Atea Pharmaceuticals (NASDAQ:AVIR) versus Collegium Pharmaceutical (NASDAQ:COLL) Head-To-Head Comparison

Collegium Pharmaceutical (NASDAQ:COLL) and Atea Pharmaceuticals (NASDAQ:AVIR) are both small-cap medical companies, but which is the superior stock? We will contrast the two businesses based on the strength of their analyst recommendations, valuation, dividends, risk, profitability, earnings and institutional ownership.

Earnings & Valuation

This table compares Collegium Pharmaceutical and Atea Pharmaceuticals”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Collegium Pharmaceutical	$566.77 million	1.66	$48.15 million	$2.32	12.56
Atea Pharmaceuticals	N/A	N/A	-$135.96 million	($2.07)	-1.49

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

Profitability

This table compares Collegium Pharmaceutical and Atea Pharmaceuticals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Collegium Pharmaceutical	14.78%	104.67%	18.38%
Atea Pharmaceuticals	N/A	-34.90%	-32.38%

Risk and Volatility

Collegium Pharmaceutical has a beta of 0.82, meaning that its stock price is 18% less volatile than the S&P 500. Comparatively, Atea Pharmaceuticals has a beta of 0.19, meaning that its stock price is 81% less volatile than the S&P 500.

Insider & Institutional Ownership

86.7% of Atea Pharmaceuticals shares are owned by institutional investors. 4.0% of Collegium Pharmaceutical shares are owned by company insiders. Comparatively, 17.8% of Atea Pharmaceuticals shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Analyst Recommendations

This is a breakdown of recent ratings and target prices for Collegium Pharmaceutical and Atea Pharmaceuticals, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Collegium Pharmaceutical	0	1	4	0	2.80
Atea Pharmaceuticals	0	1	0	1	3.00

Collegium Pharmaceutical presently has a consensus target price of $43.60, suggesting a potential upside of 49.67%. Atea Pharmaceuticals has a consensus target price of $6.88, suggesting a potential upside of 122.65%. Given Atea Pharmaceuticals’ stronger consensus rating and higher probable upside, analysts clearly believe Atea Pharmaceuticals is more favorable than Collegium Pharmaceutical.

Summary

Collegium Pharmaceutical beats Atea Pharmaceuticals on 9 of the 14 factors compared between the two stocks.

About Collegium Pharmaceutical

Collegium Pharmaceutical, Inc., a specialty pharmaceutical company, engages in the development and commercialization of medicines for pain management. Its portfolio includes Xtampza ER, an abuse-deterrent, extended-release, and oral formulation of oxycodone for the management of pain severe enough to require daily, around-the-clock, long-term opioid treatment; Nucynta ER and Nucynta IR, which are extended-release and immediate-release formulations of tapentadol, indicated for the management of acute, severe, and persistent pain; Belbuca, a buccal film that contains buprenorphine; and Symproic, an oral formulation of naldemedine for the treatment of opioid-induced constipation in adult patients with chronic non-cancer pain. The company was formerly known as Collegium Pharmaceuticals, Inc. and changed its name to Collegium Pharmaceutical, Inc. in October 2003. Collegium Pharmaceutical, Inc. was incorporated in 2002 and is headquartered in Stoughton, Massachusetts.

About Atea Pharmaceuticals

Atea Pharmaceuticals, Inc., a clinical-stage biopharmaceutical company, discovers, develops, and commercializes antiviral therapeutics for patients with viral infections. Its lead product candidate is AT-527, an oral antiviral candidate that is in Phase 3 SUNRISE-3 clinical trial for the treatment of patients with COVID-19. The company also develops bemnifosbuvir in combination with ruzasvir, which is in Phase 2 clinical trial, for the treatment of hepatitis C virus (HCV); and a protease inhibitor for the treatment of COVID-19. It has a license agreement with MSD International GmbH for the development, manufacture, and commercialization of Ruzasvir, an NS5A inhibitor, for the treatment of HCV. Atea Pharmaceuticals, Inc. was incorporated in 2012 and is headquartered in Boston, Massachusetts.