Corcept Therapeutics (NASDAQ:CORT) and Xenon Pharmaceuticals (NASDAQ:XENE) are both medical companies, but which is the superior stock? We will compare the two companies based on the strength of their analyst recommendations, profitability, earnings, valuation, dividends, institutional ownership and risk.
Insider and Institutional Ownership
75.4% of Corcept Therapeutics shares are owned by institutional investors. Comparatively, 79.9% of Xenon Pharmaceuticals shares are owned by institutional investors. 16.4% of Corcept Therapeutics shares are owned by insiders. Comparatively, 8.4% of Xenon Pharmaceuticals shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.
Valuation and Earnings
This table compares Corcept Therapeutics and Xenon Pharmaceuticals' top-line revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
|---|
| Corcept Therapeutics | $306.49 million | 8.81 | $94.18 million | $0.77 | 29.90 |
| Xenon Pharmaceuticals | $6.83 million | 94.06 | $-41,600,000.00 | ($1.54) | -11.65 |
Corcept Therapeutics has higher revenue and earnings than Xenon Pharmaceuticals. Xenon Pharmaceuticals is trading at a lower price-to-earnings ratio than Corcept Therapeutics, indicating that it is currently the more affordable of the two stocks.
Risk & Volatility
Corcept Therapeutics has a beta of 1.04, suggesting that its stock price is 4% more volatile than the S&P 500. Comparatively, Xenon Pharmaceuticals has a beta of 1.2, suggesting that its stock price is 20% more volatile than the S&P 500.
Profitability
This table compares Corcept Therapeutics and Xenon Pharmaceuticals' net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
|---|
| Corcept Therapeutics | 30.73% | 25.38% | 23.16% |
| Xenon Pharmaceuticals | -102.25% | -21.76% | -16.08% |
Analyst Recommendations
This is a summary of current ratings and recommmendations for Corcept Therapeutics and Xenon Pharmaceuticals, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
|---|
| Corcept Therapeutics | 0 | 1 | 1 | 0 | 2.50 |
| Xenon Pharmaceuticals | 0 | 0 | 5 | 0 | 3.00 |
Corcept Therapeutics presently has a consensus price target of $24.00, suggesting a potential upside of 4.44%. Xenon Pharmaceuticals has a consensus price target of $25.25, suggesting a potential upside of 40.75%. Given Xenon Pharmaceuticals' stronger consensus rating and higher possible upside, analysts plainly believe Xenon Pharmaceuticals is more favorable than Corcept Therapeutics.
Summary
Corcept Therapeutics beats Xenon Pharmaceuticals on 8 of the 14 factors compared between the two stocks.
