Contrasting Universal Media Group (OTCMKTS:UMGP) & LENSAR (NASDAQ:LNSR)

Universal Media Group (OTCMKTS:UMGP) and LENSAR (NASDAQ:LNSR) are both small-cap business services companies, but which is the better stock? We will contrast the two businesses based on the strength of their analyst recommendations, earnings, dividends, valuation, risk, profitability and institutional ownership.

Institutional and Insider Ownership

40.2% of LENSAR shares are held by institutional investors. 38.5% of LENSAR shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Risk and Volatility

Universal Media Group has a beta of 0.69, meaning that its stock price is 31% less volatile than the S&P 500. Comparatively, LENSAR has a beta of 0.53, meaning that its stock price is 47% less volatile than the S&P 500.

Valuation and Earnings

This table compares Universal Media Group and LENSAR’s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Universal Media Group	N/A	N/A	N/A	N/A	N/A
LENSAR	$42.16 million	1.02	-$14.38 million	($1.79)	-2.10

Universal Media Group has higher earnings, but lower revenue than LENSAR.

Profitability

This table compares Universal Media Group and LENSAR’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Universal Media Group	N/A	N/A	N/A
LENSAR	-34.11%	-40.53%	-21.83%

Analyst Recommendations

This is a summary of recent ratings and target prices for Universal Media Group and LENSAR, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Universal Media Group	0	0	0	0	N/A
LENSAR	0	0	1	0	3.00

LENSAR has a consensus target price of $8.00, suggesting a potential upside of 112.77%. Given LENSAR’s higher possible upside, analysts plainly believe LENSAR is more favorable than Universal Media Group.

Summary

LENSAR beats Universal Media Group on 5 of the 9 factors compared between the two stocks.

About Universal Media Group

Universal Media Group Inc., a media company, produces and distributes media content worldwide. It produces On The Mike, a TV show that primarily include celebrity interviews, music concerts, and other events. The company was formerly known as Dalton Industries Inc. and changed its name to Universal Media Group Inc. in January 2016. Universal Media Group Inc. was founded in 1971 and is based in Boca Raton, Florida.

About LENSAR

LENSAR, Inc., a commercial-stage medical device company, focuses on designing, developing, and marketing a femtosecond laser system for the treatment of cataracts and the management of pre-existing or surgically induced corneal astigmatism. Its LENSAR Laser System incorporates a range of proprietary technologies designed to assist the surgeon in obtaining visual outcomes, efficiency, and reproducibility by providing imaging, procedure planning, design, and precision. The company also offers Adaptive Cataract Treatment System, a platform design to femtosecond laser technology features that enhanced laser capabilities into a single small unit that allows surgeons to perform a femtosecond laser assisted cataract procedure in a single operating room. LENSAR, Inc. was incorporated in 2004 and is headquartered in Orlando, Florida.