Astellas Pharma (OTCMKTS:ALPMY – Get Free Report) and Heron Therapeutics (NASDAQ:HRTX – Get Free Report) are both healthcare companies, but which is the better business? We will compare the two businesses based on the strength of their valuation, risk, earnings, profitability, institutional ownership, dividends and analyst recommendations.
Earnings and Valuation
This table compares Astellas Pharma and Heron Therapeutics”s revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Astellas Pharma | $14.21 billion | 1.83 | $1.83 billion | $1.31 | 10.95 |
| Heron Therapeutics | $154.90 million | 0.50 | -$20.19 million | ($0.19) | -2.14 |
Insider and Institutional Ownership
80.0% of Heron Therapeutics shares are held by institutional investors. 6.1% of Heron Therapeutics shares are held 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.
Volatility and Risk
Astellas Pharma has a beta of 0.08, meaning that its share price is 92% less volatile than the S&P 500. Comparatively, Heron Therapeutics has a beta of 1.62, meaning that its share price is 62% more volatile than the S&P 500.
Analyst Ratings
This is a summary of current ratings for Astellas Pharma and Heron Therapeutics, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Astellas Pharma | 0 | 3 | 0 | 1 | 2.50 |
| Heron Therapeutics | 1 | 3 | 1 | 0 | 2.00 |
Heron Therapeutics has a consensus price target of $2.00, indicating a potential upside of 392.49%. Given Heron Therapeutics’ higher probable upside, analysts plainly believe Heron Therapeutics is more favorable than Astellas Pharma.
Profitability
This table compares Astellas Pharma and Heron Therapeutics’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Astellas Pharma | 16.01% | 25.79% | 12.87% |
| Heron Therapeutics | -22.52% | -293.02% | -10.00% |
Summary
Astellas Pharma beats Heron Therapeutics on 10 of the 15 factors compared between the two stocks.
About Astellas Pharma
Astellas Pharma Inc. manufactures, markets, and imports and exports pharmaceuticals in Japan and internationally. The company provides XTANDI, a treatment for prostate cancer; XOSPATA, a treatment for patients who have relapsed or refractory acute myeloid leukemia with a FLT3 mutation; and PADCEV, a treatment for patients with metastatic urothelial cancer. It also offers Evrenzo, a treatment for anemia associated with chronic kidney disease; Betanis/Myrabetriq/BETMIGA, a treatment for overactive bladder; and Prograf and Advagraf/Graceptor/ASTAGRAF XL immunosuppressants. Th company has a research collaboration with Vivtex Corporation to evaluate Vivtex’s GI-ORIS screening and formulation platform technology to support the development of novel and oral versions of a therapeutic candidate provided by Astellas; and a partnership agreement with Roche Diabetes Care Japan Co., Ltd. to develop and commercialize integrated diabetes self-management solution. The company was founded in 1923 and is headquartered in Tokyo, Japan.
About Heron Therapeutics
Heron Therapeutics, Inc., a commercial-stage biotechnology company, focuses on enhancing the lives of patients by developing and commercializing therapeutic that enhances medical care. The company's product candidates utilize its proprietary Biochronomer, a drug delivery technology, which delivers therapeutic levels of a range of short-acting pharmacological agents over a period from days to weeks with a single administration. It offers SUSTOL (granisetron), an extended-release injection for the prevention of acute and delayed nausea and vomiting associated with moderately emetogenic chemotherapy, or anthracycline and cyclophosphamide combination chemotherapy regimens; and CINVANTI, an intravenous formulation of aprepitant, a substance P/neurokinin-1 receptor antagonist for the prevention of acute and delayed nausea and vomiting associated with highly emetogenic cancer chemotherapy, as well as nausea and vomiting associated with moderately emetogenic cancer chemotherapy. The company is also developing ZYNRELEF, a dual-acting local anesthetic that delivers a fixed-dose combination of the local anesthetic bupivacaine and a low dose of the nonsteroidal anti-inflammatory drug meloxicam; and APONVIE, an intravenous formulation of a substance P/neurokinin-1 receptor antagonist indicated for the prevention of postoperative nausea and vomiting in adults. The company was formerly known as A.P. Pharma, Inc. and changed its name to Heron Therapeutics, Inc. in January 2014. Heron Therapeutics, Inc. was founded in 1983 and is headquartered in San Diego, California.
Receive News & Ratings for Astellas Pharma Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Astellas Pharma and related companies with MarketBeat.com's FREE daily email newsletter.
