Critical Review: Mateon Therapeutics (OTCMKTS:MATN) and ObsEva (NASDAQ:OBSV)

Earnings and Valuation

This table compares Mateon Therapeutics and ObsEva”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Mateon Therapeutics	N/A	N/A	-$6.64 million	($0.02)	-4.27
ObsEva	N/A	N/A	-$58.38 million	($0.92)	N/A

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

Institutional & Insider Ownership

0.1% of Mateon Therapeutics shares are held by institutional investors. Comparatively, 17.5% of ObsEva shares are held by institutional investors. 39.2% of Mateon Therapeutics shares are held by insiders. Comparatively, 14.4% of ObsEva shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Profitability

This table compares Mateon Therapeutics and ObsEva’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Mateon Therapeutics	N/A	-64.66%	-42.92%
ObsEva	N/A	-416.36%	-92.01%

Risk and Volatility

Mateon Therapeutics has a beta of 1.33, suggesting that its stock price is 33% more volatile than the S&P 500. Comparatively, ObsEva has a beta of 0.68, suggesting that its stock price is 32% less volatile than the S&P 500.

Summary

Mateon Therapeutics beats ObsEva on 6 of the 8 factors compared between the two stocks.

About Mateon Therapeutics

Mateon Therapeutics, Inc., a clinical-stage biopharmaceutical company, engages in developing drugs for the treatment of orphan oncology indications. The company's lead product candidate is OT-101, an antisense against TGF-beta, which is in phase 3 clinical trials for pancreatic cancer and glioblastoma, as well as develops OT-101 for the treatment of various viruses, including severe acute respiratory syndrome and coronavirus. It also develops OXi4503 for the treatment of acute myeloid leukemia and myelodysplastic syndromes; and CA4P for the treatment of advanced metastatic melanoma. The company is headquartered in Agoura Hills, California.

About ObsEva

ObsEva SA is a clinical-stage biopharmaceutical company, which engages in the research and development of therapeutic treatments for women’s reproductive health and pregnancy. It offers biopharmaceutical drugs addressing conditions compromising pregnancy from conception to birth. The company was founded by Ernest Loumaye and André Chollet on November 14, 2012 and is headquartered in Geneva, Switzerland.