Nexalin Technology (NASDAQ:NXL) & Gadsden Properties (OTCMKTS:GADS) Financial Analysis

Gadsden Properties (OTCMKTS:GADS) and Nexalin Technology (NASDAQ:NXL) are both finance companies, but which is the better stock? We will compare the two businesses based on the strength of their analyst recommendations, dividends, institutional ownership, earnings, profitability, risk and valuation.

Analyst Ratings

This is a summary of recent recommendations for Gadsden Properties and Nexalin Technology, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Gadsden Properties	0	0	0	0	0.00
Nexalin Technology	0	0	1	0	3.00

Nexalin Technology has a consensus price target of $5.00, indicating a potential upside of 320.17%. Given Nexalin Technology’s stronger consensus rating and higher possible upside, analysts clearly believe Nexalin Technology is more favorable than Gadsden Properties.

Profitability

This table compares Gadsden Properties and Nexalin Technology’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Gadsden Properties	N/A	N/A	N/A
Nexalin Technology	-3,407.98%	-187.59%	-167.21%

Valuation & Earnings

This table compares Gadsden Properties and Nexalin Technology”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Gadsden Properties	N/A	N/A	N/A	N/A	N/A
Nexalin Technology	$168,721.00	94.00	-$4.65 million	($0.82)	-1.45

Gadsden Properties has higher earnings, but lower revenue than Nexalin Technology.

Institutional and Insider Ownership

0.6% of Nexalin Technology shares are owned by institutional investors. 5.0% of Gadsden Properties shares are owned by insiders. Comparatively, 24.0% of Nexalin Technology shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Volatility & Risk

Gadsden Properties has a beta of -7.54, indicating that its stock price is 854% less volatile than the S&P 500. Comparatively, Nexalin Technology has a beta of 4.67, indicating that its stock price is 367% more volatile than the S&P 500.

Summary

Nexalin Technology beats Gadsden Properties on 7 of the 10 factors compared between the two stocks.

About Gadsden Properties

Gadsden Properties, Inc. is a Nevada corporation that was formed on December 28, 2010. Gadsden concentrates primarily on investments in high quality income-producing assets, residential developments and other opportunistic commercial properties in secondary and tertiary markets across the United States. The Company derives value from smaller, flexible retail investments that range from $5 million to $50 million and off-market mixed-use properties ranging from $50 million to $250 million. As a result of this chosen strategy, we believe that Gadsden is developing a unique competitive advantage that generally allows the Company to invest in markets and assets that are often overlooked by larger institutional investors, such as publicly-traded REITs and other large institutional investors. As part of its strategy, Gadsden attracts specific sellers that prefer the tax deferral advantages offered through issuing operating partnership units in exchange for their properties. These real estate assets are typically operated by independent owners that are seeking to monetize their real estate holdings, and who are typically not well capitalized or well-seasoned real estate operators. These transactions create a variety of outcomes for Gadsden and the sellers typically resulting in lease-up and value-added opportunities that may not be otherwise achieved.

About Nexalin Technology

Nexalin Technology, Inc., a medical device company, designs and develops neurostimulation products for the treatment of mental health in the United States and China. The company designs and develops Generation 2 and Generation 3, that is in clinical trials for the treatment of substance abuse issues related to opiate, cocaine, alcohol abuse, alzheimer's disease, and dementia. It also licenses and sells Nexalin Device, a non-invasive and undetectable to the human body that can provide relief to its afflicted with mental health issues. The company is based in Houston, Texas.