Analyzing Echo Therapeutics (OTCMKTS:ECTE) & Semler Scientific (NASDAQ:SMLR)

Semler Scientific (NASDAQ:SMLR) and Echo Therapeutics (OTCMKTS:ECTE) are both medical companies, but which is the superior business? We will compare the two businesses based on the strength of their analyst recommendations, valuation, institutional ownership, risk, profitability, dividends and earnings.

Analyst Ratings

This is a breakdown of current ratings and price targets for Semler Scientific and Echo Therapeutics, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Semler Scientific	0	0	1	0	3.00
Echo Therapeutics	0	0	0	0	0.00

Semler Scientific presently has a consensus target price of $71.00, indicating a potential upside of 109.75%. Given Semler Scientific’s stronger consensus rating and higher possible upside, analysts clearly believe Semler Scientific is more favorable than Echo Therapeutics.

Earnings & Valuation

This table compares Semler Scientific and Echo Therapeutics”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Semler Scientific	$56.29 million	5.77	$20.58 million	$4.91	6.89
Echo Therapeutics	N/A	N/A	N/A	N/A	N/A

Semler Scientific has higher revenue and earnings than Echo Therapeutics.

Profitability

This table compares Semler Scientific and Echo Therapeutics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Semler Scientific	72.65%	50.77%	47.04%
Echo Therapeutics	N/A	N/A	N/A

Insider & Institutional Ownership

49.4% of Semler Scientific shares are owned by institutional investors. 30.2% of Semler Scientific shares are owned by company insiders. Comparatively, 7.0% of Echo Therapeutics shares are owned by company 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.

Summary

Semler Scientific beats Echo Therapeutics on 9 of the 9 factors compared between the two stocks.

About Semler Scientific

Semler Scientific, Inc. provides technology solutions to enhance the clinical effectiveness and efficiency of healthcare providers in the United States. The company’s products include QuantaFlo, a four-minute in-office blood flow test that enables healthcare providers to use blood flow measurements as part of their examinations of a patient’s vascular condition. It also offers Insulin Insights, a software program that is used by a healthcare provider to optimize outpatient insulin dosing. The company’s products serve cardiologists, internists, nephrologists, endocrinologists, podiatrists, family practitioners, healthcare insurance plans, integrated delivery networks, independent physician groups, and companies contracting with the healthcare industry, such as risk assessment groups and retailers. It offers its products through sales representatives and distributors. The company was incorporated in 2007 and is headquartered in Santa Clara, California.

About Echo Therapeutics

Echo Therapeutics, Inc. is a medical device company, which engages in the development of non-invasive, and wireless continuous glucose monitoring system for use in the diabetes outpatient market. It offers needle-free skin preparation device as a platform technology that allows for enhanced skin permeation enabling extraction of analytes, such as glucose and delivery of topical pharmaceuticals. The company was founded in 1989 and is headquartered in Iselin, NJ.