Alvotech (NASDAQ:ALVO) & Fresh Tracks Therapeutics (NASDAQ:FRTX) Critical Contrast

Fresh Tracks Therapeutics (NASDAQ:FRTX) and Alvotech (NASDAQ:ALVO) are both small-cap medical companies, but which is the better investment? We will contrast the two businesses based on the strength of their dividends, earnings, institutional ownership, analyst recommendations, risk, valuation and profitability.

Profitability

This table compares Fresh Tracks Therapeutics and Alvotech’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Fresh Tracks Therapeutics	N/A	-60.83%	-50.73%
Alvotech	-633.61%	N/A	-80.37%

Analyst Ratings

This is a summary of recent ratings and recommmendations for Fresh Tracks Therapeutics and Alvotech, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Fresh Tracks Therapeutics	0	0	0	0	N/A
Alvotech	0	1	1	0	2.50

Alvotech has a consensus price target of $16.00, indicating a potential upside of 31.69%. Given Alvotech’s higher possible upside, analysts clearly believe Alvotech is more favorable than Fresh Tracks Therapeutics.

Earnings & Valuation

This table compares Fresh Tracks Therapeutics and Alvotech’s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Fresh Tracks Therapeutics	$8.01 million	0.69	-$5.69 million	($1.41)	-0.66
Alvotech	$112.42 million	3.38	-$551.73 million	($2.08)	-5.84

Fresh Tracks Therapeutics has higher earnings, but lower revenue than Alvotech. Alvotech is trading at a lower price-to-earnings ratio than Fresh Tracks Therapeutics, indicating that it is currently the more affordable of the two stocks.

Insider & Institutional Ownership

25.0% of Fresh Tracks Therapeutics shares are owned by institutional investors. 0.2% of Fresh Tracks Therapeutics shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Risk & Volatility

Fresh Tracks Therapeutics has a beta of 0.47, meaning that its stock price is 53% less volatile than the S&P 500. Comparatively, Alvotech has a beta of -0.08, meaning that its stock price is 108% less volatile than the S&P 500.

Summary

Fresh Tracks Therapeutics beats Alvotech on 7 of the 12 factors compared between the two stocks.

About Fresh Tracks Therapeutics

Fresh Tracks Therapeutics, Inc. does not have significant operations. Previously, the company was engaged in the development of various prescription therapeutics for the treatment of autoimmune, inflammatory, and other debilitating diseases in the United States. Fresh Tracks Therapeutics, Inc. was founded in 2009 and is headquartered in Boulder, Colorado.

About Alvotech

Alvotech, through its subsidiaries, develops and manufactures biosimilar medicines for patients worldwide. It offers biosimilar products in the therapeutic areas of autoimmune, eye, and bone disorders, as well as cancer. The company's lead program is AVT02, a high concentration formulation biosimilar to Humira to treat various inflammatory conditions, including rheumatoid arthritis, psoriatic arthritis, Crohn's disease, ulcerative colitis, plaque psoriasis, and other indications; AVT04, a biosimilar to Stelara to treat various inflammatory conditions comprising psoriatic arthritis, Crohn's disease, ulcerative colitis, plaque psoriasis, and other indications; AVT06, a biosimilar to Eylea to treat various conditions, such as age-related macular degeneration, macular edema, and diabetic retinopathy; and AVT03, a biosimilar to Xgeva and Prolia, which is in the pre-clinical phase to treat prevent bone fracture, spinal cord compression, and the need for radiation or bone surgery in patients with certain types of cancer, as well as prevent bone loss and increase bone mass. In addition, it offers AVT05, a biosimilar to Simponi and Simponi Aria, which is in early phase development to treat various inflammatory conditions, including rheumatoid arthritis, psoriatic arthritis, ulcerative colitis, and other indications; AVT16, a biosimilar to an Entyvio product; AVT23, a biosimilar to Xolair, which is in late-stage development to treat nasal polyps; and AVT33, a biosimilar to an Keytruda product. Alvotech was founded in 2013 and is based in Luxembourg, Luxembourg.