Financial Analysis: Fortress Biotech (FBIO) & Its Rivals

Fortress Biotech (NASDAQ:FBIO) is one of 610 publicly-traded companies in the “MED – BIOMED/GENE” industry, but how does it weigh in compared to its rivals? We will compare Fortress Biotech to similar businesses based on the strength of its earnings, institutional ownership, analyst recommendations, risk, profitability, dividends and valuation.

Profitability

This table compares Fortress Biotech and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Fortress Biotech	10.77%	-41.20%	-11.53%
Fortress Biotech Competitors	-780.92%	-116.46%	-25.72%

Volatility and Risk

Fortress Biotech has a beta of 1.44, suggesting that its stock price is 44% more volatile than the S&P 500. Comparatively, Fortress Biotech’s rivals have a beta of 1.09, suggesting that their average stock price is 9% more volatile than the S&P 500.

Analyst Ratings

This is a summary of recent ratings and target prices for Fortress Biotech and its rivals, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Fortress Biotech	1	1	1	0	2.00
Fortress Biotech Competitors	7930	12913	39647	1326	2.56

Fortress Biotech currently has a consensus target price of $17.00, suggesting a potential upside of 602.48%. As a group, “MED – BIOMED/GENE” companies have a potential upside of 61.46%. Given Fortress Biotech’s higher possible upside, equities research analysts clearly believe Fortress Biotech is more favorable than its rivals.

Valuation & Earnings

This table compares Fortress Biotech and its rivals gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Fortress Biotech	$63.26 million	$6.82 million	-18.62
Fortress Biotech Competitors	$859.34 million	$59.85 million	-0.96

Fortress Biotech’s rivals have higher revenue and earnings than Fortress Biotech. Fortress Biotech is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Institutional & Insider Ownership

96.5% of Fortress Biotech shares are held by institutional investors. Comparatively, 51.4% of shares of all “MED – BIOMED/GENE” companies are held by institutional investors. 27.9% of Fortress Biotech shares are held by company insiders. Comparatively, 13.1% of shares of all “MED – BIOMED/GENE” companies are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Summary

Fortress Biotech beats its rivals on 7 of the 13 factors compared.

Fortress Biotech Company Profile

Fortress Biotech, Inc., a biopharmaceutical company, develops dermatology, pharmaceutical, and biotechnology products in the United States. The company markets dermatology products, such as Qbrexza a medicated cloth towelette for the treatment of primary axillary hyperhidrosis; Accutane capsules for severe recalcitrant nodular acne; Amzeeq for severe acne vulgaris; Zilxi, a topical foam; Exelderm cream and solution for topical use; Targadox an oral doxycycline drug for adjunctive therapy for severe acne; Luxamend; sulconazole nitrate cream and solution for tinea cruris and tinea corporis; and doxycycline hyclate tablet. It also develops late stage product candidates, such as intravenous Tramadol for the treatment of post-operative acute pain; CUTX-101, an injection for the treatment of Menkes disease; Cosibelimab for metastatic cancers; Olafertinib for the treatment of patients with EGFR mutation-positive NSCLC; CAEL-101 for the treatment of amyloid light chain amyloidosis; Triplex vaccine for cytomegalovirus; and DFD-29 for the treatment of rosacea. The company’s early stage product candidates include Dotinurad for gout; MB-106 for B-cell non-hodgkin lymphoma; MB-101 for glioblastoma; MB-108 for recurrent GBM; MB-109 for refractory glioblastoma; AJ201, an androgen receptor degradation enhancer; BAER-101, a positive allosteric modulator; MB-117 for newly diagnosed x-linked severe combined immunodeficiency; and MB217 for previously transplanted; and MB-110 for RAG1 severe combined immunodeficiency. Its preclinical product candidates comprise Mayo Clinic In Vivo CAR T Platform Technology; AAV-ATP7A gene therapy; AVTS-001 gene therapy; CK-103 BET inhibitor; CEVA-D and CEVA-102; CK-302, an anti-GITR; CK-303, an anti-CAIX; and oligonucleotide platform. The company was formerly known as Coronado Biosciences, Inc. and changed its name to Fortress Biotech, Inc. in April 2015. Fortress Biotech, Inc. was incorporated in 2006 and is based in Bay Harbor Islands, Florida.