FMP

FMP

Venus Concept Inc. (NASDAQ:VERO) Outshines in Capital Efficiency Among Peers

- (Last modified: May 19, 2025 1:43 PM)

twitterlinkedinfacebook
blog post cover photo

Image credit: Google Images

Venus Concept Inc. (NASDAQ:VERO) is a global medical technology company that specializes in developing and commercializing minimally invasive and non-invasive medical aesthetic and hair restoration technologies. The company operates in a competitive market alongside peers like NeuroBo Pharmaceuticals, ThermoGenesis Holdings, Plus Therapeutics, Exicure, and Acutus Medical. These companies are involved in various aspects of medical technology and pharmaceuticals, each with unique financial metrics.

Venus Concept's ROIC of 174.86% is notably high, especially when compared to its WACC of 15.55%. This suggests that Venus Concept is efficiently using its capital to generate returns that far exceed its cost of capital. A high ROIC to WACC ratio of 11.25 further emphasizes the company's ability to create value for its investors, making it a potentially attractive investment.

In contrast, NeuroBo Pharmaceuticals has a negative ROIC of -574.82% and a WACC of 5.00%, resulting in a ROIC to WACC ratio of -114.95. This indicates that NeuroBo is not generating sufficient returns on its invested capital, which could be a concern for investors. Similarly, ThermoGenesis Holdings and Exicure also show negative ROICs, suggesting challenges in capital efficiency.

Plus Therapeutics stands out with a ROIC of 263.26% and a WACC of 6.09%, leading to a ROIC to WACC ratio of 43.26. This high ratio indicates that Plus Therapeutics is effectively generating returns on its invested capital, surpassing its cost of capital by a significant margin. This positions Plus Therapeutics as a strong contender in terms of capital efficiency and potential profitability.

Acutus Medical, with a ROIC of -0.24% and a WACC of 15.82%, has a ROIC to WACC ratio of -0.01. This suggests that Acutus Medical is struggling to generate returns that meet its cost of capital, which could impact its financial performance. Overall, while Venus Concept shows strong capital efficiency, Plus Therapeutics leads among its peers, indicating robust potential for growth and value creation.

Other Blogs

Nov 22, 2024 5:08 AM - Parth Sanghvi

Fundamental Analysis: Principles, Types, and How to Use It

Fundamental analysis is one of the most essential tools for investors and analysts alike, helping them assess the intrinsic value of a stock, company, or even an entire market. It focuses on the financial health and economic position of a company, often using key data such as earnings, expenses, ass...

blog post title

Dec 17, 2024 8:58 AM - Sanzhi Kobzhan

Examining Tesla’s Financial Health Using FinancialModelingPrep’s Ratios API

Tesla, one of the world’s most talked-about electric vehicle manufacturers, attracts a lot of attention from investors and market watchers. By examining a snapshot of Tesla’s financial ratios—such as those provided by FinancialModelingPrep’s Ratios API—we can get a clearer picture of the company’s f...

blog post title

Dec 22, 2024 7:59 AM - Sanzhi Kobzhan

Two great Software Platform Stocks Similar to Palantir (PLTR)

When it comes to cutting-edge software and data analytics, Palantir Technologies (NYSE: PLTR) is often front and center. But for many investors, it’s important to consider alternative or complementary stocks in the same sector that may offer robust growth potential. As PLTR looks expensive (overvalu...

blog post title