So-Young International (NASDAQ:SY) versus Her Imports (OTCMKTS:HHER) Critical Analysis

So-Young International (NASDAQ:SY) and Her Imports (OTCMKTS:HHER) are both small-cap medical companies, but which is the superior business? We will contrast the two companies based on the strength of their dividends, valuation, earnings, profitability, analyst recommendations, risk and institutional ownership.

Valuation & Earnings

This table compares So-Young International and Her Imports”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
So-Young International	$1.50 billion	0.06	$3.00 million	$0.04	22.00
Her Imports	N/A	N/A	N/A	N/A	N/A

So-Young International has higher revenue and earnings than Her Imports.

Profitability

This table compares So-Young International and Her Imports’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
So-Young International	2.23%	1.32%	1.05%
Her Imports	N/A	N/A	N/A

Insider and Institutional Ownership

35.3% of So-Young International shares are held by institutional investors. 16.7% of So-Young International shares are held by company insiders. Comparatively, 1.0% of Her Imports shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Analyst Recommendations

This is a summary of recent ratings and price targets for So-Young International and Her Imports, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
So-Young International	0	1	0	0	2.00
Her Imports	0	0	0	0	0.00

So-Young International currently has a consensus price target of $0.80, indicating a potential downside of 9.09%. Given So-Young International’s stronger consensus rating and higher possible upside, equities research analysts clearly believe So-Young International is more favorable than Her Imports.

Risk & Volatility

So-Young International has a beta of 0.91, meaning that its share price is 9% less volatile than the S&P 500. Comparatively, Her Imports has a beta of 0.94, meaning that its share price is 6% less volatile than the S&P 500.

Summary

So-Young International beats Her Imports on 8 of the 9 factors compared between the two stocks.

About So-Young International

So-Young International Inc. operates an online platform for consumption healthcare services in the People's Republic of China. The company offers So-Young Mobile App that offers users medical aesthetic knowledge and experience to reach an informed medical aesthetic treatment decision and make reservations for treatment with medical professionals and medical aesthetic institutions; So-Young Beauty which provides similar interfaces and functions as the mobile app, as well as serves as additional access points to the platform; and medical aesthetic community content through its website soyoung.com. It provides content in various media formats on its online platform generated by users, including professional generated, content from in-house editorial team that shares opinions on specific new medical procedures and trends; user generated content comprising Beauty Diaries that provides details about medical institution, doctor, price, and other information on the treatment; professional user generated, contents from the medical aesthetic influencers; and doctor generated, content from doctors to generate knowledge. In addition, the company offers consumption healthcare services, including dermatology, dentistry and orthodontics, physical examinations, gynecology, and postnatal care; reservation services; and software as a service. Further, it engages in research and development, production, sales, and agency of laser and other optoelectronic medical beauty equipment; manufacture and sells light therapy device, surgical laser device and other equipment; internet information and technology advisory; online medical treatment and consultation; management consulting; internet culture; micro finance services, as well as sells cosmetics products. The company was founded in 2013 and is headquartered in Beijing, China.

About Her Imports

Her Imports operates as a retailer of human hair extensions and related haircare and beauty products in the United States. It sells human hair products, including clip-ins and wigs under the Her Imports brand; haircare products, such as various shampoos and conditioners, and adhesives under the OSIworks brand; and beauty products and related accessories comprising silk bonnets, as well as styling tools under the Her Imports brand and makeup products under the Skin & Yang brand. The company also sells its products to consultation studios, as well as through its Website, herimports.com. As of December 31, 2018, it operated 16 retail locations. The company was formerly known as EZJR, Inc. and changed its name to Her Imports in January 2017. Her Imports was founded in 2011 and is headquartered in Las Vegas, Nevada.