Innocoll (NASDAQ: INNL) and Cambrex (NYSE:CBM) are both small-cap healthcare companies, but which is the superior stock? We will compare the two companies based on the strength of their dividends, valuation, analyst recommendations, risk, institutional ownership, earnings and profitability.

Earnings and Valuation

This table compares Innocoll and Cambrex’s revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Innocoll N/A N/A N/A ($1.66) -1.42
Cambrex $490.64 million 3.32 $81.67 million $3.05 16.30

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

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Innocoll and Cambrex, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Innocoll 0 3 1 0 2.25
Cambrex 0 0 3 0 3.00

Innocoll presently has a consensus price target of $4.50, suggesting a potential upside of 91.49%. Cambrex has a consensus price target of $62.33, suggesting a potential upside of 25.42%. Given Innocoll’s higher probable upside, equities research analysts clearly believe Innocoll is more favorable than Cambrex.

Profitability

This table compares Innocoll and Cambrex’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Innocoll -1,051.20% N/A -138.53%
Cambrex 18.79% 23.42% 16.19%

Insider and Institutional Ownership

34.2% of Innocoll shares are owned by institutional investors. 2.5% of Cambrex shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Summary

Cambrex beats Innocoll on 8 of the 10 factors compared between the two stocks.

About Innocoll

Innocoll Holdings Public Limited Company is a commercial-stage specialty pharmaceutical and medical device company with late-stage development programs. The Company operates through the segment of manufacture and sale of collagen-based pharmaceutical products. It utilizes collagen-based technology platform to develop its biodegradable and bioresorbable products and product candidates, which can be broken down by the body without the need for surgical removal or applied topically. Using its processes at its manufacturing facility, it derives and purifies bovine and equine collagen and then utilizes its technology platform to incorporate the purified collagen into its topical and implantable products. Its lead product candidates are XaraColl for the treatment of post-operative pain and Cogenzia for the treatment of diabetic foot infections. Its marketed products include CollaGUARD, Collatamp, Septocoll and RegenePro. It has initiated its Phase III efficacy trials for Cogenzia.

About Cambrex

Cambrex Corporation (Cambrex) is a life sciences company. It provides products and services for the development and commercialization of generic therapeutics. It operates through four segments, which are manufacturing facilities that have been aggregated as a single segment. Its manufacturing facilities are owned by the subsidiaries, including Cambrex Charles City, Inc., Cambrex Karlskoga AB and Cambrex Profarmaco Milano S.r.l. Its products consist of active pharmaceutical ingredients (APIs) and pharmaceutical intermediates. It delivers services, such as custom organic synthesis and process development; current good manufacturing practices (cGMP) manufacturing of API and intermediates from grams to hundreds of kilograms; cGMP analytical services; controlled substance research and development (R&D) and manufacture, Schedule II-V, and contract research. It has API R&D and cGMP facilities in the United States and Europe. It supplies over 90 generic APIs.

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