Analyzing SAB Biotherapeutics (NASDAQ:SABS) and Applied Therapeutics (NASDAQ:APLT)

Applied Therapeutics (NASDAQ:APLT) and SAB Biotherapeutics (NASDAQ:SABS) are both small-cap healthcare companies, but which is the better investment? We will contrast the two businesses based on the strength of their institutional ownership, profitability, earnings, valuation, risk, dividends and analyst recommendations.

Insider & Institutional Ownership

98.3% of Applied Therapeutics shares are owned by institutional investors. Comparatively, 7.8% of SAB Biotherapeutics shares are owned by institutional investors. 1.6% of Applied Therapeutics shares are owned by insiders. Comparatively, 7.4% of SAB Biotherapeutics shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Risk & Volatility

Applied Therapeutics has a beta of 2.08, meaning that its stock price is 108% more volatile than the S&P 500. Comparatively, SAB Biotherapeutics has a beta of 0.58, meaning that its stock price is 42% less volatile than the S&P 500.

Earnings & Valuation

This table compares Applied Therapeutics and SAB Biotherapeutics”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Applied Therapeutics	$1.00 million	15.86	-$105.62 million	($0.10)	-1.03
SAB Biotherapeutics	$1.32 million	177.78	$13.27 million	($1.30)	-1.98

SAB Biotherapeutics has higher revenue and earnings than Applied Therapeutics. SAB Biotherapeutics is trading at a lower price-to-earnings ratio than Applied Therapeutics, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Applied Therapeutics and SAB Biotherapeutics, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Applied Therapeutics	1	2	0	0	1.67
SAB Biotherapeutics	1	1	9	0	2.73

Applied Therapeutics presently has a consensus target price of $1.00, indicating a potential upside of 870.87%. SAB Biotherapeutics has a consensus target price of $12.00, indicating a potential upside of 365.30%. Given Applied Therapeutics’ higher possible upside, equities analysts plainly believe Applied Therapeutics is more favorable than SAB Biotherapeutics.

Profitability

This table compares Applied Therapeutics and SAB Biotherapeutics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Applied Therapeutics	N/A	-340.84%	-175.00%
SAB Biotherapeutics	N/A	-6.74%	-6.06%

Summary

SAB Biotherapeutics beats Applied Therapeutics on 8 of the 13 factors compared between the two stocks.

About Applied Therapeutics

Applied Therapeutics, Inc., a clinical-stage biopharmaceutical company, engages in the development of a pipeline of novel product candidates against validated molecular targets in indications of high unmet medical need in the United States. The company's lead product candidate is AT-007 (also called govorestat) that has completed phase 3 for the treatment of galactosemia in healthy volunteers and adults, in pediatric clinical study for the treatment of galactosemia in kids, for treating enzyme sorbitol dehydrogenase, and for the treatment of phosphomannomutase enzyme-CDG. It also develops AT-001 (also called caficrestat) that is in phase 3 clinical trials to treat diabetic cardiomyopathy, as well as for the treatment of diabetic peripheral neuropathy; and AT-003, which is in preclinical studies for the treatment diabetic retinopathy. The company has exclusive license and supply agreement with Mercury Pharma Group Limited to commercialize drug products containing AT-007. Applied Therapeutics, Inc. was incorporated in 2016 and is headquartered in New York, New York.

About SAB Biotherapeutics

SAB Biotherapeutics, Inc., a clinical-stage biopharmaceutical company, focuses on the development of human polyclonal immunotherapeutic antibodies to address immune system disorders and infectious diseases. It has applied advanced genetic engineering and antibody science to develop transchromosomic bovine herds that produce fully human antibodies targeted at infectious diseases and immune and autoimmune disorders, including infectious diseases, influenza, CDI, type 1 diabetes, organ transplantation, and oncology, as well as immunology, gastroenterology, and respiratory diseases. The company also uses its DiversitAb immunotherapy platform to produce fully-human polyclonal antibodies without the need for human donors or plasma. In addition, its lead product candidate SAB-142, a human, multi-target anti-thymocyte globulin treatment, currently under Phase 1 trials in delaying the onset or progression of type 1 diabetes. Further, the company develops SAB-176, a multivalent, broadly neutralizing – human polyclonal immunoglobulin therapeutic candidate, currently in Phase 2a development for the treatment or prevention of severe influenza. SAB Biotherapeutics, Inc. was founded in 2014 and is headquartered in Miami Beach, Florida.