Analyzing Eliem Therapeutics (NASDAQ:ELYM) and CannaPharmaRX (OTCMKTS:CPMD)

CannaPharmaRX (OTCMKTS:CPMD) and Eliem Therapeutics (NASDAQ:ELYM) are both small-cap medical companies, but which is the better business? We will contrast the two businesses based on the strength of their profitability, valuation, risk, earnings, dividends, analyst recommendations and institutional ownership.

Profitability

This table compares CannaPharmaRX and Eliem Therapeutics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CannaPharmaRX	N/A	N/A	-55.33%
Eliem Therapeutics	N/A	-47.03%	-45.97%

Analyst Recommendations

This is a summary of current ratings and target prices for CannaPharmaRX and Eliem Therapeutics, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CannaPharmaRX	0	0	0	0	N/A
Eliem Therapeutics	0	0	0	0	N/A

Risk and Volatility

CannaPharmaRX has a beta of 2.38, suggesting that its stock price is 138% more volatile than the S&P 500. Comparatively, Eliem Therapeutics has a beta of -0.35, suggesting that its stock price is 135% less volatile than the S&P 500.

Insider & Institutional Ownership

69.8% of Eliem Therapeutics shares are owned by institutional investors. 1.3% of CannaPharmaRX shares are owned by insiders. Comparatively, 4.7% of Eliem Therapeutics shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Valuation & Earnings

This table compares CannaPharmaRX and Eliem Therapeutics”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CannaPharmaRX	N/A	N/A	$3.69 million	($0.01)	-0.88
Eliem Therapeutics	N/A	N/A	-$35.12 million	($0.53)	-15.98

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

Summary

CannaPharmaRX beats Eliem Therapeutics on 5 of the 8 factors compared between the two stocks.

About CannaPharmaRX

CannaPharmaRX, Inc. operates in the cannabis industry in Canada. It evaluates, negotiates, acquires, and develops various cannabis cultivation projects. The company was incorporated in 1998 and is based in Calgary, Canada.

About Eliem Therapeutics

Eliem Therapeutics, Inc., a biotechnology company, focuses on developing therapies for neuronal excitability disorders to address unmet needs in psychiatry, epilepsy, chronic pain, and other disorders of the peripheral and central nervous systems. The company was incorporated in 2018 and is headquartered in Wilmington, Delaware.