Mirati Therapeutics (NASDAQ:MRTX) and Intra-Cellular Therapies (NASDAQ:ITCI) are both mid-cap medical companies, but which is the better stock? We will contrast the two companies based on the strength of their institutional ownership, risk, valuation, profitability, analyst recommendations, earnings and dividends.
Insider & Institutional Ownership
94.9% of Mirati Therapeutics shares are held by institutional investors. Comparatively, 79.1% of Intra-Cellular Therapies shares are held by institutional investors. 4.1% of Mirati Therapeutics shares are held by company insiders. Comparatively, 18.2% of Intra-Cellular Therapies shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.
Volatility & Risk
Mirati Therapeutics has a beta of 1.64, meaning that its share price is 64% more volatile than the S&P 500. Comparatively, Intra-Cellular Therapies has a beta of 1.5, meaning that its share price is 50% more volatile than the S&P 500.
Earnings and Valuation
This table compares Mirati Therapeutics and Intra-Cellular Therapies' top-line revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
|---|
| Mirati Therapeutics | $3.34 million | 2,419.37 | $-213,260,000.00 | ($5.69) | -28.05 |
| Intra-Cellular Therapies | $60,000.00 | 39,946.03 | $-147,720,000.00 | ($2.68) | -11.05 |
Intra-Cellular Therapies has lower revenue, but higher earnings than Mirati Therapeutics. Mirati Therapeutics is trading at a lower price-to-earnings ratio than Intra-Cellular Therapies, indicating that it is currently the more affordable of the two stocks.
Profitability
This table compares Mirati Therapeutics and Intra-Cellular Therapies' net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
|---|
| Mirati Therapeutics | N/A | -60.01% | -54.21% |
| Intra-Cellular Therapies | -1,985.32% | -48.27% | -42.56% |
Analyst Ratings
This is a breakdown of current ratings and recommmendations for Mirati Therapeutics and Intra-Cellular Therapies, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
|---|
| Mirati Therapeutics | 1 | 5 | 10 | 0 | 2.56 |
| Intra-Cellular Therapies | 0 | 0 | 7 | 0 | 3.00 |
Mirati Therapeutics currently has a consensus target price of $218.5714, indicating a potential upside of 37.61%. Intra-Cellular Therapies has a consensus target price of $47.4286, indicating a potential upside of 61.32%. Given Intra-Cellular Therapies' stronger consensus rating and higher probable upside, analysts clearly believe Intra-Cellular Therapies is more favorable than Mirati Therapeutics.
Summary
Intra-Cellular Therapies beats Mirati Therapeutics on 9 of the 14 factors compared between the two stocks.
