Contrasting Oragenics (NYSE:OGEN) and XOMA (NASDAQ:XOMA)

XOMA (NASDAQ:XOMA) and Oragenics (NYSE:OGEN) are both small-cap medical companies, but which is the better investment? We will contrast the two businesses based on the strength of their earnings, profitability, valuation, analyst recommendations, risk, institutional ownership and dividends.

Analyst Ratings

This is a breakdown of recent ratings for XOMA and Oragenics, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
XOMA	0	0	3	0	3.00
Oragenics	0	0	0	0	0.00

XOMA currently has a consensus price target of $81.50, suggesting a potential upside of 223.80%. Given XOMA’s stronger consensus rating and higher possible upside, equities research analysts plainly believe XOMA is more favorable than Oragenics.

Profitability

This table compares XOMA and Oragenics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
XOMA	-151.34%	-24.95%	-9.64%
Oragenics	N/A	-2,087.95%	-486.56%

Institutional and Insider Ownership

95.9% of XOMA shares are owned by institutional investors. Comparatively, 18.7% of Oragenics shares are owned by institutional investors. 7.2% of XOMA shares are owned by insiders. Comparatively, 10.1% of Oragenics shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Volatility and Risk

XOMA has a beta of 0.92, meaning that its stock price is 8% less volatile than the S&P 500. Comparatively, Oragenics has a beta of 0.4, meaning that its stock price is 60% less volatile than the S&P 500.

Valuation and Earnings

This table compares XOMA and Oragenics”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
XOMA	$9.71 million	30.54	-$40.83 million	($3.48)	-7.23
Oragenics	$40,000.00	97.70	-$20.66 million	($7.07)	-0.05

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

Summary

XOMA beats Oragenics on 9 of the 14 factors compared between the two stocks.

About XOMA

XOMA Corporation operates as a biotech royalty aggregator in the United States and the Asia Pacific. It has a portfolio of economic rights to future potential milestone and royalty payments associated with partnered commercial and pre-commercial therapeutic candidates. The company also focuses on early to mid-stage clinical assets primarily in Phase 1 and 2 with commercial sales potential that are licensed to partners; and acquires milestone and royalty revenue streams on late-stage clinical or commercial assets. It has a portfolio with various assets. XOMA Corporation was incorporated in 1981 and is headquartered in Emeryville, California.

About Oragenics

Oragenics, Inc., a development-stage company, engages in the research and development of antibiotics for infectious diseases in the United States. The company engages in the development and commercialization of NT-CoV2-1, an intranasal vaccine candidate that provides immunity from the novel severe acute respiratory syndrome coronavirus. The company's product candidates also comprise LPT3-04, a weight loss candidate; and SMaRT Replacement Therapy, a topical treatment to prevent dental carries. It has a license agreement with Noachis Terra Inc. for licensing of certain specified patent rights and biological materials relating to the use of pre-fusion coronavirus spike proteins; and a collaboration agreement ILH Holdings, Inc. for the development and commercialization of MU1140 and related homologs. The company was formerly known as Oragen, Inc. Oragenics, Inc. was incorporated in 1996 and is headquartered in Tampa, Florida.