Analyzing Aurinia Pharmaceuticals (NASDAQ:AUPH) & 60 Degrees Pharmaceuticals (NASDAQ:SXTP)

Aurinia Pharmaceuticals (NASDAQ:AUPH) and 60 Degrees Pharmaceuticals (NASDAQ:SXTP) are both small-cap medical companies, but which is the better stock? We will contrast the two businesses based on the strength of their risk, dividends, profitability, earnings, valuation, institutional ownership and analyst recommendations.

Analyst Ratings

This is a summary of recent ratings and price targets for Aurinia Pharmaceuticals and 60 Degrees Pharmaceuticals, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Aurinia Pharmaceuticals	0	0	2	0	3.00
60 Degrees Pharmaceuticals	0	1	1	0	2.50

Aurinia Pharmaceuticals currently has a consensus price target of $13.00, indicating a potential upside of 17.54%. 60 Degrees Pharmaceuticals has a consensus price target of $3.00, indicating a potential upside of 94.81%. Given 60 Degrees Pharmaceuticals’ higher possible upside, analysts plainly believe 60 Degrees Pharmaceuticals is more favorable than Aurinia Pharmaceuticals.

Institutional & Insider Ownership

36.8% of Aurinia Pharmaceuticals shares are owned by institutional investors. Comparatively, 8.0% of 60 Degrees Pharmaceuticals shares are owned by institutional investors. 12.2% of Aurinia Pharmaceuticals shares are owned by insiders. Comparatively, 1.7% of 60 Degrees Pharmaceuticals shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Valuation & Earnings

This table compares Aurinia Pharmaceuticals and 60 Degrees Pharmaceuticals”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Aurinia Pharmaceuticals	$235.13 million	6.19	$5.75 million	$0.43	25.72
60 Degrees Pharmaceuticals	$641,412.00	9.85	-$7.95 million	($50.41)	-0.03

Aurinia Pharmaceuticals has higher revenue and earnings than 60 Degrees Pharmaceuticals. 60 Degrees Pharmaceuticals is trading at a lower price-to-earnings ratio than Aurinia Pharmaceuticals, indicating that it is currently the more affordable of the two stocks.

Risk and Volatility

Aurinia Pharmaceuticals has a beta of 1.26, suggesting that its stock price is 26% more volatile than the S&P 500. Comparatively, 60 Degrees Pharmaceuticals has a beta of 2.73, suggesting that its stock price is 173% more volatile than the S&P 500.

Profitability

This table compares Aurinia Pharmaceuticals and 60 Degrees Pharmaceuticals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Aurinia Pharmaceuticals	23.31%	20.06%	13.81%
60 Degrees Pharmaceuticals	-976.86%	N/A	-133.88%

Summary

Aurinia Pharmaceuticals beats 60 Degrees Pharmaceuticals on 11 of the 14 factors compared between the two stocks.

About Aurinia Pharmaceuticals

Aurinia Pharmaceuticals Inc., a commercial-stage biopharmaceutical company, focuses on developing and commercializing therapies to treat various diseases with unmet medical need in the United States. It offers LUPKYNIS for the treatment of adult patients with active lupus nephritis. It has a collaboration and license agreement with Otsuka Pharmaceutical Co., Ltd. The company was incorporated in 1993 and is headquartered in Edmonton, Canada.

About 60 Degrees Pharmaceuticals

60 Degrees Pharmaceuticals, Inc., a specialty pharmaceutical company, engages in the development and commercialization of therapies for the prevention and treatment of infectious diseases in the United States. The company offers Arakoda for malaria preventative treatment. It also engages in the development of Tafenoquine (Arakoda regimen) that is in Phase IIb clinical trial for COVID-19 indications; Tafenoquine, which is in phase IIA clinical trials for babesiosis, fungal pneumonias, and candidiasis disease; and Celgosivir for respiratory viruses and dengue. The company was founded in 2010 and is headquartered in Washington, the District of Columbia.