared between the two stocks.

About FitLife Brands

FitLife Brands, Inc. provides nutritional supplements for health-conscious consumers in the United States and internationally. The company provides weight loss, sports nutrition, and general health products; sports nutrition products; weight loss and sports nutrition products; sports nutrition and general wellness formulations with an emphasis on natural, vegan, and organic ingredients; and male health and weight loss products, as well as other diet, health, and sports nutrition supplements and related products; and value-oriented sports nutrition and weight loss products. It offers MRC products which includes general health supplements; and natural skincare and beauty products. In addition, it markets its products under the brand names of NDS Nutrition, PMD Sports, SirenLabs, CoreActive, Nutrology, Metis Nutrition, iSatori, BioGenetic Laboratories, Energize, Dr. Tobias, All-Natural Advice, and Maritime Naturals through franchised stores, as well as through retail locations, which include specialty, mass, and online. The company was formerly known as Bond Laboratories, Inc. and changed its name to FitLife Brands, Inc. in September 2013. FitLife Brands, Inc. was incorporated in 2005 and is headquartered in Omaha, Nebraska.

About MediWound

MediWound Ltd., a biopharmaceutical company, develops, manufactures, and commercializes novel, bio-therapeutic, and non-surgical solutions for tissue repair and regeneration in United States, Europe, and internationally. It markets NexoBrid, a biopharmaceutical product for the removal of eschar, a dead or damaged tissue in adults with deep partial- and full-thickness thermal burns to burn centers and hospitals burn units. The company also develops EscharEx, which has completed Phase II clinical trials for the debridement of chronic and other hard-to-heal wounds; and MW005, which is in phase I/II for the treatment of low-risk basal cell carcinoma. MediWound Ltd. was incorporated in 2000 and is headquartered in Yavne, Israel.