Critical Contrast: Zoetis (NYSE:ZTS) vs. Monopar Therapeutics (NASDAQ:MNPR)

Zoetis (NYSE:ZTS) and Monopar Therapeutics (NASDAQ:MNPR) are both medical companies, but which is the superior business? We will compare the two businesses based on the strength of their institutional ownership, valuation, earnings, profitability, analyst recommendations, dividends and risk.

Insider & Institutional Ownership

92.8% of Zoetis shares are held by institutional investors. Comparatively, 1.8% of Monopar Therapeutics shares are held by institutional investors. 0.2% of Zoetis shares are held by company insiders. Comparatively, 41.6% of Monopar Therapeutics shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Zoetis and Monopar Therapeutics, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Zoetis	0	0	7	0	3.00
Monopar Therapeutics	0	0	2	0	3.00

Zoetis presently has a consensus target price of $211.75, suggesting a potential upside of 20.59%. Monopar Therapeutics has a consensus target price of $2.00, suggesting a potential upside of 184.33%. Given Monopar Therapeutics’ higher probable upside, analysts clearly believe Monopar Therapeutics is more favorable than Zoetis.

Risk & Volatility

Zoetis has a beta of 0.86, suggesting that its stock price is 14% less volatile than the S&P 500. Comparatively, Monopar Therapeutics has a beta of 1.18, suggesting that its stock price is 18% more volatile than the S&P 500.

Earnings and Valuation

This table compares Zoetis and Monopar Therapeutics’ top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Zoetis	$8.54 billion	9.38	$2.34 billion	$5.19	33.83
Monopar Therapeutics	N/A	N/A	-$8.40 million	($0.52)	-1.35

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

Profitability

This table compares Zoetis and Monopar Therapeutics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Zoetis	27.38%	50.34%	17.59%
Monopar Therapeutics	N/A	-110.42%	-86.33%

Summary

Zoetis beats Monopar Therapeutics on 9 of the 12 factors compared between the two stocks.

About Zoetis

Zoetis Inc. engages in the discovery, development, manufacture, and commercialization of animal health medicines, vaccines, and diagnostic products and services in the United States and internationally. The company commercializes products primarily across species, including livestock, such as cattle, swine, poultry, fish, and sheep and others; and companion animals comprising dogs, cats, and horses. It also offers parasiticides, vaccines, dermatology, other pharmaceutical, anti-infectives, animal health diagnostics, and medicated feed additives. In addition, the company provides animal health diagnostics, including point-of-care diagnostic products, instruments and reagents, rapid immunoassay tests, reference laboratory kits and services, and blood glucose monitors; and other non-pharmaceutical products, which include nutritionals, as well as products and services in biodevices, genetic tests, and precision animal health. It markets its products to veterinarians, livestock producers, and pet owners. The company has collaboration Blacksmith Medicines, Inc. to discover and develop novel antibiotics for animal health. Zoetis Inc. was founded in 1952 and is headquartered in Parsippany, New Jersey.

About Monopar Therapeutics

Monopar Therapeutics Inc., a clinical-stage biopharmaceutical company, engages in developing therapeutics for the treatment of cancer in the United States. Its lead product candidate in development is Validive, a clonidine hydrochloride mucobuccal tablet that is in Phase 2b/3 clinical trial for the prevention of chemoradiotherapy induced severe oral mucositis in patients with oropharyngeal cancer. The company also engages in developing Camsirubicin, an analog of doxorubicin, which is in Phase 1b clinical trial for the treatment of advanced soft tissue sarcoma; MNPR-101, a urokinase plasminogen activator receptor targeted antibody for the treatment of various cancers; MNPR-101 RIT, a radioimmunotherapeutic based on MNPR-101 for the potential treatment of cancer and severe COVID-19; and MNPR-202, an analog of camsirubicin to treat doxorubicin-and camsirubicin-resistant cancers. Monopar Therapeutics Inc. has collaborations with the Grupo Español de Investigación en Sarcomas for the development of camsirubicin in patients with advanced soft tissue sarcoma; NorthStar Medical Radioisotopes, LLC to develop radio-immuno-therapeutics targeting severe COVID-19; and the Cancer Science Institute of Singapore to evaluate the activity of MNPR-202 and related analogs in various types of cancer. The company was founded in 2014 and is headquartered in Wilmette, Illinois.