NRx Pharmaceuticals (NASDAQ:NRXP) versus Lexaria Bioscience (NASDAQ:LEXX) Financial Contrast

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

Volatility and Risk

Lexaria Bioscience has a beta of 0.99, meaning that its share price is 1% less volatile than the S&P 500. Comparatively, NRx Pharmaceuticals has a beta of 1.25, meaning that its share price is 25% more volatile than the S&P 500.

Profitability

This table compares Lexaria Bioscience and NRx Pharmaceuticals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Lexaria Bioscience	-1,249.14%	-86.10%	-80.32%
NRx Pharmaceuticals	N/A	N/A	-449.16%

Valuation & Earnings

This table compares Lexaria Bioscience and NRx Pharmaceuticals”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Lexaria Bioscience	$464,278.00	86.08	-$5.80 million	($0.47)	-4.87
NRx Pharmaceuticals	N/A	N/A	-$30.15 million	($2.14)	-1.39

Lexaria Bioscience has higher revenue and earnings than NRx Pharmaceuticals. Lexaria Bioscience is trading at a lower price-to-earnings ratio than NRx Pharmaceuticals, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of recent recommendations for Lexaria Bioscience and NRx Pharmaceuticals, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Lexaria Bioscience	0	0	2	0	3.00
NRx Pharmaceuticals	0	0	3	1	3.25

Lexaria Bioscience presently has a consensus target price of $11.00, suggesting a potential upside of 380.35%. NRx Pharmaceuticals has a consensus target price of $31.67, suggesting a potential upside of 962.64%. Given NRx Pharmaceuticals’ stronger consensus rating and higher probable upside, analysts plainly believe NRx Pharmaceuticals is more favorable than Lexaria Bioscience.

Insider and Institutional Ownership

13.1% of Lexaria Bioscience shares are owned by institutional investors. Comparatively, 4.3% of NRx Pharmaceuticals shares are owned by institutional investors. 26.4% of Lexaria Bioscience shares are owned by insiders. Comparatively, 19.0% of NRx Pharmaceuticals shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Summary

NRx Pharmaceuticals beats Lexaria Bioscience on 8 of the 14 factors compared between the two stocks.

About Lexaria Bioscience

Lexaria Bioscience Corp. operates as a biotechnology company. It develops and out-licenses its patented drug delivery technology, DehydraTECH, which combines lipophilic molecules or active pharmaceutical ingredients with specific long-chain fatty acids and carrier compounds that improve the way they enter the bloodstream, increasing their effectiveness and allowing for lower overall dosing while promoting healthier oral ingestion methods. The company's DehydraTECH is used with a range of active molecules encompassing fat-soluble vitamins, pain medications, hormones, PDE5 inhibitors, antivirals, oral nicotine and its analogs, and cannabinoids. Its DehydraTECH technology evaluates therapeutic indications, including hypertension, heart disease, and diabetes; and is suitable for a variety of product formats, such as pharmaceuticals, nutraceuticals, over the counter, and consumer packaged goods. Lexaria Bioscience Corp. was incorporated in 2004 and is headquartered in Kelowna, Canada.

About NRx Pharmaceuticals

NRx Pharmaceuticals, Inc., a clinical-stage bio-pharmaceutical company, develops novel therapeutics for the treatment of central nervous system disorders, including suicidal depression, post-traumatic stress disorder, and chronic pain. Its products include NRX-101 (D-cycloserine/Lurasidone), an oral, fixed dosed combination of D-cycloserine and lurasidone that earned food and drug administration-designated breakthrough therapy for suicidal treatment-resistant bipolar depression; and NRX-100 (ketamine), which has been awarded FDA fast track designation for the treatment of severe bipolar depression with acute suicidal ideation and behavior. The company has a partnership with Alvogen Inc. and Lotus Pharmaceutical Company; development and manufacturing agreement with Nephron Pharmaceuticals, Inc. and Alcami; license agreement with Apkarian Technologies; development and license agreement with Glytech; license agreement with Sarah Herzog Memorial Hospital. The company was founded in 2015 and is based in Wilmington, Delaware.