Reviewing Cyclacel Pharmaceuticals (NASDAQ:CYCC) and Aldeyra Therapeutics (NASDAQ:ALDX)

Cyclacel Pharmaceuticals (NASDAQ:CYCC – Get Rating) and Aldeyra Therapeutics (NASDAQ:ALDX – Get Rating) are both small-cap medical companies, but which is the better business? We will compare the two companies based on the strength of their earnings, valuation, risk, institutional ownership, dividends, profitability and analyst recommendations.

Valuation and Earnings

This table compares Cyclacel Pharmaceuticals and Aldeyra Therapeutics’ revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Cyclacel Pharmaceuticals	N/A	N/A	-$21.20 million	($1.95)	-0.33
Aldeyra Therapeutics	N/A	N/A	-$62.03 million	($1.04)	-9.47

Aldeyra Therapeutics is trading at a lower price-to-earnings ratio than Cyclacel Pharmaceuticals, indicating that it is currently the more affordable of the two stocks.

Risk and Volatility

Cyclacel Pharmaceuticals has a beta of 1.11, suggesting that its stock price is 11% more volatile than the S&P 500. Comparatively, Aldeyra Therapeutics has a beta of 1.12, suggesting that its stock price is 12% more volatile than the S&P 500.

Analyst Ratings

This is a summary of recent ratings and recommmendations for Cyclacel Pharmaceuticals and Aldeyra Therapeutics, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Cyclacel Pharmaceuticals	0	0	2	0	3.00
Aldeyra Therapeutics	0	0	3	0	3.00

Cyclacel Pharmaceuticals currently has a consensus target price of $8.00, indicating a potential upside of 1,130.77%. Aldeyra Therapeutics has a consensus target price of $18.00, indicating a potential upside of 82.74%. Given Cyclacel Pharmaceuticals’ higher probable upside, equities research analysts clearly believe Cyclacel Pharmaceuticals is more favorable than Aldeyra Therapeutics.

Profitability

This table compares Cyclacel Pharmaceuticals and Aldeyra Therapeutics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Cyclacel Pharmaceuticals	N/A	-117.51%	-78.99%
Aldeyra Therapeutics	N/A	-38.98%	-32.88%

Institutional & Insider Ownership

23.8% of Cyclacel Pharmaceuticals shares are owned by institutional investors. Comparatively, 63.1% of Aldeyra Therapeutics shares are owned by institutional investors. 4.2% of Cyclacel Pharmaceuticals shares are owned by company insiders. Comparatively, 7.0% of Aldeyra Therapeutics shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Summary

Aldeyra Therapeutics beats Cyclacel Pharmaceuticals on 7 of the 10 factors compared between the two stocks.

About Cyclacel Pharmaceuticals

(Get Rating)

Cyclacel Pharmaceuticals, Inc. is a clinical stage biopharmaceutical company. It uses cell cycle, transcriptional regulation and DNA damage response biology to develop medicines for cancer and other proliferative diseases. The company builds a biopharmaceutical business, which is focused in hematology and oncology based on a pipeline of novel drug candidates. Its products include CYC065, seliciclib, and sapacitabine. The company was founded by Ronald J. Berenson, David Philip Lane, and David Glover on August 13, 1996 and is headquartered in Berkeley Heights, NJ.

About Aldeyra Therapeutics

(Get Rating)

Aldeyra Therapeutics is a clinical-stage biotechnology company focused on the development of novel therapies with the potential to improve the lives of patients with immune-mediated diseases. Two of the company’s lead compounds, reproxalap and ADX-629, target reactive aldehyde species (RASP), which are elevated in ocular and systemic inflammatory disease, leading to elevated levels of cytokine release via activation of a broad array of inflammatory factors, including NF-κB, inflammasomes, and Scavenger Receptor A. Reproxalap is being evaluated in Phase 3 clinical trials in patients with dry eye disease and allergic conjunctivitis. The company’s clinical pipeline also includes ADX-2191, a dihydrofolate reductase inhibitor in Phase 3 testing for proliferative vitreoretinopathy, and ADX-1612, a chaperome inhibitor in Phase 2 testing for COVID-19 and ovarian cancer.