Lipocine (NASDAQ:LPCN – Get Free Report) and Xencor (NASDAQ:XNCR – Get Free Report) are both small-cap medical companies, but which is the better stock? We will compare the two companies based on the strength of their analyst recommendations, dividends, earnings, valuation, profitability, risk and institutional ownership.
Analyst Ratings
This is a breakdown of current ratings for Lipocine and Xencor, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Lipocine | 1 | 0 | 1 | 1 | 2.67 |
| Xencor | 1 | 1 | 8 | 0 | 2.70 |
Lipocine presently has a consensus target price of $7.00, indicating a potential downside of 36.36%. Xencor has a consensus target price of $24.88, indicating a potential upside of 72.15%. Given Xencor’s stronger consensus rating and higher probable upside, analysts clearly believe Xencor is more favorable than Lipocine.
Valuation and Earnings
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Lipocine | $11.20 million | 5.45 | $10,000.00 | ($1.02) | -10.78 |
| Xencor | $150.13 million | 6.87 | -$232.62 million | ($1.77) | -8.16 |
Lipocine has higher earnings, but lower revenue than Xencor. Lipocine is trading at a lower price-to-earnings ratio than Xencor, indicating that it is currently the more affordable of the two stocks.
Volatility and Risk
Lipocine has a beta of 0.92, meaning that its stock price is 8% less volatile than the S&P 500. Comparatively, Xencor has a beta of 0.97, meaning that its stock price is 3% less volatile than the S&P 500.
Profitability
This table compares Lipocine and Xencor’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Lipocine | -126.67% | -30.65% | -28.20% |
| Xencor | -87.14% | -20.44% | -14.52% |
Insider & Institutional Ownership
9.1% of Lipocine shares are held by institutional investors. 6.4% of Lipocine shares are held by insiders. Comparatively, 4.8% of Xencor shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.
Summary
Xencor beats Lipocine on 10 of the 15 factors compared between the two stocks.
About Lipocine
Lipocine Inc., a clinical-stage biopharmaceutical company, engages in the research and development for the delivery of drugs for the treatment of central nervous system (CNS) disorders. Its lead product candidate is TLANDO, an oral testosterone replacement therapy (TRT) comprising testosterone undecanoate. The company's pipeline candidates also include TLANDO XR a candidate for oral TRT for once daily dosing, which has completed Phase 2b clinical study; LPCN 1148, an oral prodrug of bioidentical testosterone, being developed for the treatment of cirrhosis, currently under Phase 2 clinical studies; LPCN 1154, An oral neurosteroid, being developed for the treatment of postpartum depression, currently under Phase 2 studies; LPCN 2101, a NAS candidate, for women with epilepsy; and LPCN 2203 for essential tremor. It is also involved in the development of LPCN 1144, an oral prodrug of bioidentical testosterone for the treatment of pre-cirrhotic non-alcoholic steatohepatitis, which has completed Phase 2 testing; and LPCN 1107, an oral product candidate of 17-alpha-hydroxy progesterone caproate product, currently under Phase 3 studies for the prevention of recurrent preterm birth. The company was founded in 1997 and is headquartered in Salt Lake City, Utah.
About Xencor
Xencor, Inc., a clinical stage biopharmaceutical company, focuses on the discovery and development of engineered monoclonal antibody and cytokine therapeutics to treat patients with cancer and autoimmune diseases. The company provides Sotrovimab that targets the SARS-CoV-2 virus; Ultomiris for the treatment of patients with paroxysmal nocturnal hemoglobinuria and atypical hemolytic uremic syndrome; and Monjuvi for the treatment of patients with relapsed or refractory diffuse large B-cell lymphoma. It develops Plamotamab, a bispecific antibody, which is in Phase I clinical trial to treat non-Hodgkin lymphoma; Vudalimab, a bispecific antibody, which is in Phase II clinical trial to treat metastatic castration-resistant prostate cancer and other solid tumor types. The company is also developing XmAb306, which is in Phase I clinical trial to treat solid tumors; XmAb104, which is in Phase II clinical trial to treat patients with selected solid tumors; XmAb564 that is in Phase Ia clinical trial to treat autoimmune diseases; AMG 509, which is in Phase I clinical trial to treat prostate cancer; XmAb819 for patients with renal cell carcinoma; XmAb541 for the treatment of ovarian cancer; and XmAb662 which is in Phase I clinical trial to treat patients with solid tumors. In addition, the company develops VIR-3434, which is in Phase II clinical trial for patients with hepatitis B virus infection; and VIR-2482 that is in Phase 2 clinical trial to trat hepatitis B virus. The company develops AIMab7195 to reduce blood serum levels of IgE that mediates allergic responses and allergic disease; Obexelimab to treat autoimmune disease; and Xpro1595 to treat patients with Alzheimer's disease, and depression. It has a license agreement with Caris Life Sciences. Xencor, Inc. was incorporated in 1997 and is headquartered in Pasadena, California.
Receive News & Ratings for Lipocine Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Lipocine and related companies with MarketBeat.com's FREE daily email newsletter.
