INC Research (NASDAQ: INCR) and ANI Pharmaceuticals (NASDAQ:ANIP) are both medical companies, but which is the better investment? We will contrast the two businesses based on the strength of their profitability, dividends, institutional ownership, risk, valuation, analyst recommendations and earnings.

Analyst Recommendations

This is a summary of recent recommendations and price targets for INC Research and ANI Pharmaceuticals, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
INC Research 0 5 5 0 2.50
ANI Pharmaceuticals 0 1 2 0 2.67

INC Research presently has a consensus price target of $49.63, indicating a potential upside of 20.16%. ANI Pharmaceuticals has a consensus price target of $71.00, indicating a potential downside of 1.95%. Given INC Research’s higher possible upside, research analysts plainly believe INC Research is more favorable than ANI Pharmaceuticals.

Institutional and Insider Ownership

99.5% of INC Research shares are owned by institutional investors. Comparatively, 55.1% of ANI Pharmaceuticals shares are owned by institutional investors. 0.2% of INC Research shares are owned by company insiders. Comparatively, 31.8% of ANI Pharmaceuticals 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.

Valuation and Earnings

This table compares INC Research and ANI Pharmaceuticals’ gross revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
INC Research $1.61 billion 2.68 $112.63 million ($0.58) -71.21
ANI Pharmaceuticals $128.62 million 6.56 $3.93 million $0.63 114.94

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

Risk and Volatility

INC Research has a beta of 1.09, suggesting that its share price is 9% more volatile than the S&P 500. Comparatively, ANI Pharmaceuticals has a beta of 2.9, suggesting that its share price is 190% more volatile than the S&P 500.

Profitability

This table compares INC Research and ANI Pharmaceuticals’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
INC Research -4.29% 14.42% 5.17%
ANI Pharmaceuticals 4.45% 22.40% 11.14%

Summary

ANI Pharmaceuticals beats INC Research on 9 of the 14 factors compared between the two stocks.

INC Research Company Profile

INC Research Holdings, Inc. is a global contract research organization (CRO). The Company focuses on Phase I to Phase IV clinical development services for the biopharmaceutical and medical device industries. The Company operates through two segments: Clinical Development Services and Phase I Services. The Company’s Clinical Development Services segment offers a range of clinical development services, including full-service global studies, as well as ancillary services, such as clinical monitoring, investigator recruitment, patient recruitment, data management, study reports to assist customers with their drug development process, quality assurance audits and specialized consulting services. The Phase I Services segment focuses on clinical development services for Phase I trials, which include scientific exploratory medicine, first-in-human studies through proof-of-concept stages and support for Phase I studies in established compounds.

ANI Pharmaceuticals Company Profile

ANI Pharmaceuticals, Inc. is an integrated specialty pharmaceutical company. The Company is engaged in developing, manufacturing and marketing branded and generic prescription pharmaceuticals. The Company focuses on areas, including controlled substances, anti-cancer (oncolytics), hormones and steroids, and complex formulations. It also performs contract manufacturing for other pharmaceutical companies. Its products include both branded and generic pharmaceuticals. Its generic products include Erythromycin Ethylsuccinate, Esterified Estrogen with Methyltestosterone (EEMT), Etodolac Fenofibrate, Flecainide, Fluvoxamine, Hydrocortisone Enema, Methazolamide, Metoclopramide Syrup Nilutamide, Nimodipine, Opium Tincture, Oxycodone Capsules, Oxycodone Oral Solution, Propafenone and Vancomycin. Its branded products include Cortenema, Inderal LA, Lithobid, Reglan and Vancocin. Its pharmaceutical manufacturing facilities are located in Baudette, Minnesota.

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