Alkermes (NASDAQ:ALKS) & Intellipharmaceutics International (OTCMKTS:IPCIF) Financial Analysis

Alkermes (NASDAQ:ALKS) and Intellipharmaceutics International (OTCMKTS:IPCIF) are both medical companies, but which is the superior investment? We will contrast the two businesses based on the strength of their institutional ownership, earnings, risk, profitability, valuation, analyst recommendations and dividends.

Earnings and Valuation

This table compares Alkermes and Intellipharmaceutics International”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Alkermes	$1.56 billion	3.69	$367.07 million	$2.17	16.28
Intellipharmaceutics International	$660,000.00	0.00	-$2.89 million	($0.16)	N/A

Alkermes has higher revenue and earnings than Intellipharmaceutics International. Intellipharmaceutics International is trading at a lower price-to-earnings ratio than Alkermes, indicating that it is currently the more affordable of the two stocks.

Insider and Institutional Ownership

95.2% of Alkermes shares are held by institutional investors. 4.9% of Alkermes shares are held by insiders. Comparatively, 1.8% of Intellipharmaceutics International shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Profitability

This table compares Alkermes and Intellipharmaceutics International’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Alkermes	23.57%	30.80%	19.09%
Intellipharmaceutics International	N/A	N/A	N/A

Risk and Volatility

Alkermes has a beta of 0.49, meaning that its stock price is 51% less volatile than the S&P 500. Comparatively, Intellipharmaceutics International has a beta of 1.53, meaning that its stock price is 53% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent ratings for Alkermes and Intellipharmaceutics International, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Alkermes	0	2	9	0	2.82
Intellipharmaceutics International	0	0	0	0	0.00

Alkermes currently has a consensus price target of $38.36, indicating a potential upside of 8.60%. Given Alkermes’ stronger consensus rating and higher possible upside, analysts plainly believe Alkermes is more favorable than Intellipharmaceutics International.

Summary

Alkermes beats Intellipharmaceutics International on 12 of the 13 factors compared between the two stocks.

About Alkermes

Alkermes plc, a biopharmaceutical company, researches, develops, and commercializes pharmaceutical products to address unmet medical needs of patients in therapeutic areas in the United States, Ireland, and internationally. It has a portfolio of proprietary commercial products for the treatment of alcohol dependence, opioid dependence, schizophrenia and bipolar I disorder and a pipeline of clinical and preclinical product candidates in development for neurological disorders. Its marketed products include ARISTADA, an intramuscular injectable suspension for the treatment of schizophrenia; ARISTADA INITIO for the treatment of schizophrenia in adults; VIVITROL for the treatment of alcohol and prevention of opioid dependence; and LYBALVI, an oral atypical antipsychotic drug candidate for the treatment of adults with schizophrenia and bipolar I disorder. It has collaboration agreements primarily with Janssen Pharmaceutica N.V., Janssen Pharmaceutica Inc, and Janssen Pharmaceutica International. The company also offers proprietary technology platforms to third parties to enable them to develop, commercialize, and manufacture products. Alkermes plc was founded in 1987 and is headquartered in Dublin, Ireland.

About Intellipharmaceutics International

Intellipharmaceutics International Inc., a pharmaceutical company, researches, develops, and manufactures novel and generic controlled-release and targeted-release oral solid dosage drugs in the United States. It develops various drug delivery systems, product candidates, and a pipeline of products based on its patented Hypermatrix technology in various therapeutic areas, including neurology, cardiovascular, gastrointestinal tract, diabetes, and pain. The company offers Focalin XR, a dexmethylphenidate hydrochloride extended-release capsule for hyperactivity disorder; Keppra XR, a levetiracetam extended-release tablet for the treatment of partial onset seizures in patients with epilepsy; Effexor XR, a venlafaxine hydrochloride extended-release capsule to treat depression; and Protonix, a pantoprazole sodium delayed-release tablet to treat gastroesophageal reflux disease. In addition, it provides Glucophage XR, a metformin hydrochloride extended-release tablet that treats type 2 diabetes; Seroquel XR, a quetiapine fumarate extended-release tablet for the treatment of schizophrenia, bipolar disorder, and major depressive disorders; Lamictal XR, a lamotrigine extended release tablet to treat epilepsy; Pristiq, a desvenlafaxine extended-release tablet to treat depression; Coreg CR, a carvedilol phosphate extended-release capsule for heart failure and hypertension; and Ranexa, a ranolazine extended release tablet for chronic angina. Further, the company is developing OxyContin, an oxycodone hydrochloride controlled-release capsule for pain; OxyContin, an oxycodone hydrochloride controlled-release capsule for pain; and Regabatin XR, a pregabalin extended-release capsule for the management of neuropathic pain. It has a license and commercialization agreement with Par Pharmaceutical Inc. Intellipharmaceutics International Inc. was founded in 1998 and is based in Toronto, Canada.