Catalyst Pharmaceuticals (NASDAQ:CPRX) vs. Antibe Therapeutics (OTCMKTS:ATBPF) Critical Analysis

Catalyst Pharmaceuticals (NASDAQ:CPRX) and Antibe Therapeutics (OTCMKTS:ATBPF) are both medical companies, but which is the superior investment? We will compare the two businesses based on the strength of their earnings, analyst recommendations, dividends, institutional ownership, valuation, risk and profitability.

Volatility and Risk

Catalyst Pharmaceuticals has a beta of 0.75, suggesting that its share price is 25% less volatile than the S&P 500. Comparatively, Antibe Therapeutics has a beta of 0.51, suggesting that its share price is 49% less volatile than the S&P 500.

Earnings & Valuation

This table compares Catalyst Pharmaceuticals and Antibe Therapeutics”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Catalyst Pharmaceuticals	$398.20 million	7.02	$71.41 million	$1.18	19.87
Antibe Therapeutics	N/A	N/A	-$14.73 million	($0.25)	-0.86

Catalyst Pharmaceuticals has higher revenue and earnings than Antibe Therapeutics. Antibe Therapeutics is trading at a lower price-to-earnings ratio than Catalyst Pharmaceuticals, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Catalyst Pharmaceuticals and Antibe Therapeutics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Catalyst Pharmaceuticals	31.01%	40.79%	34.87%
Antibe Therapeutics	N/A	-56.48%	-29.07%

Institutional and Insider Ownership

79.2% of Catalyst Pharmaceuticals shares are held by institutional investors. 11.0% of Catalyst Pharmaceuticals shares are held by insiders. Comparatively, 9.0% of Antibe Therapeutics shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a summary of recent recommendations and price targets for Catalyst Pharmaceuticals and Antibe Therapeutics, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Catalyst Pharmaceuticals	0	0	6	0	3.00
Antibe Therapeutics	0	1	0	0	2.00

Catalyst Pharmaceuticals currently has a consensus price target of $30.50, indicating a potential upside of 30.06%. Given Catalyst Pharmaceuticals’ stronger consensus rating and higher probable upside, research analysts clearly believe Catalyst Pharmaceuticals is more favorable than Antibe Therapeutics.

Summary

Catalyst Pharmaceuticals beats Antibe Therapeutics on 13 of the 13 factors compared between the two stocks.

About Catalyst Pharmaceuticals

Catalyst Pharmaceuticals, Inc., a commercial-stage biopharmaceutical company, focuses on developing and commercializing therapies for people with rare debilitating, chronic neuromuscular, and neurological diseases in the United States. It offers Firdapse, an amifampridine phosphate tablets for the treatment of patients with lambert-eaton myasthenic syndrome (LEMS); and Ruzurgi for the treatment of pediatric LEMS patients. The company develops Firdapse for the treatment of MuSK antibody positive myasthenia gravis and spinal muscular atrophy type. It has license agreements with BioMarin Pharmaceutical Inc.; and collaboration and license agreement with Endo Ventures Limited for the development and commercialization of generic Sabril tablets. The company was founded in 2002 and is based in Coral Gables, Florida.

About Antibe Therapeutics

Antibe Therapeutics Inc., a biotechnology company, engages in developing novel therapeutics and medical devices in the areas of pain, inflammation and regenerative medicine in Canada, Europe, the United States, and internationally. The company's pipeline includes therapies that seek to overcome the gastrointestinal (GI) ulcers and bleeding associated with nonsteroidal anti-inflammatory drugs (NSAIDs). Its lead compound is Otenaproxesul, an NSAID that releases hydrogen sulfide for treating post-operative pain, migraine, acute musculoskeletal pain, dysmenorrhea, gout, and dental pain. In addition, its products comprise ATB-352, which is in preclinical stage for acute pain. The company was incorporated in 2009 and is headquartered in Toronto, Canada.