Head-To-Head Review: ProPhase Labs (NASDAQ:PRPH) and Grifols (NASDAQ:GRFS)

Grifols (NASDAQ:GRFS) and ProPhase Labs (NASDAQ:PRPH) are both medical companies, but which is the better business? We will contrast the two companies based on the strength of their analyst recommendations, earnings, institutional ownership, risk, dividends, valuation and profitability.

Analyst Ratings

This is a summary of recent ratings and target prices for Grifols and ProPhase Labs, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Grifols	0	4	1	0	2.20
ProPhase Labs	1	0	0	0	1.00

Grifols presently has a consensus price target of $10.30, indicating a potential upside of 17.31%. Given Grifols’ stronger consensus rating and higher probable upside, analysts clearly believe Grifols is more favorable than ProPhase Labs.

Institutional & Insider Ownership

9.5% of ProPhase Labs shares are owned by institutional investors. 0.2% of Grifols shares are owned by insiders. Comparatively, 9.6% of ProPhase Labs shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Risk and Volatility

Grifols has a beta of 0.67, meaning that its share price is 33% less volatile than the S&P 500. Comparatively, ProPhase Labs has a beta of -0.66, meaning that its share price is 166% less volatile than the S&P 500.

Profitability

This table compares Grifols and ProPhase Labs’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Grifols	N/A	N/A	N/A
ProPhase Labs	-825.01%	-482.05%	-88.90%

Valuation and Earnings

This table compares Grifols and ProPhase Labs”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Grifols	$7.52 billion	0.80	$169.80 million	$0.19	46.21
ProPhase Labs	$6.77 million	0.92	-$53.36 million	($0.39)	-0.35

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

Summary

Grifols beats ProPhase Labs on 11 of the 14 factors compared between the two stocks.

About Grifols

Grifols, S.A. operates as a plasma therapeutic company in Spain, the United States, Canada, and internationally. The company provides immunoglobulin to treat immunodeficiencies; albumin used to restore circulatory volume and protein loss in pathophysiological conditions, such as liver cirrhosis, cardiocirculatory failure, trauma and severe burns; alpha-1 proteinase inhibitor, a plasma protein, used to treat a genetic disease known as alpha-1; factorVIII/von Willerbrand factor and factor IX, clotting factors for the treatment of hemophilia A and von Willebrand’s disease, as well as hemophilia B; antithrombin III to treat hereditary antithrombin deficiency; Fostamatinib, a spleen tyrosine kinase inhibitor; combination of fibrinogen and enzyme thrombin that acts as a biological sealant to control surgical bleeding; and plasma exchange with albumin used to treat Alzheimer’s disease. It markets diagnostic testing equipment, reagents, and other equipment; biological products; manufactures and sells plasma to third parties; and involves in research activities, as well as markets pharmaceutical products for hospital pharmacies. In addition, the company offers Yimmugo PID, an immunology drug; and Yimmugo ITP, a hematology drug. Further, it develops Xembify Pre-filled syringes, FlexBag, and Prolastin vials; Xembify Biweekly dosing, Prolastin-C, Fostamatinib2, and VISTASEAL which are in Phase IV development stage; Xembify, Albumin 20% and 5%, Fibrinogen, Trimodulin, Cytotec pregnancy, and AMBAR-Next in Phase III development stage; and AKST4290 that is in Phase II clinical development. Additionally, it offers recIG, Alpha-1 AT in non-cystic fibrosis bronchiectasis, ATIII, GIGA 2339, GIGA564, and OSIG. It has collaboration agreements with Canadian Blood Services for the processing of other plasma-derived products and with GIANT; and GigaGen to develop recombinant polyclonal immunoglobulin therapies. The company was founded in 1909 and is headquartered in Barcelona, Spain.

About ProPhase Labs

ProPhase Labs, Inc. develops and commercializes novel drugs, dietary supplements, and compounds in the United States. It operates through two segments: Diagnostic Services and Consumer Products. The company provides a range of TK supplements, including Legendz XL for male sexual health; and Triple Edge XL, an energy and stamina booster. It offers contract manufacturing services, such as product development, pre-commercialization, production, warehousing, and distribution; COVID-19 diagnostic information services to a range of customers, including health plans, third party payers, and government organizations; and respiratory pathogen panel molecular testing services, as well as personal genomics products and services. In addition, the company involved in the research, development, manufacture, distribution, marketing, and sale of over the counter (OTC) consumer healthcare products and dietary supplements; and retail operations. The company was formerly known as The Quigley Corporation. ProPhase Labs, Inc. was founded in 1989 and is headquartered in Garden City, New York.