OptiNose (NASDAQ:OPTN) and Intercept Pharmaceuticals (NASDAQ:ICPT) are both small-cap medical companies, but which is the superior investment? We will contrast the two businesses based on the strength of their earnings, institutional ownership, risk, analyst recommendations, profitability, valuation and dividends.
Analyst Recommendations
This is a summary of recent recommendations and price targets for OptiNose and Intercept Pharmaceuticals, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
---|
OptiNose | 0 | 1 | 2 | 0 | 2.67 |
Intercept Pharmaceuticals | 2 | 14 | 8 | 0 | 2.25 |
OptiNose currently has a consensus price target of $19.00, suggesting a potential upside of 389.69%. Intercept Pharmaceuticals has a consensus price target of $55.4783, suggesting a potential upside of 156.13%. Given OptiNose's stronger consensus rating and higher possible upside, equities research analysts plainly believe OptiNose is more favorable than Intercept Pharmaceuticals.
Risk and Volatility
OptiNose has a beta of 1.03, indicating that its stock price is 3% more volatile than the S&P 500. Comparatively, Intercept Pharmaceuticals has a beta of 1.85, indicating that its stock price is 85% more volatile than the S&P 500.
Insider and Institutional Ownership
62.9% of OptiNose shares are held by institutional investors. Comparatively, 85.8% of Intercept Pharmaceuticals shares are held by institutional investors. 38.0% of OptiNose shares are held by insiders. Comparatively, 23.7% of Intercept Pharmaceuticals shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.
Profitability
This table compares OptiNose and Intercept Pharmaceuticals' net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
---|
OptiNose | -230.14% | -294.64% | -59.29% |
Intercept Pharmaceuticals | -106.64% | -1,973.10% | -48.51% |
Earnings and Valuation
This table compares OptiNose and Intercept Pharmaceuticals' revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
---|
OptiNose | $34.63 million | 5.84 | $-110,050,000.00 | ($2.63) | -1.48 |
Intercept Pharmaceuticals | $252 million | 2.84 | $-344,680,000.00 | ($10.89) | -1.99 |
OptiNose has higher earnings, but lower revenue than Intercept Pharmaceuticals. Intercept Pharmaceuticals is trading at a lower price-to-earnings ratio than OptiNose, indicating that it is currently the more affordable of the two stocks.
Summary
OptiNose beats Intercept Pharmaceuticals on 8 of the 14 factors compared between the two stocks.