Head to Head Analysis: Lexicon Pharmaceuticals (NASDAQ:LXRX) and AXIM Biotechnologies (OTCMKTS:AXIM)

AXIM Biotechnologies (OTCMKTS:AXIM) and Lexicon Pharmaceuticals (NASDAQ:LXRX) are both medical companies, but which is the superior investment? We will contrast the two companies based on the strength of their valuation, profitability, risk, institutional ownership, earnings, dividends and analyst recommendations.

Analyst Recommendations

This is a summary of current ratings and target prices for AXIM Biotechnologies and Lexicon Pharmaceuticals, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
AXIM Biotechnologies	0	0	0	0	N/A
Lexicon Pharmaceuticals	0	1	2	0	2.67

Lexicon Pharmaceuticals has a consensus target price of $5.00, suggesting a potential upside of 187.36%. Given Lexicon Pharmaceuticals’ higher probable upside, analysts clearly believe Lexicon Pharmaceuticals is more favorable than AXIM Biotechnologies.

Earnings & Valuation

This table compares AXIM Biotechnologies and Lexicon Pharmaceuticals’ revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
AXIM Biotechnologies	N/A	N/A	N/A	($0.01)	-1.55
Lexicon Pharmaceuticals	$1.20 million	357.05	-$177.12 million	($0.80)	-2.17

AXIM Biotechnologies has higher earnings, but lower revenue than Lexicon Pharmaceuticals. Lexicon Pharmaceuticals is trading at a lower price-to-earnings ratio than AXIM Biotechnologies, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares AXIM Biotechnologies and Lexicon Pharmaceuticals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
AXIM Biotechnologies	N/A	N/A	N/A
Lexicon Pharmaceuticals	-14,573.20%	-138.54%	-71.29%

Insider and Institutional Ownership

74.7% of Lexicon Pharmaceuticals shares are owned by institutional investors. 6.8% of Lexicon Pharmaceuticals shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

About AXIM Biotechnologies

AXIM Biotechnologies, Inc. develops and sells diagnostic healthcare solutions in the areas of SARS-CoV-2, eye health, and other diseases. The company is developing tests for dye eye diseases; SARS-CoV-2 neutralizing antibody tests; and fentanyl neutralizing antibody tests. It also developing a line of novel diagnostics for early cancer detection, response to treatment, and recurrence monitoring. The company was formerly known as Axim International Inc. and changed its name to AXIM Biotechnologies, Inc. in July 2014. AXIM Biotechnologies, Inc. was incorporated in 2010 and is based in San Diego, California.

About Lexicon Pharmaceuticals

Lexicon Pharmaceuticals, Inc., a biopharmaceutical company, focuses on the discovery, development, and commercialization of pharmaceutical products. Its orally-delivered small molecule drug candidates under development comprise Sotagliflozin that completed Phase III clinical trials for the for the treatment of heart failure and type 1 diabetes; and LX9211, which is in Phase II clinical development for the treatment of neuropathic pain and LX2761, which is in Phase I clinical development for gastrointestinal tract. Lexicon Pharmaceuticals, Inc. has strategic collaboration and license agreements with Bristol-Myers Squibb Company and Genentech, Inc. The company was incorporated in 1995 and is headquartered in The Woodlands, Texas.