Financial Contrast: BioVie (NASDAQ:BIVI) vs. DiaMedica Therapeutics (NASDAQ:DMAC)

BioVie (NASDAQ:BIVI) and DiaMedica Therapeutics (NASDAQ:DMAC) are both small-cap medical companies, but which is the better stock? We will contrast the two businesses based on the strength of their valuation, profitability, dividends, analyst recommendations, institutional ownership, earnings and risk.

Analyst Recommendations

This is a breakdown of recent ratings and target prices for BioVie and DiaMedica Therapeutics, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
BioVie	0	0	1	1	3.50
DiaMedica Therapeutics	0	0	3	0	3.00

BioVie currently has a consensus target price of $3.00, indicating a potential upside of 256.80%. DiaMedica Therapeutics has a consensus target price of $8.00, indicating a potential upside of 125.99%. Given BioVie’s stronger consensus rating and higher probable upside, analysts clearly believe BioVie is more favorable than DiaMedica Therapeutics.

Risk and Volatility

BioVie has a beta of 0.64, suggesting that its share price is 36% less volatile than the S&P 500. Comparatively, DiaMedica Therapeutics has a beta of 1.5, suggesting that its share price is 50% more volatile than the S&P 500.

Profitability

This table compares BioVie and DiaMedica Therapeutics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
BioVie	N/A	-134.07%	-93.44%
DiaMedica Therapeutics	N/A	-43.67%	-40.81%

Valuation and Earnings

This table compares BioVie and DiaMedica Therapeutics”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
BioVie	N/A	N/A	-$32.12 million	($9.76)	-0.09
DiaMedica Therapeutics	N/A	N/A	-$19.38 million	($0.60)	-5.90

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

Insider & Institutional Ownership

4.6% of BioVie shares are held by institutional investors. Comparatively, 10.1% of DiaMedica Therapeutics shares are held by institutional investors. 4.0% of BioVie shares are held by company insiders. Comparatively, 7.3% of DiaMedica Therapeutics shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Summary

DiaMedica Therapeutics beats BioVie on 8 of the 12 factors compared between the two stocks.

About BioVie

BioVie Inc., a clinical stage biopharmaceutical company, engages in the discovery, development, and commercialization of drugs for the treatment of chronic debilitating conditions in the United States. Its products pipeline includes BIV201, which completed Phase IIa clinical trial for the treatment of ascites caused due to chronic liver cirrhosis; and NE3107, a potentially selective inhibitor of inflammatory extracellular single-regulated kinase, which is in Phase III clinical trial for the treatment of patients with mild to moderate Alzheimer's disease, as well as Phase 2 clinical trial for the treatment of Parkinson's disease. The company was formerly known as NanoAntibiotics, Inc. and changed its name to BioVie Inc. in July 2016. BioVie Inc. was incorporated in 2013 and is headquartered in Carson City, Nevada.

About DiaMedica Therapeutics

DiaMedica Therapeutics Inc., a clinical stage biopharmaceutical company, focuses on improving the lives of people suffering from serious diseases with a focus on acute ischemic stroke. Its lead candidate is DM199, a pharmaceutically active recombinant form of the human tissue kallikrein-1 protein, which is in Phase II/III trials for the treatment of acute ischemic stroke, as well as that is in Phase 2 to treat cardio-renal disease. The company also develops DM300, which is in preclinical stage for the treatment of severe inflammatory diseases. In addition, it develops treatment for neurological disease. The company was formerly known as DiaMedica Inc. and changed its name to DiaMedica Therapeutics Inc. in December 2016. DiaMedica Therapeutics Inc. was incorporated in 2000 and is headquartered in Minneapolis, Minnesota.