Westaim (OTCMKTS:WEDXF) vs. Health Sciences Acquisitions Co. 2 (NASDAQ:HSAQ) Critical Survey

Westaim (OTCMKTS:WEDXF) and Health Sciences Acquisitions Co. 2 (NASDAQ:HSAQ) are both small-cap basic materials companies, but which is the superior business? We will compare the two companies based on the strength of their valuation, dividends, analyst recommendations, risk, profitability, institutional ownership and earnings.

Analyst Ratings

This is a breakdown of current recommendations and price targets for Westaim and Health Sciences Acquisitions Co. 2, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Westaim	0	0	0	0	N/A
Health Sciences Acquisitions Co. 2	0	0	0	0	N/A

Profitability

This table compares Westaim and Health Sciences Acquisitions Co. 2’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Westaim	737.56%	12.54%	11.85%
Health Sciences Acquisitions Co. 2	N/A	N/A	-2.38%

Valuation and Earnings

This table compares Westaim and Health Sciences Acquisitions Co. 2″s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Westaim	$8.63 million	52.57	$183.98 million	$0.46	7.70
Health Sciences Acquisitions Co. 2	N/A	N/A	-$380,000.00	N/A	N/A

Westaim has higher revenue and earnings than Health Sciences Acquisitions Co. 2.

Volatility and Risk

Westaim has a beta of 0.5, suggesting that its share price is 50% less volatile than the S&P 500. Comparatively, Health Sciences Acquisitions Co. 2 has a beta of 0.09, suggesting that its share price is 91% less volatile than the S&P 500.

Insider and Institutional Ownership

89.7% of Health Sciences Acquisitions Co. 2 shares are owned by institutional investors. 4.2% of Westaim shares are owned by insiders. Comparatively, 21.9% of Health Sciences Acquisitions Co. 2 shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Summary

Westaim beats Health Sciences Acquisitions Co. 2 on 6 of the 8 factors compared between the two stocks.

About Westaim

The Westaim Corporation is a private equity firm specializing in direct and indirect investments through acquisitions, joint ventures, secondary investments both direct and indirect, fund of fund investments, and other arrangements. For direct investments, the firm invests in early venture, mid venture, late venture, middle market, later stage, mature, emerging growth, PIPEs, and buyout transactions. For fund of fund investments, it seeks to invest in private equity funds, venture capital funds, and hedge funds. The firm seeks to provide long term capital to businesses operating in the global financial services industry. It typically acquires controlling interests in businesses. The firm seeks to acquire debt, equity, or derivative securities of both public and private companies. It invests with the objective of providing its shareholders with capital appreciation and real wealth preservation. The firm seeks to provide its portfolio companies with advisory services including, but not limited to, advice on capital allocation, financing strategy, performance measurement and merger and acquisition support. It also seeks to partner with like-minded providers of third party capital to help supplement the firm's own capital, when completing acquisitions. The firm generally seeks to hold its investments for seven to 15 years. The Westaim Corporation was founded in 1996 and is based in Toronto, Canada.

About Health Sciences Acquisitions Co. 2

Health Sciences Acquisitions Corporation 2 does not have significant operations. It intends to effect a merger, share exchange, asset acquisition, share purchase, recapitalization, reorganization, or related business combination with one or more businesses in the biopharma and medical technology sectors in North America or Europe. Health Sciences Acquisitions Corporation 2 was incorporated in 2020 and is based in New York, New York.