Analyzing Protalix BioTherapeutics (NYSE:PLX) and Turnstone Biologics (NASDAQ:TSBX)

Protalix BioTherapeutics (NYSE:PLX) and Turnstone Biologics (NASDAQ:TSBX) are both small-cap medical companies, but which is the superior stock? We will contrast the two companies based on the strength of their dividends, risk, earnings, profitability, valuation, analyst recommendations and institutional ownership.

Insider and Institutional Ownership

16.5% of Protalix BioTherapeutics shares are owned by institutional investors. Comparatively, 52.5% of Turnstone Biologics shares are owned by institutional investors. 6.3% of Protalix BioTherapeutics shares are owned by company insiders. Comparatively, 32.1% of Turnstone Biologics shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares Protalix BioTherapeutics and Turnstone Biologics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Protalix BioTherapeutics	-38.62%	-45.15%	-16.63%
Turnstone Biologics	N/A	-85.18%	-72.25%

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Protalix BioTherapeutics and Turnstone Biologics, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Protalix BioTherapeutics	0	0	1	0	3.00
Turnstone Biologics	0	1	1	0	2.50

Protalix BioTherapeutics currently has a consensus target price of $10.00, suggesting a potential upside of 817.43%. Turnstone Biologics has a consensus target price of $2.13, suggesting a potential upside of 334.47%. Given Protalix BioTherapeutics’ stronger consensus rating and higher possible upside, equities research analysts clearly believe Protalix BioTherapeutics is more favorable than Turnstone Biologics.

Risk & Volatility

Protalix BioTherapeutics has a beta of 0.7, suggesting that its share price is 30% less volatile than the S&P 500. Comparatively, Turnstone Biologics has a beta of 2.26, suggesting that its share price is 126% more volatile than the S&P 500.

Valuation and Earnings

This table compares Protalix BioTherapeutics and Turnstone Biologics”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Protalix BioTherapeutics	$65.49 million	1.22	$8.31 million	($0.20)	-5.45
Turnstone Biologics	$19.31 million	0.59	-$55.20 million	($10.14)	-0.05

Protalix BioTherapeutics has higher revenue and earnings than Turnstone Biologics. Protalix BioTherapeutics is trading at a lower price-to-earnings ratio than Turnstone Biologics, indicating that it is currently the more affordable of the two stocks.

Summary

Protalix BioTherapeutics beats Turnstone Biologics on 8 of the 13 factors compared between the two stocks.

About Protalix BioTherapeutics

Protalix BioTherapeutics, Inc., a biopharmaceutical company, engages in the development, production, and commercialization of recombinant therapeutic proteins based on its proprietary ProCellEx plant cell-based protein expression system in the United States, Australia, Canada, Israel, Brazil, Russia, Turkey, and internationally. The company offers Elelyso for the treatment of Gaucher disease; and Elfabrio for the treatment of adult patients with a confirmed diagnosis of Fabry disease. It is also developing PRX-115, a plant cell-expressed recombinant PEGylated Uricase which is in Phase I trial for the treatment of gout; and PRX-119, a plant cell-expressed PEGylated recombinant human DNase I product candidate that is in preclinical phase for the treatment of NETs-related diseases. The company has agreements and partnerships with Pfizer; Fundação Oswaldo Cruz; and Chiesi Farmaceutici S.p.A. The company was incorporated in 1993 and is headquartered in Karmiel, Israel. Protalix BioTherapeutics, Inc. is a subsidiary of Protalix Ltd.

About Turnstone Biologics

Turnstone Biologics Corp., a clinical stage biotechnology company, focuses on developing medicines to treat and cure patients with solid tumors. The company's lead product includes TIDAL-01 that is in Phase 1 clinical trials for the treatment of breast cancer, colorectal cancer, head and neck cancer and uveal melanoma, as well as an investigator sponsored trials to treat colorectal cancer, head and neck cancer, and cutaneous and non-cutaneous melanomas. It is also developing TIDAL-02, which is in preclinical development for the treatment of solid tumors. The company was founded in 2014 and is based in LA Jolla, California.