Comparing Theravance Biopharma (NASDAQ:TBPH) & Amylyx Pharmaceuticals (NASDAQ:AMLX)

Amylyx Pharmaceuticals (NASDAQ:AMLX) and Theravance Biopharma (NASDAQ:TBPH) are both small-cap medical companies, but which is the superior investment? We will contrast the two businesses based on the strength of their profitability, risk, dividends, valuation, analyst recommendations, earnings and institutional ownership.

Analyst Ratings

This is a summary of recent ratings and price targets for Amylyx Pharmaceuticals and Theravance Biopharma, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Amylyx Pharmaceuticals	1	2	8	2	2.85
Theravance Biopharma	0	2	3	2	3.00

Amylyx Pharmaceuticals currently has a consensus target price of $18.25, indicating a potential upside of 27.18%. Theravance Biopharma has a consensus target price of $27.80, indicating a potential upside of 42.49%. Given Theravance Biopharma’s stronger consensus rating and higher probable upside, analysts plainly believe Theravance Biopharma is more favorable than Amylyx Pharmaceuticals.

Insider and Institutional Ownership

95.8% of Amylyx Pharmaceuticals shares are owned by institutional investors. Comparatively, 99.1% of Theravance Biopharma shares are owned by institutional investors. 12.3% of Amylyx Pharmaceuticals shares are owned by insiders. Comparatively, 6.9% of Theravance Biopharma shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Risk & Volatility

Amylyx Pharmaceuticals has a beta of -0.31, indicating that its share price is 131% less volatile than the S&P 500. Comparatively, Theravance Biopharma has a beta of 0.15, indicating that its share price is 85% less volatile than the S&P 500.

Earnings & Valuation

This table compares Amylyx Pharmaceuticals and Theravance Biopharma”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Amylyx Pharmaceuticals	$87.37 million	18.04	-$301.74 million	($1.80)	-7.97
Theravance Biopharma	$64.38 million	15.36	-$56.42 million	$0.57	34.23

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

Profitability

This table compares Amylyx Pharmaceuticals and Theravance Biopharma’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Amylyx Pharmaceuticals	N/A	-68.95%	-61.52%
Theravance Biopharma	36.53%	12.20%	6.33%

Summary

Theravance Biopharma beats Amylyx Pharmaceuticals on 10 of the 14 factors compared between the two stocks.

About Amylyx Pharmaceuticals

Amylyx Pharmaceuticals, Inc., a commercial-stage biotechnology company, engages in the discovery and development of treatment for amyotrophic lateral sclerosis (ALS) and neurodegenerative diseases. The company's products include RELYVRIO, a dual UPR-Bax apoptosis inhibitor composed of sodium phenylbutyrate and taurursodiol for the treatment of ALS in adults in the United States and marketed as ALBRIOZA for the treatment of ALS in Canada. It is also developing AMX0114 for other neurodegenerative diseases. Amylyx Pharmaceuticals, Inc. was founded in 2013 and is headquartered in Cambridge, Massachusetts.

About Theravance Biopharma

Theravance Biopharma, Inc. is a diversified biopharmaceutical company primarily focused on the discovery, development and commercialization of organ-selective medicines. Its purpose is to pioneer a new generation of small molecule drugs designed to better meet patient needs. Its research is focused in the areas of inflammation and immunology.
In pursuit of its purpose, Theravance Biopharma applies insights and innovation at each stage of its business and utilizes its internal capabilities and those of partners around the world. The Company applies organ-selective expertise to target disease biologically, to discover and develop medicines that may expand the therapeutic index with the goal of maximizing efficacy and limiting systemic side effects. These efforts leverage years of experience in developing lung-selective medicines to treat respiratory disease, including FDA-approved YUPELRI® (revefenacin) inhalation solution indicated for the maintenance treatment of patients with chronic obstructive pulmonary disease (COPD). Its pipeline of internally discovered programs is targeted to address significant patient needs.
Theravance Biopharma has an economic interest in potential future payments from Glaxo Group Limited or one of its affiliates (GSK) pursuant to its agreements with Innoviva, Inc. relating to certain programs, including TRELEGY.
For more information, please visit www.theravance.com.