WallStSmart

Nephros Inc (NEPH)vsResMed Inc (RMD)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

ResMed Inc generates 27182% more annual revenue ($5.65B vs $20.72M). RMD leads profitability with a 27.0% profit margin vs 8.4%. RMD trades at a lower P/E of 21.2x. RMD earns a higher WallStSmart Score of 65/100 (C+).

NEPH

Buy

58

out of 100

Grade: C

Growth: 10.0Profit: 6.0Value: 5.7Quality: 6.5
Piotroski: 3/9Altman Z: -10.50

RMD

Buy

65

out of 100

Grade: C+

Growth: 6.0Profit: 9.0Value: 4.7Quality: 9.0
Piotroski: 5/9Altman Z: 4.53
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

NEPHUndervalued (+12.6%)

Margin of Safety

+12.6%

Fair Value

$4.62

Current Price

$4.47

$0.15 discount

UndervaluedFair: $4.62Overvalued
RMDSignificantly Overvalued (-24.1%)

Margin of Safety

-24.1%

Fair Value

$209.29

Current Price

$218.27

$8.98 premium

UndervaluedFair: $209.29Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

NEPH4 strengths · Avg: 9.5/10
Revenue GrowthGrowth
36.2%10/10

Revenue surging 36.2% year-over-year

EPS GrowthGrowth
450.0%10/10

Earnings expanding 450.0% YoY

Debt/EquityHealth
0.0710/10

Conservative balance sheet, low leverage

Operating MarginProfitability
20.2%8/10

Strong operational efficiency at 20.2%

RMD6 strengths · Avg: 9.2/10
Operating MarginProfitability
30.9%10/10

Strong operational efficiency at 30.9%

Altman Z-ScoreHealth
4.5310/10

Safe zone — low bankruptcy risk

Return on EquityProfitability
23.1%9/10

Every $100 of equity generates 23 in profit

Profit MarginProfitability
27.0%9/10

Keeps 27 of every $100 in revenue as profit

Debt/EquityHealth
0.139/10

Conservative balance sheet, low leverage

Free Cash FlowQuality
$1.65B8/10

Generating 1.6B in free cash flow

Areas to Watch

NEPH4 concerns · Avg: 3.3/10
P/E RatioValuation
25.4x4/10

Moderate valuation

Market CapQuality
$44.09M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
7.3%3/10

ROE of 7.3% — below average capital efficiency

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

RMD1 concerns · Avg: 4.0/10
EPS GrowthGrowth
2.4%4/10

2.4% earnings growth

Comparative Analysis Report

WallStSmart Research

Bull Case : NEPH

The strongest argument for NEPH centers on Revenue Growth, EPS Growth, Debt/Equity. Revenue growth of 36.2% demonstrates continued momentum.

Bull Case : RMD

The strongest argument for RMD centers on Operating Margin, Altman Z-Score, Return on Equity. Profitability is solid with margins at 27.0% and operating margin at 30.9%. PEG of 1.33 suggests the stock is reasonably priced for its growth.

Bear Case : NEPH

The primary concerns for NEPH are P/E Ratio, Market Cap, Return on Equity.

Bear Case : RMD

The primary concerns for RMD are EPS Growth.

Key Dynamics to Monitor

NEPH profiles as a hypergrowth stock while RMD is a mature play — different risk/reward profiles.

NEPH carries more volatility with a beta of 1.56 — expect wider price swings.

NEPH is growing revenue faster at 36.2% — sustainability is the question.

RMD generates stronger free cash flow (1.6B), providing more financial flexibility.

Bottom Line

RMD scores higher overall (65/100 vs 58/100), backed by strong 27.0% margins. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Nephros Inc

HEALTHCARE · MEDICAL INSTRUMENTS & SUPPLIES · USA

Nephros, Inc., a commercial stage company, develops and sells water solutions to the medical and commercial markets in the United States. The company is headquartered in South Orange, New Jersey.

ResMed Inc

HEALTHCARE · MEDICAL INSTRUMENTS & SUPPLIES · USA

ResMed is a San Diego, California-based medical equipment company. It primarily provides cloud-connectable medical devices for the treatment of sleep apnea (such as CPAP devices and masks), chronic obstructive pulmonary disease (COPD), and other respiratory conditions.

Visit Website →

Want to dig deeper into these stocks?