Eton Pharmaceuticals (NASDAQ:ETON – Get Free Report) and Innoviva (NASDAQ:INVA – Get Free Report) are both small-cap healthcare companies, but which is the better business? We will contrast the two companies based on the strength of their profitability, institutional ownership, earnings, risk, analyst recommendations, dividends and valuation.
Analyst Ratings
This is a breakdown of recent ratings and target prices for Eton Pharmaceuticals and Innoviva, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Eton Pharmaceuticals | 0 | 2 | 4 | 0 | 2.67 |
| Innoviva | 1 | 1 | 5 | 0 | 2.57 |
Eton Pharmaceuticals presently has a consensus price target of $67.50, suggesting a potential upside of 16.71%. Innoviva has a consensus price target of $34.80, suggesting a potential upside of 70.80%. Given Innoviva’s higher possible upside, analysts clearly believe Innoviva is more favorable than Eton Pharmaceuticals.
Profitability
| Net Margins | Return on Equity | Return on Assets | |
| Eton Pharmaceuticals | 12.02% | 40.13% | 12.37% |
| Innoviva | 81.19% | 28.03% | 20.19% |
Earnings & Valuation
This table compares Eton Pharmaceuticals and Innoviva”s gross revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Eton Pharmaceuticals | $79.95 million | 20.67 | -$4.60 million | $0.38 | 152.20 |
| Innoviva | $411.33 million | 3.58 | $271.17 million | $4.10 | 4.97 |
Innoviva has higher revenue and earnings than Eton Pharmaceuticals. Innoviva is trading at a lower price-to-earnings ratio than Eton Pharmaceuticals, indicating that it is currently the more affordable of the two stocks.
Risk & Volatility
Eton Pharmaceuticals has a beta of 0.9, indicating that its stock price is 10% less volatile than the S&P 500. Comparatively, Innoviva has a beta of 0.33, indicating that its stock price is 67% less volatile than the S&P 500.
Institutional & Insider Ownership
27.9% of Eton Pharmaceuticals shares are held by institutional investors. Comparatively, 99.1% of Innoviva shares are held by institutional investors. 16.5% of Eton Pharmaceuticals shares are held by insiders. Comparatively, 2.0% of Innoviva shares are held 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.
Summary
Innoviva beats Eton Pharmaceuticals on 8 of the 14 factors compared between the two stocks.
About Eton Pharmaceuticals
Eton Pharmaceuticals, Inc., a specialty pharmaceutical company, focuses on developing, acquiring, and commercializing pharmaceutical products for rare diseases. The company offers ALKINDI SPRINKLE, a replacement therapy for adrenocortical insufficiency in children under 17 years of age; Carglumic Acid for the treatment of acute and chronic hyperammonemia due to N-acetylglutamate Synthase deficiency; Betaine Anhydrous for the treatment of homocystinuria; and Nitisinone for the treatment of tyrosinemia type 1. It also provides Zeneo hydrocortisone autoinjector for the treatment of adrenal crisis. Eton Pharmaceuticals, Inc. was incorporated in 2017 and is based in Deer Park, Illinois.
About Innoviva
Innoviva, Inc. engages in the development and commercialization of pharmaceutical products in the United States and internationally. The company’s products include RELVAR/BREO ELLIPTA, a once-daily combination medicine consisting of a LABA, vilanterol (VI), an inhaled corticosteroid (ICS), and fluticasone furoate; ANORO ELLIPTA, a once-daily medicine combining a long-acting muscarinic antagonist (LAMA) and umeclidinium bromide (UMEC) with a LABA, VI; GIAPREZA (angiotensin II), a vasoconstrictor to increase blood pressure in adults with septic or other distributive shock; XERAVA (eravacycline) for the treatment of complicated intra-abdominal infections in adults; and XACDURO, a beta lactamase inhibitor for the treatment of hospital-acquired bacterial pneumonia and ventilator-associated bacterial pneumonia. Its development pipeline includes zoliflodacin, a late-stage product candidate, a potential single oral dose cure for the treatment of uncomplicated gonorrhea. Innoviva, Inc. has a strategic partnership with Sarissa Capital Management LP. It has long-acting beta2 agonist (LABA) collaboration agreement with Glaxo Group Limited to develop and commercialize once-daily products for the treatment of chronic obstructive pulmonary disease and asthma. The company was formerly known as Theravance, Inc. and changed its name to Innoviva, Inc. in January 2016. Innoviva, Inc. was incorporated in 1996 and is headquartered in Burlingame, California.
Receive News & Ratings for Eton Pharmaceuticals Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Eton Pharmaceuticals and related companies with MarketBeat.com's FREE daily email newsletter.
-logo-1200x675.jpg){kind=logo}
