Contrasting Vanda Pharmaceuticals (NASDAQ:VNDA) and Atrinsic (NASDAQ:PTIX)

Vanda Pharmaceuticals (NASDAQ:VNDA) and Atrinsic (NASDAQ:PTIX) are both small-cap medical companies, but which is the better business? We will compare the two companies based on the strength of their valuation, dividends, institutional ownership, analyst recommendations, risk, earnings and profitability.

Insider & Institutional Ownership

88.1% of Vanda Pharmaceuticals shares are held by institutional investors. Comparatively, 8.0% of Atrinsic shares are held by institutional investors. 8.9% of Vanda Pharmaceuticals shares are held by insiders. Comparatively, 8.0% of Atrinsic shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Volatility & Risk

Vanda Pharmaceuticals has a beta of 0.71, suggesting that its share price is 29% less volatile than the S&P 500. Comparatively, Atrinsic has a beta of 0.7, suggesting that its share price is 30% less volatile than the S&P 500.

Earnings & Valuation

This table compares Vanda Pharmaceuticals and Atrinsic”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Vanda Pharmaceuticals	$216.10 million	1.96	-$220.47 million	($3.73)	-1.92
Atrinsic	N/A	N/A	-$5.53 million	($3.45)	-0.16

Atrinsic has lower revenue, but higher earnings than Vanda Pharmaceuticals. Vanda Pharmaceuticals is trading at a lower price-to-earnings ratio than Atrinsic, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Vanda Pharmaceuticals and Atrinsic’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Vanda Pharmaceuticals	-102.02%	-23.85%	-18.20%
Atrinsic	N/A	N/A	-379.72%

Analyst Recommendations

This is a summary of recent ratings and price targets for Vanda Pharmaceuticals and Atrinsic, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Vanda Pharmaceuticals	1	2	5	0	2.50
Atrinsic	1	0	0	0	1.00

Vanda Pharmaceuticals presently has a consensus price target of $14.90, indicating a potential upside of 108.10%. Given Vanda Pharmaceuticals’ stronger consensus rating and higher probable upside, equities research analysts plainly believe Vanda Pharmaceuticals is more favorable than Atrinsic.

Summary

Vanda Pharmaceuticals beats Atrinsic on 8 of the 13 factors compared between the two stocks.

About Vanda Pharmaceuticals

Vanda Pharmaceuticals Inc., a biopharmaceutical company, focuses on the development and commercialization of therapies to address high unmet medical needs worldwide. The company’s marketed products include HETLIOZ to treat non-24-hour sleep-wake disorders; and Fanapt oral tablets for the treatment of schizophrenia. Its pipeline products include HETLIOZ (tasimelteon) to treat jet lag disorder, insomnia, delayed sleep phase disorder, sleep disturbances in autism spectrum disorder, and pediatric Non-24; Fanapt (iloperidone) for the treatment of bipolar I disorder and Parkinson’s disease psychosis, as well as a long acting injectable (LAI) formulation to treat schizophrenia; and Tradipitant (VLY-686), a small molecule neurokinin-1 receptor (NK-1R) antagonist to treat gastroparesis, motion sickness, atopic dermatitis, and COVID-19 pneumonia. The company’s pipeline products also include VTR-297, a small molecule histone deacetylase inhibitor to treat hematologic malignancies and with potential use as a treatment for various oncology indications; VQW-765, a small molecule nicotinic acetylcholine receptor partial agonist to treat performance anxiety and psychiatric disorders; VHX-896, an active metabolite of iloperidone; and antisense oligonucleotide molecules. In addition, it offers a portfolio of cystic fibrosis transmembrane conductance regulator activators and inhibitors that include VSJ-110 for the treatment of dry eye and ocular inflammation; and VPO-227 for the treatment of secretory diarrhea disorders comprising cholera. Vanda Pharmaceuticals Inc. was incorporated in 2002 and is headquartered in Washington, the District of Columbia.

About Atrinsic

Protagenic Therapeutics, Inc., a biopharmaceutical company, engages in the discovery and development of therapeutics to treat stress-related neuropsychiatric and mood disorders. Its lead compound comprises PT00114, a synthetic form of teneurin carboxy-terminal associated peptide, an endogenous brain signaling peptide that can dampen overactive stress responses. Protagenic Therapeutics, Inc. is headquartered in New York, New York.