Head-To-Head Analysis: Aeterna Zentaris (NASDAQ:AEZS) & GT Biopharma (NASDAQ:GTBP)

Aeterna Zentaris (NASDAQ:AEZS) and GT Biopharma (NASDAQ:GTBP) are both small-cap medical companies, but which is the better stock? We will contrast the two companies based on the strength of their institutional ownership, analyst recommendations, risk, profitability, valuation, earnings and dividends.

Risk and Volatility

Aeterna Zentaris has a beta of 1.55, suggesting that its share price is 55% more volatile than the S&P 500. Comparatively, GT Biopharma has a beta of 0.59, suggesting that its share price is 41% less volatile than the S&P 500.

Institutional and Insider Ownership

0.7% of Aeterna Zentaris shares are owned by institutional investors. Comparatively, 8.1% of GT Biopharma shares are owned by institutional investors. 0.1% of Aeterna Zentaris shares are owned by company insiders. Comparatively, 10.9% of GT Biopharma shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Earnings and Valuation

This table compares Aeterna Zentaris and GT Biopharma”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Aeterna Zentaris	$2.37 million	2.08	-$16.55 million	($14.86)	-0.19
GT Biopharma	N/A	N/A	-$7.60 million	($7.00)	-0.35

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

Analyst Ratings

This is a breakdown of recent ratings and price targets for Aeterna Zentaris and GT Biopharma, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Aeterna Zentaris	0	0	0	0	0.00
GT Biopharma	0	0	1	1	3.50

GT Biopharma has a consensus target price of $11.00, indicating a potential upside of 343.55%. Given GT Biopharma’s stronger consensus rating and higher possible upside, analysts plainly believe GT Biopharma is more favorable than Aeterna Zentaris.

Profitability

This table compares Aeterna Zentaris and GT Biopharma’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Aeterna Zentaris	-760.32%	-83.45%	-45.76%
GT Biopharma	N/A	-257.47%	-131.09%

Summary

GT Biopharma beats Aeterna Zentaris on 9 of the 14 factors compared between the two stocks.

About Aeterna Zentaris

Aeterna Zentaris Inc., a specialty biopharmaceutical company, engages in developing and commercializing therapeutics and diagnostic tests in Canada, Switzerland, Ireland, Denmark, Germany, the United States, and internationally. Its lead product is Macrilen (macimorelin), an orally available peptidomimetic ghrelin receptor (GHSR-1a) agonist that stimulates the secretion of growth hormone by binding to the GHSR-1a for the diagnosis of patients with adult growth hormone deficiency and childhood-onset growth hormone deficiency, as well as endocrinology and oncology indications; AEZS-150, a delayed clearance parathyroid hormone fusion polypeptide that is in preclinical trial for the treatment of chronic hypoparathyroidism; and AEZS-130 that is in preclinical trial for the treatment of amyotrophic lateral sclerosis. The company also has a license and research agreement with University of Wuerzburg to develop, manufacture, and commercialize AIM biologicals for the treatment of neuromyelitis optica spectrum disorder; and for pre-clinical development towards the potential treatment of Parkinson's disease. In addition, it has a license agreement with Consilient Health Ltd. and NK MEDITECH Ltd. for the development and commercialization of macimorelin; a distribution and commercialization agreement with Er-Kim Pharmaceuticals Bulgaria Eood for the commercialization of macimorelin for the diagnosis of growth hormone deficiency in children and adults; as well as The University of Sheffield, the United Kingdom for the development, manufacture, and commercialization of parathyroid hormone fusion polypeptides for the treatment of chronic hypoparathyroidism. Aeterna Zentaris Inc. was incorporated in 1990 and is headquartered in Toronto, Canada.

About GT Biopharma

GT Biopharma, Inc., a clinical stage biopharmaceutical company, focuses on the development and commercialization of immuno-oncology products based on its proprietary Tri-specific Killer Engager (TriKE) fusion protein immune cell engager technology platform. It develops GTB-3550, a single-chain tri-specific recombinant fusion protein conjugate that is in Phase I clinical trial for the treatment of myelodysplastic syndromes, refractory/relapsed acute myeloid leukemia or advanced systemic mastocytosis, and CD33+ malignancies. The company is developing GTB-3650, which is in preclinical studies that target CD33 on the surface of myeloid leukemias; and GTB-5550 that is in preclinical studies for treating patients with B7-H3 positive solid tumors. GT Biopharma, Inc. has a co-development partnership agreement with Altor BioScience Corporation for the clinical development of a 161533 (GTB-3550) TriKE fusion protein for cancer therapies; and a license agreement with the Regents of the University of Minnesota to develop and commercialize cancer therapies using TriKE technology. The company was formerly known as OXIS International, Inc. and changed its name to GT Biopharma, Inc. in July 2017. GT Biopharma, Inc. was incorporated in 1965 and is based in Brisbane, California.