Head-To-Head Analysis: Theravance Biopharma (NASDAQ:TBPH) and Ovid Therapeutics (NASDAQ:OVID)

Theravance Biopharma (NASDAQ:TBPH) and Ovid Therapeutics (NASDAQ:OVID) are both small-cap medical companies, but which is the superior stock? We will compare the two businesses based on the strength of their analyst recommendations, institutional ownership, dividends, profitability, valuation, risk and earnings.

Analyst Recommendations

This is a summary of current recommendations and price targets for Theravance Biopharma and Ovid Therapeutics, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Theravance Biopharma	0	3	2	0	2.40
Ovid Therapeutics	0	2	4	1	2.86

Theravance Biopharma currently has a consensus price target of $13.75, suggesting a potential upside of 69.75%. Ovid Therapeutics has a consensus price target of $4.70, suggesting a potential upside of 308.70%. Given Ovid Therapeutics’ stronger consensus rating and higher probable upside, analysts clearly believe Ovid Therapeutics is more favorable than Theravance Biopharma.

Risk & Volatility

Theravance Biopharma has a beta of 0.25, suggesting that its share price is 75% less volatile than the S&P 500. Comparatively, Ovid Therapeutics has a beta of 0.39, suggesting that its share price is 61% less volatile than the S&P 500.

Profitability

This table compares Theravance Biopharma and Ovid Therapeutics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Theravance Biopharma	-73.61%	-21.29%	-11.94%
Ovid Therapeutics	-5,237.15%	-33.40%	-22.94%

Insider & Institutional Ownership

99.1% of Theravance Biopharma shares are held by institutional investors. Comparatively, 72.2% of Ovid Therapeutics shares are held by institutional investors. 6.9% of Theravance Biopharma shares are held by insiders. Comparatively, 13.3% of Ovid Therapeutics shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Valuation and Earnings

This table compares Theravance Biopharma and Ovid Therapeutics”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Theravance Biopharma	$62.02 million	6.35	-$55.19 million	($0.86)	-9.42
Ovid Therapeutics	$567,695.00	143.72	-$52.34 million	($0.73)	-1.58

Ovid Therapeutics has lower revenue, but higher earnings than Theravance Biopharma. Theravance Biopharma is trading at a lower price-to-earnings ratio than Ovid Therapeutics, indicating that it is currently the more affordable of the two stocks.

Summary

Ovid Therapeutics beats Theravance Biopharma on 10 of the 15 factors compared between the two stocks.

About Theravance Biopharma

Theravance Biopharma, Inc. is a diversified biopharmaceutical company primarily focused on the discovery, development and commercialization of organ-selective medicines. Its purpose is to pioneer a new generation of small molecule drugs designed to better meet patient needs. Its research is focused in the areas of inflammation and immunology.
In pursuit of its purpose, Theravance Biopharma applies insights and innovation at each stage of its business and utilizes its internal capabilities and those of partners around the world. The Company applies organ-selective expertise to target disease biologically, to discover and develop medicines that may expand the therapeutic index with the goal of maximizing efficacy and limiting systemic side effects. These efforts leverage years of experience in developing lung-selective medicines to treat respiratory disease, including FDA-approved YUPELRI® (revefenacin) inhalation solution indicated for the maintenance treatment of patients with chronic obstructive pulmonary disease (COPD). Its pipeline of internally discovered programs is targeted to address significant patient needs.
Theravance Biopharma has an economic interest in potential future payments from Glaxo Group Limited or one of its affiliates (GSK) pursuant to its agreements with Innoviva, Inc. relating to certain programs, including TRELEGY.
For more information, please visit www.theravance.com.

About Ovid Therapeutics

Ovid Therapeutics Inc., a biopharmaceutical company, engages in the development of impactful medicines for patients and families with epilepsies and seizure-related neurological disorders in the United States. The company is developing soticlestat, a novel cholesterol 24 hydroxylase inhibitor, which is in Phase 3 clinical trials for the potential treatment of patients with resistant epilepsies; OV329, a GABA aminotransferase inhibitor which is in Phase 1 clinical trials for the treatment of seizures associated with tuberous sclerosis complex and infantile spasms; and OV350, a small molecule direct activator of the KCC2 transporter, which is in Phase 1 clinical trials for treating epilepsies. It also develops OV815, that focuses on the mutations associated with KIF1A-associated neurological disorder (KAND); OV888 (GV101), a highly selective rock2 inhibitor which is in Phase 1 double-blind multiple-ascending dose trial; OV825, has advanced to potential candidate lead identification for the rare neurodevelopmental condition HNRNPH2 (Bain Syndrome); and OV882, a short hairpin RNA gene therapy for the treatment of Angelman syndrome. The company has license and collaboration agreements with Healx, AstraZeneca AB, H. Lundbeck A/S, Northwestern University, and Graviton, as well as Marinus Pharmaceuticals, Inc. The company was incorporated in 2014 and is headquartered in New York, New York.