Financial Review: Petros Pharmaceuticals (NASDAQ:PTPI) and PaxMedica (NASDAQ:PXMD)

Valuation & Earnings

This table compares PaxMedica and Petros Pharmaceuticals”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
PaxMedica	N/A	N/A	-$18.29 million	($6.09)	N/A
Petros Pharmaceuticals	$5.11 million	0.05	-$8.16 million	($39.69)	0.00

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

Volatility and Risk

PaxMedica has a beta of -0.99, suggesting that its stock price is 199% less volatile than the S&P 500. Comparatively, Petros Pharmaceuticals has a beta of 1.73, suggesting that its stock price is 73% more volatile than the S&P 500.

Profitability

This table compares PaxMedica and Petros Pharmaceuticals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
PaxMedica	N/A	-3,167.89%	-560.35%
Petros Pharmaceuticals	N/A	-78.22%	-23.50%

Institutional and Insider Ownership

4.9% of PaxMedica shares are owned by institutional investors. Comparatively, 12.3% of Petros Pharmaceuticals shares are owned by institutional investors. 1.0% of PaxMedica shares are owned by company insiders. Comparatively, 12.3% of Petros Pharmaceuticals 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.

Summary

Petros Pharmaceuticals beats PaxMedica on 7 of the 9 factors compared between the two stocks.

About PaxMedica

PaxMedica, Inc., a clinical stage biopharmaceutical company, focuses on the development of anti-purinergic drug therapies for the treatment of disorders with intractable neurologic symptoms. Its lead product candidate is PAX-101 that is in Phase 3 clinical trials, an intravenous formulation of suramin for the treatment of autism spectrum disorder, myalgic encephalomyelitis/chronic fatigue syndrome, long COVID-19 syndrome, fragile X syndrome, human African trypanosomiasis (HAT), and fragile X-associated tremor/ataxia syndrome. The company is developing PAX-102, an intranasal formulation of suramin for neurologic indications, as well as other new chemical entities that are targeted and selective antagonists of purine receptor subtypes; and PAX-HAT-301 for the treatment of HAT. It has a research collaboration agreement with PolarMar Health for Phase II clinical trial in austism spectrum disorder for emodin, which retains the rights for PolarMar to develop and commercialize any non-prescription supplement form of the product, and for PaxMedica, Inc. to retain exclusive rights to develop and commercialize a highly purified form of emodin. The company was formerly known as Purinix Pharmaceuticals LLC and changed its name to PaxMedica, Inc. in April 2020. PaxMedica, Inc. was incorporated in 2018 and is based in Tarrytown, New York.

About Petros Pharmaceuticals

Petros Pharmaceuticals, Inc., a pharmaceutical company, focuses on men's health therapeutics in the United States and internationally. It operates through two segments, Prescription Medications and Medical Devices. The company engages in the commercialization and development of Stendra, an PDE-5 inhibitor prescription medication for the treatment of erectile dysfunction (ED). It also develops and commercializes H100, a novel and patented topical formulation candidate for the treatment of acute Peyronie's disease. The company offers men's health products, including vacuum erection devices, penile injections, PreBoost, VenoSeal, and urinary tract infection tests for the treatment of erectile dysfunction. Petros Pharmaceuticals, Inc. is based in New York, New York.