ACADIA Pharmaceuticals (NASDAQ:ACAD) and Theratechnologies (OTCMKTS:THERF) are both medical companies, but which is the superior stock? We will contrast the two companies based on the strength of their risk, analyst recommendations, dividends, earnings, profitability, valuation and institutional ownership.

Profitability

This table compares ACADIA Pharmaceuticals and Theratechnologies’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
ACADIA Pharmaceuticals -135.99% -78.56% -68.75%
Theratechnologies -26.30% -28.47% -16.62%

Risk & Volatility

ACADIA Pharmaceuticals has a beta of 3.45, suggesting that its share price is 245% more volatile than the S&P 500. Comparatively, Theratechnologies has a beta of 0.8, suggesting that its share price is 20% less volatile than the S&P 500.

Earnings and Valuation

This table compares ACADIA Pharmaceuticals and Theratechnologies’ gross revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
ACADIA Pharmaceuticals $124.90 million 22.75 -$289.40 million ($2.36) -9.63
Theratechnologies $32.93 million 12.88 -$14.17 million N/A N/A

Theratechnologies has lower revenue, but higher earnings than ACADIA Pharmaceuticals.

Institutional and Insider Ownership

92.7% of ACADIA Pharmaceuticals shares are owned by institutional investors. Comparatively, 0.1% of Theratechnologies shares are owned by institutional investors. 23.3% of ACADIA Pharmaceuticals shares are owned 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.

Analyst Recommendations

This is a breakdown of current recommendations and price targets for ACADIA Pharmaceuticals and Theratechnologies, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
ACADIA Pharmaceuticals 0 1 7 0 2.88
Theratechnologies 0 1 0 0 2.00

ACADIA Pharmaceuticals currently has a consensus price target of $34.63, suggesting a potential upside of 52.33%. Given ACADIA Pharmaceuticals’ stronger consensus rating and higher possible upside, research analysts clearly believe ACADIA Pharmaceuticals is more favorable than Theratechnologies.

Summary

ACADIA Pharmaceuticals beats Theratechnologies on 8 of the 12 factors compared between the two stocks.

About ACADIA Pharmaceuticals

ACADIA Pharmaceuticals Inc., a biopharmaceutical company, focuses on the development and commercialization of small molecule drugs that address unmet medical needs in central nervous system disorders. The company offers NUPLAZID (pimavanserin) for the treatment of hallucinations and delusions associated with Parkinson's disease psychosis. It is also developing pimavanserin as a treatment for dementia-related psychosis and as an adjunctive treatment for schizophrenia that are in phase III clinical trials; and pimavanserin as an adjunctive treatment for major depressive disorder. ACADIA Pharmaceuticals Inc. was founded in 1993 and is headquartered in San Diego, California.

About Theratechnologies

Theratechnologies Inc., a specialty pharmaceutical company, addresses unmet medical needs to promote healthy living and improve quality of life among HIV patients. The company's lead product is EGRIFTA, which increases the incidence or progression of diabetic retinopathy in diabetic HIV-infected patients with lipodystrophy and excess abdominal fat in the United States and Canada. Theratechnologies Inc. was founded in 1993 and is headquartered in Montreal, Canada.

Receive News & Ratings for ACADIA Pharmaceuticals Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for ACADIA Pharmaceuticals and related companies with MarketBeat.com's FREE daily email newsletter.