Financial Review: Skye Bioscience (SKYE) vs. Its Rivals

Skye Bioscience (NASDAQ:SKYE) is one of 967 public companies in the “Pharmaceutical preparations” industry, but how does it compare to its competitors? We will compare Skye Bioscience to similar companies based on the strength of its analyst recommendations, profitability, valuation, risk, earnings, dividends and institutional ownership.

Profitability

This table compares Skye Bioscience and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Skye Bioscience	N/A	N/A	-438.15%
Skye Bioscience Competitors	-2,626.80%	-225.60%	-27.89%

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Skye Bioscience and its competitors, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Skye Bioscience	0	0	2	0	3.00
Skye Bioscience Competitors	6051	18069	42703	877	2.57

Skye Bioscience currently has a consensus target price of $22.50, indicating a potential upside of 38.46%. As a group, “Pharmaceutical preparations” companies have a potential upside of 79.39%. Given Skye Bioscience’s competitors higher possible upside, analysts clearly believe Skye Bioscience has less favorable growth aspects than its competitors.

Earnings & Valuation

This table compares Skye Bioscience and its competitors top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Skye Bioscience	N/A	-$37.65 million	-1.52
Skye Bioscience Competitors	$8.76 billion	$158.12 million	-4.37

Skye Bioscience’s competitors have higher revenue and earnings than Skye Bioscience. Skye Bioscience is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Risk and Volatility

Skye Bioscience has a beta of 1.69, meaning that its share price is 69% more volatile than the S&P 500. Comparatively, Skye Bioscience’s competitors have a beta of 0.86, meaning that their average share price is 14% less volatile than the S&P 500.

Institutional and Insider Ownership

21.1% of Skye Bioscience shares are held by institutional investors. Comparatively, 44.6% of shares of all “Pharmaceutical preparations” companies are held by institutional investors. 0.7% of Skye Bioscience shares are held by company insiders. Comparatively, 14.4% of shares of all “Pharmaceutical preparations” companies are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Summary

Skye Bioscience competitors beat Skye Bioscience on 7 of the 13 factors compared.

About Skye Bioscience

Skye Bioscience, Inc., a clinical stage pharmaceutical company, discovers, develops, and commercializes cannabinoid-based molecules for the treatment of infectious diseases. The company's lead product candidate is SBI-100 used in the treatment of glaucoma and ocular hypertension. It is also developing SBI-200 to treat and manage various eye diseases, including uveitis, dry eye syndrome, macular degeneration and diabetic retinopathy. It has license agreement with university of Mississippi. The company was formerly known as Emerald Bioscience, Inc. and changed its name to Skye Bioscience, Inc. in January 2021. The company is headquartered in San Diego, California.