Aravive (NASDAQ:ARAV) and Zynerba Pharmaceuticals (NASDAQ:ZYNE) are both small-cap medical companies, but which is the superior stock? We will contrast the two companies based on the strength of their analyst recommendations, dividends, valuation, profitability, risk, earnings and institutional ownership.
Volatility & Risk
Aravive has a beta of 2.54, indicating that its share price is 154% more volatile than the S&P 500. Comparatively, Zynerba Pharmaceuticals has a beta of 4.93, indicating that its share price is 393% more volatile than the S&P 500.
This is a summary of recent recommendations and price targets for Aravive and Zynerba Pharmaceuticals, as reported by MarketBeat.com.
|Sell Ratings||Hold Ratings||Buy Ratings||Strong Buy Ratings||Rating Score|
Aravive presently has a consensus target price of $14.00, suggesting a potential upside of 122.22%. Zynerba Pharmaceuticals has a consensus target price of $17.33, suggesting a potential upside of 73.16%. Given Aravive’s stronger consensus rating and higher possible upside, research analysts clearly believe Aravive is more favorable than Zynerba Pharmaceuticals.
Insider & Institutional Ownership
25.8% of Aravive shares are held by institutional investors. Comparatively, 12.9% of Zynerba Pharmaceuticals shares are held by institutional investors. 10.9% of Aravive shares are held by insiders. Comparatively, 12.7% of Zynerba Pharmaceuticals shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.
This table compares Aravive and Zynerba Pharmaceuticals’ net margins, return on equity and return on assets.
|Net Margins||Return on Equity||Return on Assets|
Earnings and Valuation
This table compares Aravive and Zynerba Pharmaceuticals’ revenue, earnings per share and valuation.
|Gross Revenue||Price/Sales Ratio||Net Income||Earnings Per Share||Price/Earnings Ratio|
|Aravive||$1.37 million||51.87||-$76.33 million||($10.64)||-0.59|
|Zynerba Pharmaceuticals||$90,000.00||2,343.45||-$39.91 million||($2.61)||-3.84|
Zynerba Pharmaceuticals has lower revenue, but higher earnings than Aravive. Zynerba Pharmaceuticals is trading at a lower price-to-earnings ratio than Aravive, indicating that it is currently the more affordable of the two stocks.
Aravive, Inc., a clinical stage biotechnology company, focuses on developing therapies for solid tumors and hematologic malignancies. Its lead candidate is AVB-S6-500, a soluble Fc-fusion protein, which is in Phase 1b/2 clinical trials for the treatment of platinum- resistant recurrent ovarian cancer, as well as for the treatment of clear cell renal cell carcinoma, acute myeloid leukemia, triple negative breast cancer, and pancreatic cancer. The company was formerly known as Versartis, Inc. and changed its name to Aravive, Inc. in October 2018. Aravive, Inc. is headquartered in Houston, Texas.
About Zynerba Pharmaceuticals
Zynerba Pharmaceuticals, Inc. operates as a clinical stage specialty pharmaceutical company. It focuses on developing pharmaceutically-produced transdermal cannabinoid therapies for rare and near-rare neuropsychiatric disorders. The company is developing Zygel, a transdermal cannabidiol gel, which is in Phase II clinical trial for treating children and adolescent patients with developmental and epileptic encephalopathies; is in Phase II/III clinical trial to treat children and adolescent patients with fragile X syndrome; and is in Phase II clinical trial for treating children and adolescent patients with autism spectrum disorder. It is also developing ZYN001, a pro-drug of tetrahydrocannabinol. The company was formerly known as AllTranz, Inc. and changed its name to Zynerba Pharmaceuticals, Inc. in August 2014. Zynerba Pharmaceuticals, Inc. was founded in 2007 and is headquartered in Devon, Pennsylvania.
Receive News & Ratings for Aravive Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Aravive and related companies with MarketBeat.com's FREE daily email newsletter.