Galecto (NASDAQ:GLTO) and Orgenesis (NASDAQ:ORGS) Head-To-Head Contrast

Orgenesis (NASDAQ:ORGS) and Galecto (NASDAQ:GLTO) are both small-cap medical companies, but which is the superior business? We will contrast the two businesses based on the strength of their dividends, earnings, profitability, institutional ownership, analyst recommendations, valuation and risk.

Insider and Institutional Ownership

22.6% of Orgenesis shares are held by institutional investors. Comparatively, 14.2% of Galecto shares are held by institutional investors. 5.7% of Orgenesis shares are held by company insiders. Comparatively, 11.9% of Galecto shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Profitability

This table compares Orgenesis and Galecto’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Orgenesis	-3,827.81%	N/A	-130.18%
Galecto	N/A	-76.96%	-66.59%

Analyst Ratings

This is a breakdown of current recommendations and price targets for Orgenesis and Galecto, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Orgenesis	0	0	0	0	0.00
Galecto	0	0	1	0	3.00

Galecto has a consensus target price of $10.00, indicating a potential upside of 81.49%. Given Galecto’s stronger consensus rating and higher possible upside, analysts clearly believe Galecto is more favorable than Orgenesis.

Volatility & Risk

Orgenesis has a beta of 1.32, indicating that its stock price is 32% more volatile than the S&P 500. Comparatively, Galecto has a beta of 1.24, indicating that its stock price is 24% more volatile than the S&P 500.

Earnings and Valuation

This table compares Orgenesis and Galecto”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Orgenesis	$662,000.00	8.77	-$55.36 million	N/A	N/A
Galecto	N/A	N/A	-$38.35 million	($19.14)	-0.29

Galecto has lower revenue, but higher earnings than Orgenesis.

Summary

Galecto beats Orgenesis on 7 of the 11 factors compared between the two stocks.

About Orgenesis

Orgenesis Inc., a biotech company, focuses on cell and gene therapies worldwide. It operates through two segments, Octomera and Therapies. The company develops a Point of Care (POCare) platform that includes a pipeline of licensed cell based POCare therapies that are processed and produced under closed and automated POCare technology systems across a collaborative POCare network consisting of research institutes and hospitals. Its therapies include autologous; cell-based immunotherapies; and therapeutics for metabolic diseases, anti-viral diseases, and tissue regeneration. The company also provides development services, including regulatory services, pre-clinical studies, intellectual property services, and GMP process translation, as well as support services; hospital services; cell process development services; and distributed cell processing services. The company was formerly known as Business Outsourcing Service, Inc. and changed its name to Orgenesis Inc. in August 2011. Orgenesis Inc. was incorporated in 2008 and is headquartered in Germantown, Maryland.

About Galecto

Galecto, Inc., a clinical-stage biotechnology company, develops molecules for the treatment of fibrosis, cancer, inflammation, and other related diseases. The company's lead product candidate is GB2064, which is in Phase IIa for the treatment of myelofibrosis. It also develops GB2064, a selective oral small molecule inhibitor of LOXL2 that is in Phase 2a clinical trial for the treatment of fibrotic diseases, including cancer and myelofibrosis; and GB1211, a selective oral galectin-3 inhibitor that is in Phase IIa for the treatment of cancer, as well as in Phase Ib/IIa for fibrosis. Galecto, Inc. was founded in 2011 and is headquartered in Copenhagen, Denmark.