Critical Survey: Inotiv (NASDAQ:NOTV) and Sandoz Group (OTCMKTS:SDZNY)

Sandoz Group (OTCMKTS:SDZNY) and Inotiv (NASDAQ:NOTV) are both medical companies, but which is the better investment? We will contrast the two businesses based on the strength of their risk, earnings, analyst recommendations, dividends, profitability, institutional ownership and valuation.

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Sandoz Group and Inotiv, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Sandoz Group	0	2	0	2	3.00
Inotiv	1	0	1	0	2.00

Inotiv has a consensus target price of $1.50, indicating a potential upside of 441.52%. Given Inotiv’s higher possible upside, analysts plainly believe Inotiv is more favorable than Sandoz Group.

Profitability

This table compares Sandoz Group and Inotiv’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Sandoz Group	N/A	N/A	N/A
Inotiv	-13.50%	-28.95%	-5.22%

Earnings and Valuation

This table compares Sandoz Group and Inotiv”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Sandoz Group	$11.09 billion	3.40	$914.00 million	N/A	N/A
Inotiv	$513.02 million	0.02	-$68.62 million	($2.03)	-0.14

Sandoz Group has higher revenue and earnings than Inotiv.

Insider & Institutional Ownership

0.1% of Sandoz Group shares are owned by institutional investors. Comparatively, 18.2% of Inotiv shares are owned by institutional investors. 7.8% of Inotiv shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Volatility and Risk

Sandoz Group has a beta of 0.71, indicating that its stock price is 29% less volatile than the S&P 500. Comparatively, Inotiv has a beta of 4.07, indicating that its stock price is 307% more volatile than the S&P 500.

Summary

Sandoz Group beats Inotiv on 8 of the 13 factors compared between the two stocks.

About Sandoz Group

Sandoz Group AG develops, manufactures, and markets generic pharmaceuticals and biosimilars worldwide. The company covers therapeutic areas, including cardiovascular, central nervous system, oncology, infectious diseases, pain and respiratory, diabetes, immunology, endocrinology, hematology, and ophthalmology, as well as bone disease. It also provides a portfolio of active pharmaceutical ingredients and finished dosage forms. The company was founded in 1886 and is headquartered in Basel, Switzerland.

About Inotiv

Inotiv, Inc. provides nonclinical and analytical drug discovery and development services to the pharmaceutical and medical device industries. It operates through two segment: Discovery and Safety Assessment (DSA), and Research Models and Services (RMS). The DMS segment manufactured scientific instruments for life sciences research and the related software for use by pharmaceutical companies, universities, government research centers, and medical research institutions under the Company's BASi product line. The RMS segment engages in commercial production and sales of research models, diets, bedding, and bioproducts. The company offers research and discovery services, including computational toxicology, disease pharmacology, DMPK, safety pharmacology, discovery bioanalysis, exploratory, surgical models and medical device, and cell and molecular biology; non-clinical safety assessment includes general and genetic toxicology, regulated bioanalysis, carcinogenicity studies, and development and reproductive toxicology; pathology services, such as histology, digital, clinical, and medical device pathology; bioanalysis includes nonregulated discovery bioanalysis, biotherapeutics, and regulated preclinical and clinical bioanalysis; proteomics; and consulting services, as well as model and research services. The company operates in the United States, the Netherlands, and internationally. The company was formerly known as Bioanalytical Systems, Inc. and changed its name to Inotiv, Inc. in March 2021. Inotiv, Inc. was incorporated in 1974 and is headquartered in West Lafayette, Indiana.