Analyzing Generation Alpha (OTCMKTS:GNAL) & Performant Healthcare, Inc. – Common Stock (NASDAQ:PHLT)

Performant Healthcare, Inc. – Common Stock (NASDAQ:PHLT) and Generation Alpha (OTCMKTS:GNAL) are both small-cap medical companies, but which is the superior stock? We will contrast the two companies based on the strength of their analyst recommendations, profitability, valuation, risk, earnings, institutional ownership and dividends.

Insider & Institutional Ownership

77.2% of Performant Healthcare, Inc. – Common Stock shares are held by institutional investors. 9.2% of Performant Healthcare, Inc. – Common Stock shares are held by company insiders. Comparatively, 60.8% of Generation Alpha shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Valuation and Earnings

This table compares Performant Healthcare, Inc. – Common Stock and Generation Alpha”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Performant Healthcare, Inc. – Common Stock	$122.98 million	1.66	-$7.52 million	($0.13)	-20.08
Generation Alpha	N/A	N/A	N/A	N/A	N/A

Generation Alpha has lower revenue, but higher earnings than Performant Healthcare, Inc. – Common Stock.

Volatility and Risk

Performant Healthcare, Inc. – Common Stock has a beta of -0.11, indicating that its stock price is 111% less volatile than the S&P 500. Comparatively, Generation Alpha has a beta of 2.19, indicating that its stock price is 119% more volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent ratings and price targets for Performant Healthcare, Inc. – Common Stock and Generation Alpha, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Performant Healthcare, Inc. – Common Stock	0	0	0	1	4.00
Generation Alpha	0	0	0	0	0.00

Given Generation Alpha’s higher probable upside, analysts plainly believe Generation Alpha is more favorable than Performant Healthcare, Inc. – Common Stock.

Profitability

This table compares Performant Healthcare, Inc. – Common Stock and Generation Alpha’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Performant Healthcare, Inc. – Common Stock	-6.74%	-10.19%	-7.83%
Generation Alpha	N/A	N/A	N/A

Summary

Generation Alpha beats Performant Healthcare, Inc. – Common Stock on 6 of the 10 factors compared between the two stocks.

About Performant Healthcare, Inc. – Common Stock

Performant Healthcare, Inc. engages in the provision of technology-enabled audit, recovery, customer care, and related analytics services. Its services help identify improper payments, and in some markets, restructure and recover delinquent or defaulted assets and improper payments for both government and private clients. The company was founded in 1976 and is headquartered in Plantation, FL.

About Generation Alpha

Generation Alpha, Inc. focuses on the research, design, development, and manufacturing of indoor horticulture lighting, plant nutrient products, and ancillary equipment in the United States and internationally. The company offers digital ballasts; metal halide, and mercury vapor and high-pressure sodium lamps; light emitting diode lighting products that produce less heat; digital lighting controller, a temperature monitoring control system; reflectors; and high intensity lighting accessories, as well as plant nutrients and fertilizers. It primarily serves commercial and retail cannabis growers in the medical and adult use recreational markets; distributors; and retailers. Generation Alpha, Inc. markets its products directly; and through distributors to hydroponic retailers, as well as through direct contacts, online email advertising, social media, trade magazine advertising, trade show promotions, and cross-promotional offerings, as well as ecommerce websites. The company was formerly known as Solis Tek Inc. Generation Alpha, Inc. was incorporated in 2007 and is based in Upland, California.