Innoviva (NASDAQ:INVA) versus Roche (OTCMKTS:RHHBY) Head to Head Review

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

Analyst Ratings

This is a breakdown of recent recommendations for Innoviva and Roche, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Innoviva	0	0	4	0	3.00
Roche	1	3	1	2	2.57

Innoviva presently has a consensus price target of $42.75, suggesting a potential upside of 112.79%. Given Innoviva’s stronger consensus rating and higher possible upside, equities analysts plainly believe Innoviva is more favorable than Roche.

Risk and Volatility

Innoviva has a beta of 0.38, indicating that its stock price is 62% less volatile than the S&P 500. Comparatively, Roche has a beta of 0.46, indicating that its stock price is 54% less volatile than the S&P 500.

Profitability

This table compares Innoviva and Roche’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Innoviva	10.44%	18.67%	9.92%
Roche	N/A	N/A	N/A

Insider & Institutional Ownership

99.1% of Innoviva shares are held by institutional investors. 2.3% of Innoviva shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Earnings & Valuation

This table compares Innoviva and Roche”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Innoviva	$358.71 million	3.52	$23.39 million	$0.31	64.81
Roche	$68.73 billion	3.53	$9.40 billion	N/A	N/A

Roche has higher revenue and earnings than Innoviva.

Summary

Innoviva beats Roche on 8 of the 13 factors compared between the two stocks.

About Innoviva

Innoviva, Inc. engages in the development and commercialization of pharmaceutical products in the United States and internationally. The company’s products include RELVAR/BREO ELLIPTA, a once-daily combination medicine consisting of a LABA, vilanterol (VI), an inhaled corticosteroid (ICS), and fluticasone furoate; ANORO ELLIPTA, a once-daily medicine combining a long-acting muscarinic antagonist (LAMA) and umeclidinium bromide (UMEC) with a LABA, VI; GIAPREZA (angiotensin II), a vasoconstrictor to increase blood pressure in adults with septic or other distributive shock; XERAVA (eravacycline) for the treatment of complicated intra-abdominal infections in adults; and XACDURO, a beta lactamase inhibitor for the treatment of hospital-acquired bacterial pneumonia and ventilator-associated bacterial pneumonia. Its development pipeline includes zoliflodacin, a late-stage product candidate, a potential single oral dose cure for the treatment of uncomplicated gonorrhea. Innoviva, Inc. has a strategic partnership with Sarissa Capital Management LP. It has long-acting beta2 agonist (LABA) collaboration agreement with Glaxo Group Limited to develop and commercialize once-daily products for the treatment of chronic obstructive pulmonary disease and asthma. The company was formerly known as Theravance, Inc. and changed its name to Innoviva, Inc. in January 2016. Innoviva, Inc. was incorporated in 1996 and is headquartered in Burlingame, California.

About Roche

Roche Holding AG engages in the pharmaceuticals and diagnostics businesses in Europe, North America, Latin America, Asia, Africa, Australia, and Oceania. The company offers pharmaceutical products in the therapeutic areas of anemia, blood and solid tumors, dermatology, hemophilia, inflammatory and autoimmune, neurological disorders, ophthalmology, respiratory disorders, and transplantation. It is also developing products for various therapeutic areas. In addition, it offers in vitro tests for the diagnosis of various diseases, such as cancer, diabetes, Covid-19, hepatitis, human papillomavirus, and other diseases; diagnostic instruments; and digital health solutions. Roche Holding AG was founded in 1896 and is based in Basel, Switzerland.