Head-To-Head Analysis: Theratechnologies (NASDAQ:THTX) & Inozyme Pharma (NASDAQ:INZY)

Theratechnologies (NASDAQ:THTX) and Inozyme Pharma (NASDAQ:INZY) are both small-cap medical companies, but which is the better business? We will contrast the two businesses based on the strength of their analyst recommendations, earnings, risk, valuation, profitability, institutional ownership and dividends.

Volatility & Risk

Theratechnologies has a beta of 1.41, indicating that its share price is 41% more volatile than the S&P 500. Comparatively, Inozyme Pharma has a beta of 1.54, indicating that its share price is 54% more volatile than the S&P 500.

Earnings & Valuation

This table compares Theratechnologies and Inozyme Pharma”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Theratechnologies	$81.76 million	0.68	-$23.96 million	($0.10)	-12.10
Inozyme Pharma	N/A	N/A	-$71.17 million	($1.56)	-1.72

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

Insider & Institutional Ownership

88.3% of Inozyme Pharma shares are owned by institutional investors. 11.2% of Inozyme Pharma shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Profitability

This table compares Theratechnologies and Inozyme Pharma’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Theratechnologies	-3.75%	N/A	-4.31%
Inozyme Pharma	N/A	-88.42%	-57.02%

Analyst Recommendations

This is a summary of current ratings for Theratechnologies and Inozyme Pharma, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Theratechnologies	0	0	1	0	3.00
Inozyme Pharma	0	0	7	0	3.00

Inozyme Pharma has a consensus target price of $15.71, indicating a potential upside of 484.17%. Given Inozyme Pharma’s higher possible upside, analysts clearly believe Inozyme Pharma is more favorable than Theratechnologies.

Summary

Inozyme Pharma beats Theratechnologies on 7 of the 12 factors compared between the two stocks.

About Theratechnologies

Theratechnologies Inc., a biopharmaceutical company, focuses on the development and commercialization of various therapies to address the unmet medical needs in the United States, Canada, and Europe. The company offers EGRIFTA SV for the reduction of excess abdominal fat in human immunodeficiency virus (HIV)-infected patients with lipodystrophy; and Trogarzo for the treatment of HIV-1 infection in heavily treatment-experienced adults with multidrug-resistant HIV-1 infection failing their current antiretroviral regimen. Its pipeline products include F8 Formulation that is in Phase 2b/3 clinical trials for studying tesamorelin for the treatment of nonalcoholic steatohepatitis; multi -dose pen injector for the administration of tesamorelin; SORT1+ Technology Platform for the development of proprietary peptides for cancer drug development targeting SORT1 receptors; Sudocetaxel Zendusortide, which is in Phase 1 Clinical Trial for various solid tumor types, including HR+ breast, triple negative breast, ovarian, endometrial, melanoma, thyroid, small cell lung, and prostate cancers. The company was incorporated in 1993 and is headquartered in Montreal, Canada.

About Inozyme Pharma

Inozyme Pharma, Inc., a clinical-stage rare disease biopharmaceutical company, focuses on developing novel therapeutics for the treatment of vasculature, soft tissue, and skeleton diseases. The company's lead product candidate is INZ-701, a soluble, recombinant, genetically engineered, and fusion protein for the treatment of ENPP1 and ABCC6 deficiencies, as well as patients with end-stage kidney disease receiving hemodialysis. It has a license agreement with Yale University for specified therapeutic and prophylactic products. The company was incorporated in 2015 and is headquartered in Boston, Massachusetts.