Critical Contrast: Aceto (ACET) vs. biOasis Technologies (BIOAF)

Aceto (NASDAQ:ACET) and biOasis Technologies (OTCMKTS:BIOAF) are both small-cap medical companies, but which is the superior stock? We will compare the two businesses based on the strength of their valuation, profitability, institutional ownership, analyst recommendations, risk, earnings and dividends.

Profitability

This table compares Aceto and biOasis Technologies’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Aceto -38.57% -15.73% -3.57%
biOasis Technologies -1,517.77% -407.59% -264.48%

Dividends

Aceto pays an annual dividend of $0.04 per share and has a dividend yield of 2.2%. biOasis Technologies does not pay a dividend. Aceto pays out 100.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Aceto has increased its dividend for 2 consecutive years.

Earnings and Valuation

This table compares Aceto and biOasis Technologies’ top-line revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Aceto $711.36 million 0.08 -$316.12 million $0.04 44.75
biOasis Technologies $460,000.00 32.57 -$4.12 million N/A N/A

biOasis Technologies has lower revenue, but higher earnings than Aceto.

Risk & Volatility

Aceto has a beta of 1.58, suggesting that its share price is 58% more volatile than the S&P 500. Comparatively, biOasis Technologies has a beta of 0.69, suggesting that its share price is 31% less volatile than the S&P 500.

Insider and Institutional Ownership

56.7% of Aceto shares are held by institutional investors. 4.1% of Aceto shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Aceto and biOasis Technologies, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Aceto 2 0 0 0 1.00
biOasis Technologies 0 0 0 0 N/A

Aceto currently has a consensus price target of $2.00, indicating a potential upside of 11.73%. Given Aceto’s higher probable upside, research analysts clearly believe Aceto is more favorable than biOasis Technologies.

Summary

Aceto beats biOasis Technologies on 10 of the 13 factors compared between the two stocks.

About Aceto

Aceto Corporation engages in the development, marketing, sale, and distribution of finished dosage form generic pharmaceuticals, nutraceutical products, pharmaceutical active ingredients and intermediates, specialty performance chemicals, and agricultural protection products. The company operates in three segments: Human Health, Pharmaceutical Ingredients, and Performance Chemicals. The Human Health segment supplies raw materials used in the production of nutritional and packaged dietary supplements, including vitamins, amino acids, iron compounds, and biochemicals used in pharmaceutical and nutritional preparations. This segment is also involved in developing and marketing generic pharmaceutical products. It sells its generic prescription and over-the-counter pharmaceutical products to wholesalers, chain drug stores, distributors, and mass merchandisers. The Pharmaceutical Ingredients segment offers active pharmaceutical ingredients and pharmaceutical intermediates to various generic drug companies. The Performance Chemicals segment provides specialty chemicals for use in the manufacture of plastics, surface coatings, cosmetics and personal care, textiles, and fuels and lubricants, as well as for food, flavor, paper, and film industries; dye and pigment intermediates used in the color-producing industries; and organic intermediates used in the production of agrochemicals. Its raw materials are also used in electronic parts for photo tooling, circuit boards, and production of computer chips. This segment also offers agricultural protection products comprising herbicides, fungicides, and insecticides, which control weed growth and the spread of insects and microorganisms; and sprout inhibitors for potatoes. The company serves various companies in the industrial chemical, agricultural, and human health and pharmaceutical industries primarily in the United States, Europe, and Asia. Aceto Corporation was founded in 1947 and is headquartered in Port Washington, New York.

About biOasis Technologies

biOasis Technologies, Inc. is a biopharmaceutical company focuses on research and development for the diagnosis and treatment of neurological disease and disorders such as brain cancers, neurodegenerative diseases, and metabolic disorders. Its products include Transcend program as its proprietary carrier, p97, and components thereof, to deliver therapeutics and imaging agents across the blood brain barrier. The company was founded by Robin B. Hutchison on November 3, 2006 and is headquartered in Vancouver, Canada.

Receive News & Ratings for Aceto Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Aceto and related companies with MarketBeat.com's FREE daily email newsletter.

Leave a Reply