Calliditas Therapeutics AB (publ) (NASDAQ:CALT) & Palatin Technologies (PINK:PTNT) Critical Analysis

Calliditas Therapeutics AB (publ) (NASDAQ:CALT) and Palatin Technologies (PINK:PTNT) are both small-cap medical companies, but which is the superior investment? We will contrast the two businesses based on the strength of their risk, institutional ownership, analyst recommendations, earnings, profitability, valuation and dividends.

Volatility and Risk

Calliditas Therapeutics AB (publ) has a beta of 1.77, indicating that its stock price is 77% more volatile than the S&P 500. Comparatively, Palatin Technologies has a beta of 0.87, indicating that its stock price is 13% less volatile than the S&P 500.

Insider and Institutional Ownership

2.8% of Calliditas Therapeutics AB (publ) shares are owned by institutional investors. Comparatively, 11.5% of Palatin Technologies shares are owned by institutional investors. 2.2% of Calliditas Therapeutics AB (publ) shares are owned by company insiders. Comparatively, 7.1% of Palatin Technologies shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Analyst Recommendations

This is a summary of current ratings and target prices for Calliditas Therapeutics AB (publ) and Palatin Technologies, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Calliditas Therapeutics AB (publ)	0	0	0	0	0.00
Palatin Technologies	0	0	1	0	3.00

Palatin Technologies has a consensus target price of $350.00, suggesting a potential upside of 6,150.00%. Given Palatin Technologies’ stronger consensus rating and higher probable upside, analysts plainly believe Palatin Technologies is more favorable than Calliditas Therapeutics AB (publ).

Earnings & Valuation

This table compares Calliditas Therapeutics AB (publ) and Palatin Technologies”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Calliditas Therapeutics AB (publ)	$1.60 billion	0.74	-$43.96 million	($1.85)	-21.62
Palatin Technologies	$4.49 million	32.44	-$29.74 million	($1.55)	-3.61

Palatin Technologies has lower revenue, but higher earnings than Calliditas Therapeutics AB (publ). Calliditas Therapeutics AB (publ) is trading at a lower price-to-earnings ratio than Palatin Technologies, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Calliditas Therapeutics AB (publ) and Palatin Technologies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Calliditas Therapeutics AB (publ)	-30.18%	-212.04%	-27.96%
Palatin Technologies	N/A	N/A	-365.57%

Summary

Palatin Technologies beats Calliditas Therapeutics AB (publ) on 11 of the 14 factors compared between the two stocks.

About Calliditas Therapeutics AB (publ)

Calliditas Therapeutics AB (publ), a commercial-stage bio-pharmaceutical company, focused on identifying, developing, and commercializing novel treatments in orphan indications with an initial focus on renal and hepatic diseases with significant unmet medical needs in the United States, Europe, and Asia. It offers Nefecon (TARPEYO/Kinpeygo), an oral formulation of budesonide to reduce the loss of kidney function in adults with immunoglobulin A nephropathy. The company's lead compound is Setanaxib, a NOX inhibitor that is in Phase 2b clinical trial for the treatment of primary biliary cholangitis; and in Phase 2 clinical trial for the treatment of squamous cell carcinoma of the head and neck cancer and idiopathic pulmonary fibrosis, as well as for solid tumors and Alport Syndrome. Calliditas Therapeutics AB (publ) was incorporated in 2004 and is headquartered in Stockholm, Sweden.

About Palatin Technologies

Palatin Technologies, Inc., a biopharmaceutical company, develops targeted receptor-specific therapeutics for the treatment of various diseases in the United States. The company's lead product is Vyleesi, a melanocortin receptor (MCr) agonist for the treatment of premenopausal women with hypoactive sexual desire disorder. It is also developing oral PL8177, a selective MC1r agonist peptide that is in Phase 2 clinical trial for the treatment of inflammatory bowel diseases. In addition, the company engages in the development of PL9643, a peptide melanocortin agonist active at multiple MCrs, including MC1r and MC5r for anti-inflammatory ocular indications, such as dry eye disease, which is in Phase 3 clinical trial; and melanocortin peptides for diabetic retinopathy. Further, it is developing PL8177, an oral peptide formulation for treatment of ulcerative colitis, which entered Phase 2 clinical trials. The company was founded in 1986 and is based in Cranbury, New Jersey.