Reviewing Aditxt (NASDAQ:ADTX) and Verastem (NASDAQ:VSTM)

Verastem (NASDAQ:VSTM) and Aditxt (NASDAQ:ADTX) are both small-cap medical companies, but which is the better stock? We will compare the two companies based on the strength of their analyst recommendations, dividends, earnings, valuation, profitability, risk and institutional ownership.

Earnings and Valuation

This table compares Verastem and Aditxt”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Verastem	$2.60 million	45.81	-$87.37 million	($3.34)	-0.89
Aditxt	$329,739.00	6.35	-$32.38 million	N/A	N/A

Aditxt has lower revenue, but higher earnings than Verastem.

Analyst Ratings

This is a breakdown of current ratings for Verastem and Aditxt, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Verastem	0	0	8	0	3.00
Aditxt	0	0	0	0	N/A

Verastem presently has a consensus target price of $14.57, indicating a potential upside of 392.28%. Given Verastem’s higher probable upside, equities research analysts clearly believe Verastem is more favorable than Aditxt.

Profitability

This table compares Verastem and Aditxt’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Verastem	N/A	-194.05%	-64.48%
Aditxt	N/A	-615.43%	-157.59%

Volatility and Risk

Verastem has a beta of 0.17, meaning that its stock price is 83% less volatile than the S&P 500. Comparatively, Aditxt has a beta of 1.12, meaning that its stock price is 12% more volatile than the S&P 500.

Insider & Institutional Ownership

88.4% of Verastem shares are held by institutional investors. Comparatively, 15.5% of Aditxt shares are held by institutional investors. 2.2% of Verastem shares are held by insiders. Comparatively, 1.2% of Aditxt shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Summary

Verastem beats Aditxt on 8 of the 10 factors compared between the two stocks.

About Verastem

Verastem, Inc., a development-stage biopharmaceutical company, focuses on developing and commercializing drugs for the treatment of cancer in the United States. Its product candidates are Avutometinib, an orally available small molecule RAF/MEK clamp that inhibits the ras sarcoma RAF/MEK, ERK mitogen activated pathway kinase pathway which is involved in cell proliferation, migration, transformation, and survival of tumor cells; and Defactinib, an oral small molecule inhibitor of FAK and proline-rich tyrosine kinase for various solid tumors. The company is involved in clinical studies, including RAMP 301, a randomized global confirmatory trial to evaluate the combination of Avutometinib and Defactinib for the treatment of patients with recurrent low-grade serous ovarian cancer; RAMP 201, an adaptive two-part multicenter, parallel cohort, randomized open label trial to evaluate the efficacy and safety of Avutometinib and in combination with Defactinib; and FRAME, an investigation of Avutometinib and Defactinib in patients with KRAS mutant cancers and subsequent analyses; and RAMP 204 and 205. It has license agreements with Chugai Pharmaceutical Co., Ltd. for the development, commercialization, and manufacture of products containing Avutometinib; and Pfizer Inc. to research, develop, manufacture, and commercialize products containing Pfizer's inhibitors of FAK for therapeutic, diagnostic, and prophylactic uses in humans. In addition, it has a clinical collaboration agreement with Amgen, Inc. to evaluate the combination of Avutometinib with Amgen's KRAS-G12C inhibitor LUMAKRAS which in Phase 1/2 trial entitled RAMP 203; and a discovery and development collaboration with GenFleet Therapeutics to advance new programs targeting RAS pathway-driven cancers. Verastem, Inc. was incorporated in 2010 and is headquartered in Needham, Massachusetts.

About Aditxt

Aditxt, Inc., a biotech company, develops technologies focuses on improving the health of the immune system through immune mapping and reprogramming. The company develops AditxtScore that allows individuals to understand, manage, and monitor their immune profiles in order to be informed about attacks on or by their immune system; and Apoptotic DNA Immunotherapy, a nucleic acid-based technology that utilizes an approach that mimics the way the body naturally induces tolerance to its own tissues. It is also developing ADi products for organ transplantation, including skin grafting, autoimmune diseases, and allergies. Aditxt, Inc. has a license agreement with Loma Linda University and Leland Stanford Junior University. The company was formerly known as ADiTx Therapeutics, Inc. and changed its name to Aditxt, Inc. in July 2021. Aditxt, Inc. was incorporated in 2017 and is headquartered in Richmond, Virginia.