Analyzing Streamline Health Solutions (NASDAQ:STRM) & SmartRent (NYSE:SMRT)

Streamline Health Solutions (NASDAQ:STRM) and SmartRent (NYSE:SMRT) are both small-cap medical companies, but which is the superior business? We will compare the two businesses based on the strength of their profitability, dividends, institutional ownership, analyst recommendations, valuation, earnings and risk.

Analyst Ratings

This is a breakdown of current recommendations and price targets for Streamline Health Solutions and SmartRent, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Streamline Health Solutions	0	0	0	1	4.00
SmartRent	0	5	0	0	2.00

SmartRent has a consensus target price of $2.50, suggesting a potential upside of 57.23%. Given SmartRent’s higher probable upside, analysts plainly believe SmartRent is more favorable than Streamline Health Solutions.

Insider and Institutional Ownership

31.7% of Streamline Health Solutions shares are owned by institutional investors. Comparatively, 59.4% of SmartRent shares are owned by institutional investors. 30.6% of Streamline Health Solutions shares are owned by insiders. Comparatively, 9.0% of SmartRent shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Profitability

This table compares Streamline Health Solutions and SmartRent’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Streamline Health Solutions	-92.72%	-44.85%	-19.68%
SmartRent	-12.77%	-6.08%	-4.15%

Volatility & Risk

Streamline Health Solutions has a beta of 1.67, indicating that its stock price is 67% more volatile than the S&P 500. Comparatively, SmartRent has a beta of 1.96, indicating that its stock price is 96% more volatile than the S&P 500.

Earnings and Valuation

This table compares Streamline Health Solutions and SmartRent”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Streamline Health Solutions	$18.59 million	0.76	-$18.70 million	($2.41)	-1.37
SmartRent	$199.77 million	1.53	-$34.59 million	($0.13)	-12.23

Streamline Health Solutions has higher earnings, but lower revenue than SmartRent. SmartRent is trading at a lower price-to-earnings ratio than Streamline Health Solutions, indicating that it is currently the more affordable of the two stocks.

Summary

SmartRent beats Streamline Health Solutions on 9 of the 14 factors compared between the two stocks.

About Streamline Health Solutions

Streamline Health Solutions, Inc. offers health information technology solutions and associated services for hospitals and health systems in the United States and Canada. The company offers RevID, an automated revenue reconciliation software; eValuator, a coding analysis platform; data comparison engine; coding and clinical documentation improvement (CDI) solutions, including CDI, abstracting, and physician query; and financial management solutions, such as accounts receivable management, denials management, claims processing, spend management, and audit management. It also provides auditing and coding, software, and professional services. The company sells its solutions and services through direct sales force and reseller partnerships. Streamline Health Solutions, Inc. was incorporated in 1989 and is based in Alpharetta, Georgia.

About SmartRent

SmartRent, Inc., an enterprise software company, provides an integrated smart home operating system to residential property owners and operators, homebuilders, institutional home buyers, developers, and residents in the United States. The company’s products and solutions include smart apartments and homes, access control for buildings, common areas, and rental units, asset protection and monitoring, parking management, self-guided tours, and community and resident Wi-Fi. It also offers professional services to customers, which include training, installation, and support services. The company was founded in 2017 and is headquartered in Scottsdale, Arizona.