Analyzing Inhibikase Therapeutics (NYSE:IKT) and Fennec Pharmaceuticals (NASDAQ:FENC)

Fennec Pharmaceuticals (NASDAQ:FENC) and Inhibikase Therapeutics (NYSE:IKT) are both small-cap medical companies, but which is the superior stock? We will contrast the two companies based on the strength of their earnings, risk, analyst recommendations, dividends, valuation, profitability and institutional ownership.

Institutional and Insider Ownership

55.5% of Fennec Pharmaceuticals shares are owned by institutional investors. Comparatively, 3.8% of Inhibikase Therapeutics shares are owned by institutional investors. 11.0% of Fennec Pharmaceuticals shares are owned by company insiders. Comparatively, 14.7% of Inhibikase Therapeutics shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Volatility & Risk

Fennec Pharmaceuticals has a beta of 0.26, meaning that its stock price is 74% less volatile than the S&P 500. Comparatively, Inhibikase Therapeutics has a beta of 1.33, meaning that its stock price is 33% more volatile than the S&P 500.

Profitability

This table compares Fennec Pharmaceuticals and Inhibikase Therapeutics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Fennec Pharmaceuticals	5.59%	-53.38%	6.14%
Inhibikase Therapeutics	N/A	-194.17%	-140.64%

Analyst Ratings

This is a summary of recent ratings and target prices for Fennec Pharmaceuticals and Inhibikase Therapeutics, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Fennec Pharmaceuticals	0	0	3	0	3.00
Inhibikase Therapeutics	0	0	1	0	3.00

Fennec Pharmaceuticals currently has a consensus target price of $14.00, indicating a potential upside of 172.37%. Inhibikase Therapeutics has a consensus target price of $15.00, indicating a potential upside of 1,227.43%. Given Inhibikase Therapeutics’ higher possible upside, analysts plainly believe Inhibikase Therapeutics is more favorable than Fennec Pharmaceuticals.

Earnings and Valuation

This table compares Fennec Pharmaceuticals and Inhibikase Therapeutics”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Fennec Pharmaceuticals	$48.89 million	2.87	-$16.05 million	$0.03	171.33
Inhibikase Therapeutics	$260,000.00	32.42	-$19.03 million	($3.33)	-0.34

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

Summary

Fennec Pharmaceuticals beats Inhibikase Therapeutics on 9 of the 13 factors compared between the two stocks.

About Fennec Pharmaceuticals

Fennec Pharmaceuticals Inc., a biopharmaceutical company, develops product candidates for use in the treatment of cancer in the United States. Its lead product candidate is the Sodium Thiosulfate, which has completed the Phase III clinical trial for the prevention of cisplatin induced hearing loss or ototoxicity in children. The company was formerly known as Adherex Technologies Inc. and changed its name to Fennec Pharmaceuticals Inc. in September 2014. Fennec Pharmaceuticals Inc. was founded in 1996 and is based in Research Triangle Park, North Carolina.

About Inhibikase Therapeutics

Inhibikase Therapeutics, Inc., a clinical-stage pharmaceutical company, develops therapeutics for Parkinson's disease and related disorders. Its lead product candidate is IkT-148009, a non-receptor Abelson tyrosine kinase inhibitor, which is in Phase 2a clinical trials to the treatment of Parkinson's disease and gastrointestinal tract. The company is also developing IkT-001Pro, a prodrug of the anticancer agent imatinib mesylate to treat stable phase chronic myelogenous leukemia. Inhibikase Therapeutics, Inc. has research and development collaborations with Johns Hopkins University, Arizona State University, and Michigan State University; and a collaborative research and development agreement with Sphaera Pharma Pte. Ltd. The company was founded in 2008 and is headquartered in Atlanta, Georgia.