Head-To-Head Analysis: ProKidney (NASDAQ:PROK) and Outlook Therapeutics (NASDAQ:OTLK)

ProKidney (NASDAQ:PROK) and Outlook Therapeutics (NASDAQ:OTLK) are both small-cap medical companies, but which is the better investment? We will compare the two companies based on the strength of their risk, dividends, analyst recommendations, institutional ownership, valuation, earnings and profitability.

Profitability

This table compares ProKidney and Outlook Therapeutics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ProKidney	N/A	N/A	-8.80%
Outlook Therapeutics	N/A	N/A	-160.88%

Risk and Volatility

ProKidney has a beta of 1.11, indicating that its share price is 11% more volatile than the S&P 500. Comparatively, Outlook Therapeutics has a beta of 0.62, indicating that its share price is 38% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of current recommendations for ProKidney and Outlook Therapeutics, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ProKidney	0	3	2	0	2.40
Outlook Therapeutics	0	0	7	0	3.00

ProKidney presently has a consensus price target of $4.50, indicating a potential upside of 125.00%. Outlook Therapeutics has a consensus price target of $48.20, indicating a potential upside of 662.66%. Given Outlook Therapeutics’ stronger consensus rating and higher possible upside, analysts clearly believe Outlook Therapeutics is more favorable than ProKidney.

Earnings and Valuation

This table compares ProKidney and Outlook Therapeutics”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ProKidney	N/A	N/A	-$35.47 million	($0.59)	-3.39
Outlook Therapeutics	N/A	N/A	-$58.98 million	($10.70)	-0.59

ProKidney is trading at a lower price-to-earnings ratio than Outlook Therapeutics, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

51.6% of ProKidney shares are held by institutional investors. Comparatively, 11.2% of Outlook Therapeutics shares are held by institutional investors. 41.5% of ProKidney shares are held by insiders. Comparatively, 3.4% of Outlook Therapeutics shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Summary

ProKidney beats Outlook Therapeutics on 6 of the 10 factors compared between the two stocks.

About ProKidney

ProKidney Corp., a clinical-stage biotechnology company, provides transformative proprietary cell therapy platform for treating various chronic kidney diseases in the United States. The company's lead product is Renal Autologous Cell Therapy (REACT), an autologous homologous cell admixture, which has completed Phase I clinical trial for REACT in patients with congenital anomalies of the Kidney and Urinary Tract (CAKUT), as well as in Phase III and Phase II clinical trials for the treatment of moderate to severe diabetic kidney disease. ProKidney Corp. founded in 2015 and is headquartered in Winston-Salem, North Carolina.

About Outlook Therapeutics

Outlook Therapeutics, Inc., operates as a clinical-stage biopharmaceutical company, focuses on developing and commercializing monoclonal antibodies for various ophthalmic indications. Its lead product candidate is ONS-5010, an ophthalmic formulation of bevacizumab product candidate that is in Phase-III clinical trial for the treatment of wet age-related macular degeneration and other retina diseases. Outlook Therapeutics, Inc. has collaboration and license agreements with BioLexis Pte. Ltd. and Zhejiang Huahai Pharmaceutical Co., Ltd. The company was formerly known as Oncobiologics, Inc. and changed its name to Outlook Therapeutics, Inc. in November 2018. Outlook Therapeutics, Inc. was incorporated in 2010 and is based in Iselin, New Jersey.