GT Biopharma (NASDAQ:GTBP) vs. Allakos (NASDAQ:ALLK) Critical Survey

GT Biopharma (NASDAQ:GTBP) and Allakos (NASDAQ:ALLK) are both small-cap medical companies, but which is the superior business? We will contrast the two companies based on the strength of their profitability, valuation, earnings, analyst recommendations, risk, institutional ownership and dividends.

Earnings and Valuation

This table compares GT Biopharma and Allakos”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
GT Biopharma	N/A	N/A	-$7.60 million	N/A	N/A
Allakos	N/A	N/A	-$185.70 million	($2.03)	-0.52

Profitability

This table compares GT Biopharma and Allakos’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
GT Biopharma	N/A	-257.47%	-131.09%
Allakos	N/A	-140.87%	-86.22%

Volatility and Risk

GT Biopharma has a beta of 0.58, suggesting that its stock price is 42% less volatile than the S&P 500. Comparatively, Allakos has a beta of 0.92, suggesting that its stock price is 8% less volatile than the S&P 500.

Institutional & Insider Ownership

8.1% of GT Biopharma shares are owned by institutional investors. Comparatively, 84.6% of Allakos shares are owned by institutional investors. 10.9% of GT Biopharma shares are owned by company insiders. Comparatively, 16.1% of Allakos shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for GT Biopharma and Allakos, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
GT Biopharma	0	0	1	1	3.50
Allakos	1	2	2	0	2.20

GT Biopharma currently has a consensus target price of $11.00, indicating a potential upside of 300.00%. Allakos has a consensus target price of $1.67, indicating a potential upside of 58.73%. Given GT Biopharma’s stronger consensus rating and higher probable upside, research analysts clearly believe GT Biopharma is more favorable than Allakos.

Summary

Allakos beats GT Biopharma on 6 of the 10 factors compared between the two stocks.

About GT Biopharma

GT Biopharma, Inc., a clinical stage biopharmaceutical company, focuses on the development and commercialization of immuno-oncology products based on its proprietary Tri-specific Killer Engager (TriKE) fusion protein immune cell engager technology platform. It develops GTB-3550, a single-chain tri-specific recombinant fusion protein conjugate that is in Phase I clinical trial for the treatment of myelodysplastic syndromes, refractory/relapsed acute myeloid leukemia or advanced systemic mastocytosis, and CD33+ malignancies. The company is developing GTB-3650, which is in preclinical studies that target CD33 on the surface of myeloid leukemias; and GTB-5550 that is in preclinical studies for treating patients with B7-H3 positive solid tumors. GT Biopharma, Inc. has a co-development partnership agreement with Altor BioScience Corporation for the clinical development of a 161533 (GTB-3550) TriKE fusion protein for cancer therapies; and a license agreement with the Regents of the University of Minnesota to develop and commercialize cancer therapies using TriKE technology. The company was formerly known as OXIS International, Inc. and changed its name to GT Biopharma, Inc. in July 2017. GT Biopharma, Inc. was incorporated in 1965 and is based in Brisbane, California.

About Allakos

Allakos Inc., a clinical stage biotechnology company, develops therapeutics that target immunomodulatory receptors present on immune effector cells in allergy, inflammatory, and proliferative diseases in the United States. The company’s lead product candidate is AK006, which in a Phase I clinical trial for the treatment of chronic spontaneous urticaria (CSU) and other indications. The company was incorporated in 2012 and is headquartered in San Carlos, California.