Critical Comparison: JanOne (NASDAQ:JAN) vs. Cerevel Therapeutics (NASDAQ:CERE)

Cerevel Therapeutics (NASDAQ:CERE) and JanOne (NASDAQ:JAN) are both medical companies, but which is the superior business? We will compare the two companies based on the strength of their earnings, dividends, risk, institutional ownership, valuation, profitability and analyst recommendations.

Profitability

This table compares Cerevel Therapeutics and JanOne’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Cerevel Therapeutics	N/A	-98.94%	-45.07%
JanOne	N/A	-359.71%	-70.26%

Volatility and Risk

Cerevel Therapeutics has a beta of 1.4, indicating that its stock price is 40% more volatile than the S&P 500. Comparatively, JanOne has a beta of 2.16, indicating that its stock price is 116% more volatile than the S&P 500.

Valuation and Earnings

This table compares Cerevel Therapeutics and JanOne’s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Cerevel Therapeutics	N/A	N/A	-$432.84 million	($2.73)	-16.47
JanOne	$39.61 million	0.00	-$7.81 million	N/A	N/A

JanOne has higher revenue and earnings than Cerevel Therapeutics.

Insider & Institutional Ownership

87.7% of Cerevel Therapeutics shares are owned by institutional investors. Comparatively, 6.3% of JanOne shares are owned by institutional investors. 5.1% of Cerevel Therapeutics shares are owned by company insiders. Comparatively, 3.0% of JanOne shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Analyst Recommendations

This is a summary of recent ratings and price targets for Cerevel Therapeutics and JanOne, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Cerevel Therapeutics	0	7	1	0	2.13
JanOne	0	0	0	0	N/A

Cerevel Therapeutics presently has a consensus price target of $44.13, suggesting a potential downside of 1.86%.

Summary

Cerevel Therapeutics beats JanOne on 5 of the 8 factors compared between the two stocks.

About Cerevel Therapeutics

Cerevel Therapeutics Holdings, Inc., a clinical-stage biopharmaceutical company, develops various therapies for neuroscience diseases in the United States. It is developing Emraclidine, a positive allosteric modulator (PAM) that is in phase 1b clinical trials for the treatment of schizophrenia; and Darigabat, a PAM, which is in Phase 2 proof-of-concept trial in patients with drug-resistant focal onset seizures or focal epilepsy, as well as in phase 1 trial to treat panic symptoms model. The company's products also comprise Tavapadon, a selective dopamine D1/D5 partial agonist that is in phase 3 clinical trial for the treatment of early- and late-stage Parkinson's disease; CVL-871, a selective dopamine D1/D5 partial agonist, which is in Phase 2a clinical trial to treat dementia-related apathy; and CVL-354, a selective kappa-opioid receptor antagonist to treat major depressive disorder and substance use disorder. It is also involved in the development of an M4 agonist program for the treatment of psychosis and related indications; and PDE4 inhibitor for the treatment of psychiatric, neuroinflammatory, and other disorders. Cerevel Therapeutics Holdings, Inc. was founded in 2018 and is headquartered in Cambridge, Massachusetts.

About JanOne

JanOne Inc., a clinical-stage biopharmaceutical company, focuses on identifying, acquiring, licensing, developing, partnering, and commercializing novel, non-opioid, and non-addictive therapies to address the unmet medical need for the treatment of pain and addiction. It operates through Biotechnology and Recycling segments. The company's lead product candidate is JAN101, a patented oral and sustained release pharmaceutical composition of sodium nitrite that targets poor blood flow to the extremities in patients with diabetes or peripheral artery disease to treat pain. It also provides turnkey appliance recycling and replacement services for utilities and other sponsors of energy efficiency programs. The company was formerly known as Appliance Recycling Centers of America, Inc. and changed its name to JanOne Inc. in September 2019. JanOne Inc. was founded in 1976 and is headquartered in Las Vegas, Nevada.