Head-To-Head Review: Allurion Technologies (NYSE:ALUR) & OrthoPediatrics (NASDAQ:KIDS)

OrthoPediatrics (NASDAQ:KIDS) and Allurion Technologies (NYSE:ALUR) are both small-cap medical companies, but which is the superior business? We will compare the two companies based on the strength of their earnings, institutional ownership, profitability, valuation, analyst recommendations, risk and dividends.

Analyst Recommendations

This is a breakdown of recent ratings for OrthoPediatrics and Allurion Technologies, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
OrthoPediatrics	0	1	3	0	2.75
Allurion Technologies	0	1	2	1	3.00

OrthoPediatrics currently has a consensus target price of $37.25, suggesting a potential upside of 48.52%. Allurion Technologies has a consensus target price of $54.17, suggesting a potential upside of 2,156.94%. Given Allurion Technologies’ stronger consensus rating and higher probable upside, analysts clearly believe Allurion Technologies is more favorable than OrthoPediatrics.

Valuation & Earnings

This table compares OrthoPediatrics and Allurion Technologies”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
OrthoPediatrics	$204.73 million	2.98	-$20.97 million	($1.63)	-15.39
Allurion Technologies	$34.75 million	0.33	-$80.61 million	($12.00)	-0.20

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

Profitability

This table compares OrthoPediatrics and Allurion Technologies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
OrthoPediatrics	-15.00%	-5.78%	-4.80%
Allurion Technologies	-71.24%	N/A	-56.75%

Insider and Institutional Ownership

69.1% of OrthoPediatrics shares are held by institutional investors. Comparatively, 21.4% of Allurion Technologies shares are held by institutional investors. 31.8% of OrthoPediatrics shares are held by company insiders. Comparatively, 22.4% of Allurion Technologies shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Risk & Volatility

OrthoPediatrics has a beta of 1.22, suggesting that its share price is 22% more volatile than the S&P 500. Comparatively, Allurion Technologies has a beta of -0.59, suggesting that its share price is 159% less volatile than the S&P 500.

Summary

OrthoPediatrics beats Allurion Technologies on 10 of the 15 factors compared between the two stocks.

About OrthoPediatrics

OrthoPediatrics Corp., a medical device company, engages in designing, developing, and marketing anatomically appropriate implants, instruments, and specialized braces for children with orthopedic conditions in the United States and internationally. The company offers pediatric trauma and deformity correction products; scoliosis procedures for the treatment of spinal deformity; and sports medicine and other products. Its products comprise PediLoc, PediPlates, cannulated screws, PediFlex nail, PediNail, PediLoc Tibia, ACL Reconstruction System, Locking Cannulated Blade, Locking Proximal Femur, Spica Tables, RESPONSE Spine, BandLoc, Pediguard, Pediatric Nailing Platform | Femur, Devise Rail, Orthex, The Fassier-Duval Telescopic Intramedullary System, SLIMTM Nail, The GAP Nail, The Free Gliding SCFE Screw System, GIROTM Growth Modulation System, PNP Tibia System, ApiFix Mid-C System, and Mitchell Ponseti. The company serves pediatric orthopedic market, as well as pediatric orthopedic surgeons and caregivers. OrthoPediatrics Corp. was founded in 2006 and is headquartered in Warsaw, Indiana.

About Allurion Technologies

Allurion Technologies Inc. focuses on ending obesity with a weight loss platform to treat people who are overweight. Its platform, the Allurion Program, features swallowable and procedure-less intragastric balloon for weight loss (the Allurion Balloon), as well as offers access to AI-powered remote patient monitoring tools, a proprietary behavior change program, secure messaging, and video telehealth that are delivered by the Allurion Virtual Care Suite. Allurion Technologies Inc. is headquartered in Natick, Massachusetts.