Reviewing Xeris Biopharma (NASDAQ:XERS) and Soleno Therapeutics (NASDAQ:SLNO)

Soleno Therapeutics (NASDAQ:SLNO) and Xeris Biopharma (NASDAQ:XERS) are both medical companies, but which is the better investment? We will contrast the two businesses based on the strength of their dividends, earnings, institutional ownership, analyst recommendations, risk, valuation and profitability.

Risk & Volatility

Soleno Therapeutics has a beta of -3.12, meaning that its stock price is 412% less volatile than the S&P 500. Comparatively, Xeris Biopharma has a beta of 0.5, meaning that its stock price is 50% less volatile than the S&P 500.

Earnings & Valuation

This table compares Soleno Therapeutics and Xeris Biopharma”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Soleno Therapeutics	N/A	N/A	-$175.85 million	($1.84)	-20.96
Xeris Biopharma	$203.07 million	6.01	-$54.84 million	($0.10)	-73.60

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

Profitability

This table compares Soleno Therapeutics and Xeris Biopharma’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Soleno Therapeutics	N/A	-25.88%	-19.84%
Xeris Biopharma	-5.88%	N/A	-4.66%

Insider & Institutional Ownership

97.4% of Soleno Therapeutics shares are owned by institutional investors. Comparatively, 42.8% of Xeris Biopharma shares are owned by institutional investors. 6.4% of Soleno Therapeutics shares are owned by insiders. Comparatively, 6.5% of Xeris Biopharma shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of recent ratings and recommmendations for Soleno Therapeutics and Xeris Biopharma, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Soleno Therapeutics	1	0	12	2	3.00
Xeris Biopharma	1	2	5	0	2.50

Soleno Therapeutics currently has a consensus price target of $110.62, indicating a potential upside of 186.87%. Xeris Biopharma has a consensus price target of $10.08, indicating a potential upside of 37.00%. Given Soleno Therapeutics’ stronger consensus rating and higher possible upside, equities research analysts clearly believe Soleno Therapeutics is more favorable than Xeris Biopharma.

About Soleno Therapeutics

Soleno Therapeutics, Inc., a clinical-stage biopharmaceutical company, focuses on the development and commercialization of novel therapeutics for the treatment of rare diseases. Its lead candidate is Diazoxide Choline Extended-Release tablets, a once-daily oral tablet, which is in Phase III clinical trials for the treatment of Prader-Willi Syndrome. The company was formerly known as Capnia, Inc. and changed its name to Soleno Therapeutics, Inc. in May 2017. Soleno Therapeutics, Inc. was incorporated in 1999 and is based in Redwood City, California.

About Xeris Biopharma

Xeris Biopharma Holdings, Inc., a biopharmaceutical company, engages in developing and commercializing therapies in Illinois. The company offers Gvoke, a ready-to-use liquid-stable glucagon for the treatment of severe hypoglycemia pediatric and adult patients; Keveyis, a therapy for the treatment of hyperkalemic, hypokalemic, and related variants of primary periodic paralysis; and Recorlev, a cortisol synthesis inhibitor proved for the treatment of endogenous hypercortisolemia in adult patients with Cushing's syndrome. It is also developing XP-8121, a once-weekly subcutaneous injection of levothyroxine that is in phase I clinical trial for the treatment of hypothyroidism; and non-aqueous XeriSol and XeriJect technologies for various therapies. The company was incorporated in 2005 and is headquartered in Chicago, Illinois.