Ritter Pharmaceuticals (NASDAQ: RTTR) and Selecta Biosciences (NASDAQ:SELB) are both small-cap healthcare companies, but which is the superior business? We will contrast the two businesses based on the strength of their analyst recommendations, dividends, institutional ownership, earnings, profitability, valuation and risk.
Insider and Institutional Ownership
33.6% of Ritter Pharmaceuticals shares are owned by institutional investors. Comparatively, 58.1% of Selecta Biosciences shares are owned by institutional investors. 28.1% of Ritter Pharmaceuticals shares are owned by company insiders. Comparatively, 41.9% of Selecta Biosciences shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.
This table compares Ritter Pharmaceuticals and Selecta Biosciences’ net margins, return on equity and return on assets.
|Net Margins||Return on Equity||Return on Assets|
This is a breakdown of current ratings and price targets for Ritter Pharmaceuticals and Selecta Biosciences, as reported by MarketBeat.
|Sell Ratings||Hold Ratings||Buy Ratings||Strong Buy Ratings||Rating Score|
Ritter Pharmaceuticals presently has a consensus target price of $2.50, indicating a potential upside of 765.05%. Selecta Biosciences has a consensus target price of $29.00, indicating a potential upside of 224.38%. Given Ritter Pharmaceuticals’ higher probable upside, equities analysts clearly believe Ritter Pharmaceuticals is more favorable than Selecta Biosciences.
Earnings & Valuation
This table compares Ritter Pharmaceuticals and Selecta Biosciences’ top-line revenue, earnings per share and valuation.
|Gross Revenue||Price/Sales Ratio||Net Income||Earnings Per Share||Price/Earnings Ratio|
|Ritter Pharmaceuticals||N/A||N/A||-$18.38 million||($1.16)||-0.25|
|Selecta Biosciences||$8.08 million||24.72||-$36.21 million||($3.10)||-2.88|
Ritter Pharmaceuticals has higher earnings, but lower revenue than Selecta Biosciences. Selecta Biosciences is trading at a lower price-to-earnings ratio than Ritter Pharmaceuticals, indicating that it is currently the more affordable of the two stocks.
About Ritter Pharmaceuticals
Ritter Pharmaceuticals, Inc. develops therapeutic products that modulate the human gut microbiome to treat gastrointestinal diseases. The Company’s segment is focusing on the development and commercialization of RP-G28. The Company conducts human gut health research by exploring metabolic capacity of the gut microbiota and translating the functionality of prebiotic-based therapeutics into applications intended to have impact on a patient’s health. The Company’s compound, RP-G28, is under development for the treatment of lactose intolerance. The Company has completed a Phase IIa clinical trial of its product candidate, RP-G28, an orally administered oligosaccharide. RP-G28 is designed to stimulate the growth of lactose-metabolizing bacteria in the colon. The Company has not generated any revenues.
About Selecta Biosciences
Selecta Biosciences, Inc. is a clinical-stage biopharmaceutical company. The Company using its synthetic vaccine particle (SVP) technology to discover and develop targeted therapies that are designed to modulate the immune system to treat rare and serious diseases. The Company is engaged in the research and development of nanoparticle immunomodulatory drugs for the treatment and prevention of human diseases. Its product candidates are in various stages of clinical and preclinical development. Its SVP technology encapsulates an immunomodulator in biodegradable nanoparticles to induce antigen-specific immune tolerance to mitigate the formation of anti-drug antibodies (ADAs) in response to life-sustaining biologic drugs. The Company’s lead product candidate, SEL-212, is a combination of a therapeutic enzyme and its SVP technology designed to be the biologic treatment for gout.
Receive News & Ratings for Ritter Pharmaceuticals Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Ritter Pharmaceuticals and related companies with MarketBeat.com's FREE daily email newsletter.