TFF Pharmaceuticals (NASDAQ:TFFP) and Zogenix (NASDAQ:ZGNX) are both small-cap medical companies, but which is the better stock? We will compare the two businesses based on the strength of their valuation, risk, institutional ownership, analyst recommendations, earnings, profitability and dividends.
Institutional and Insider Ownership
24.3% of TFF Pharmaceuticals shares are owned by institutional investors. Comparatively, 96.6% of Zogenix shares are owned by institutional investors. 10.4% of TFF Pharmaceuticals shares are owned by company insiders. Comparatively, 3.5% of Zogenix shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.
Analyst Recommendations
This is a breakdown of current ratings and recommmendations for TFF Pharmaceuticals and Zogenix, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
|---|
| TFF Pharmaceuticals | 0 | 0 | 4 | 0 | 3.00 |
| Zogenix | 0 | 1 | 5 | 0 | 2.83 |
TFF Pharmaceuticals presently has a consensus price target of $29.50, suggesting a potential upside of 152.14%. Zogenix has a consensus price target of $58.25, suggesting a potential upside of 207.88%. Given Zogenix's higher probable upside, analysts plainly believe Zogenix is more favorable than TFF Pharmaceuticals.
Earnings & Valuation
This table compares TFF Pharmaceuticals and Zogenix's top-line revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
|---|
| TFF Pharmaceuticals | N/A | N/A | $-11,870,000.00 | ($5.31) | -2.14 |
| Zogenix | $3.65 million | 279.90 | $-419,500,000.00 | ($3.90) | -4.70 |
TFF Pharmaceuticals has higher earnings, but lower revenue than Zogenix. Zogenix is trading at a lower price-to-earnings ratio than TFF Pharmaceuticals, indicating that it is currently the more affordable of the two stocks.
Risk & Volatility
TFF Pharmaceuticals has a beta of 2.47, indicating that its stock price is 147% more volatile than the S&P 500. Comparatively, Zogenix has a beta of 1.6, indicating that its stock price is 60% more volatile than the S&P 500.
Profitability
This table compares TFF Pharmaceuticals and Zogenix's net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
|---|
| TFF Pharmaceuticals | N/A | -59.54% | -57.08% |
| Zogenix | -8,758.48% | -53.91% | -36.49% |
Summary
Zogenix beats TFF Pharmaceuticals on 8 of the 13 factors compared between the two stocks.
