Comparing Quoin Pharmaceuticals (NASDAQ:QNRX) & Phathom Pharmaceuticals (NASDAQ:PHAT)

Phathom Pharmaceuticals (NASDAQ:PHAT) and Quoin Pharmaceuticals (NASDAQ:QNRX) are both small-cap medical companies, but which is the superior business? We will contrast the two companies based on the strength of their profitability, earnings, analyst recommendations, institutional ownership, dividends, valuation and risk.

Valuation & Earnings

This table compares Phathom Pharmaceuticals and Quoin Pharmaceuticals”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Phathom Pharmaceuticals	$55.25 million	8.32	-$201.59 million	($5.35)	-1.23
Quoin Pharmaceuticals	N/A	N/A	-$8.69 million	($2.32)	-0.10

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

Risk and Volatility

Phathom Pharmaceuticals has a beta of 0.63, meaning that its stock price is 37% less volatile than the S&P 500. Comparatively, Quoin Pharmaceuticals has a beta of 1.82, meaning that its stock price is 82% more volatile than the S&P 500.

Institutional & Insider Ownership

99.0% of Phathom Pharmaceuticals shares are owned by institutional investors. Comparatively, 8.6% of Quoin Pharmaceuticals shares are owned by institutional investors. 24.1% of Phathom Pharmaceuticals shares are owned by company insiders. Comparatively, 3.7% of Quoin Pharmaceuticals shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Profitability

This table compares Phathom Pharmaceuticals and Quoin Pharmaceuticals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Phathom Pharmaceuticals	-1,292.14%	N/A	-79.57%
Quoin Pharmaceuticals	N/A	-125.60%	-64.77%

Analyst Recommendations

This is a summary of current ratings and target prices for Phathom Pharmaceuticals and Quoin Pharmaceuticals, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Phathom Pharmaceuticals	0	1	4	1	3.00
Quoin Pharmaceuticals	0	0	0	0	0.00

Phathom Pharmaceuticals currently has a consensus target price of $22.17, suggesting a potential upside of 235.86%. Given Phathom Pharmaceuticals’ stronger consensus rating and higher probable upside, equities research analysts plainly believe Phathom Pharmaceuticals is more favorable than Quoin Pharmaceuticals.

Summary

Phathom Pharmaceuticals beats Quoin Pharmaceuticals on 8 of the 14 factors compared between the two stocks.

About Phathom Pharmaceuticals

Phathom Pharmaceuticals, Inc., biopharmaceutical company, focuses on developing and commercializing treatments for gastrointestinal diseases. The company has the rights in the United States, Europe, and Canada for an investigational potassium-competitive acid blocker (P-CAB) that blocks acid secretion in the stomach. It is also developing vonoprazan for the treatment of erosive gastroesophageal reflux disease; and in combination with antibiotics for the treatment of Helicobacter pylori infection. The company was incorporated in 2018 and is headquartered in Florham Park, New Jersey.

About Quoin Pharmaceuticals

Quoin Pharmaceuticals, Ltd., a clinical stage specialty pharmaceutical company, focuses on the development and commercialization of therapeutic products for rare and orphan diseases. Its lead product is QRX003, a topical lotion to treat Netherton Syndrome (NS). The company is also developing QRX004 for the treatment of recessive dystrophic epidermolysis bullosa; QRX007 to treat NS; and QRX008 for the treatment of scleroderma. It has a research agreement with Queensland University of Technology; a license agreement with Skinvisible Inc.; consulting agreements with Axella Research LLC; and a Master Service Agreement with Therapeutics Inc. The company was founded in 2018 and is based in Ashburn, Virginia.