OrthoPediatrics (NASDAQ:KIDS) & Solventum (NYSE:SOLV) Critical Comparison

OrthoPediatrics (NASDAQ:KIDS) and Solventum (NYSE:SOLV) are both medical companies, but which is the better investment? We will compare the two companies based on the strength of their earnings, profitability, analyst recommendations, valuation, institutional ownership, risk and dividends.

Institutional & Insider Ownership

69.1% of OrthoPediatrics shares are held by institutional investors. 31.8% of OrthoPediatrics shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Valuation and Earnings

This table compares OrthoPediatrics and Solventum”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
OrthoPediatrics	$189.67 million	3.10	-$20.97 million	($1.23)	-19.72
Solventum	N/A	N/A	N/A	N/A	N/A

Solventum has lower revenue, but higher earnings than OrthoPediatrics.

Profitability

This table compares OrthoPediatrics and Solventum’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
OrthoPediatrics	-15.00%	-5.78%	-4.80%
Solventum	N/A	N/A	N/A

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for OrthoPediatrics and Solventum, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
OrthoPediatrics	0	1	2	0	2.67
Solventum	1	8	1	0	2.00

OrthoPediatrics currently has a consensus target price of $40.00, indicating a potential upside of 64.88%. Solventum has a consensus target price of $68.00, indicating a potential downside of 2.91%. Given OrthoPediatrics’ stronger consensus rating and higher probable upside, analysts plainly believe OrthoPediatrics is more favorable than Solventum.

Summary

OrthoPediatrics beats Solventum on 6 of the 9 factors compared between the two stocks.

About OrthoPediatrics

OrthoPediatrics Corp., a medical device company, engages in designing, developing, and marketing anatomically appropriate implants, instruments, and specialized braces for children with orthopedic conditions in the United States and internationally. The company offers pediatric trauma and deformity correction products; scoliosis procedures for the treatment of spinal deformity; and sports medicine and other products. Its products comprise PediLoc, PediPlates, cannulated screws, PediFlex nail, PediNail, PediLoc Tibia, ACL Reconstruction System, Locking Cannulated Blade, Locking Proximal Femur, Spica Tables, RESPONSE Spine, BandLoc, Pediguard, Pediatric Nailing Platform | Femur, Devise Rail, Orthex, The Fassier-Duval Telescopic Intramedullary System, SLIMTM Nail, The GAP Nail, The Free Gliding SCFE Screw System, GIROTM Growth Modulation System, PNP Tibia System, ApiFix Mid-C System, and Mitchell Ponseti. The company serves pediatric orthopedic market, as well as pediatric orthopedic surgeons and caregivers. OrthoPediatrics Corp. was founded in 2006 and is headquartered in Warsaw, Indiana.

About Solventum

Solventum Corporation, a healthcare company, engages in the developing, manufacturing, and commercializing a portfolio of solutions to address critical customer and patient needs. It operates through four segments: Medsurg, Dental Solutions, Health Information Systems, and Purification and Filtration. The Medsurg segment is a provider of solutions including advanced wound care, I.V. site management, sterilization assurance, temperature management, surgical supplies, stethoscopes, and medical electrodes. The Dental Solutions segment provides a comprehensive suite of dental and orthodontic products including brackets, aligners, restorative cements, and bonding agents. The Health Information Systems provides software solutions including computer-assisted, physician documentation, direct-to-bill and coding automation, classification methodologies, speech, recognition, and data visualization platforms. The Purification and Filtration segment provides purification and filtration technologies including filters, purifiers, cartridges, and membranes. The company was incorporated in 2023 and is based in Saint Paul, Minnesota.