Finch Therapeutics Group (NASDAQ:FNCH) versus OKYO Pharma (NASDAQ:OKYO) Critical Review

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

Earnings & Valuation

This table compares Finch Therapeutics Group and OKYO Pharma’s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Finch Therapeutics Group	$110,000.00	46.72	-$74.75 million	($10.14)	-0.32
OKYO Pharma	N/A	N/A	-$13.27 million	N/A	N/A

OKYO Pharma has lower revenue, but higher earnings than Finch Therapeutics Group.

Insider & Institutional Ownership

21.8% of Finch Therapeutics Group shares are held by institutional investors. Comparatively, 3.0% of OKYO Pharma shares are held by institutional investors. 44.9% of Finch Therapeutics Group shares are held by insiders. Comparatively, 40.5% of OKYO Pharma shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares Finch Therapeutics Group and OKYO Pharma’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Finch Therapeutics Group	N/A	-68.11%	-28.10%
OKYO Pharma	N/A	N/A	N/A

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Finch Therapeutics Group and OKYO Pharma, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Finch Therapeutics Group	0	0	0	0	N/A
OKYO Pharma	0	0	1	0	3.00

OKYO Pharma has a consensus price target of $7.00, suggesting a potential upside of 600.00%. Given OKYO Pharma’s higher possible upside, analysts plainly believe OKYO Pharma is more favorable than Finch Therapeutics Group.

Volatility and Risk

Finch Therapeutics Group has a beta of 0.41, indicating that its share price is 59% less volatile than the S&P 500. Comparatively, OKYO Pharma has a beta of -0.04, indicating that its share price is 104% less volatile than the S&P 500.

Summary

OKYO Pharma beats Finch Therapeutics Group on 5 of the 9 factors compared between the two stocks.

About Finch Therapeutics Group

Finch Therapeutics Group, Inc., a clinical-stage microbiome therapeutics company, develops a novel class of orally administered biological drugs in the United States. The company develops FIN-211, a microbiome candidate designed to address the gastrointestinal and behavioral symptoms of autism spectrum disorder; and FIN-524 for the prevention, diagnosis, theragnosis or treatment of diseases in humans, including ulcerative colitis; FIN-525 for the treatment of Crohn's disease; and other microbiome product candidates. The company has collaboration and license agreements with Takeda Pharmaceutical Company Limited; and license agreements with Skysong Innovations LLC, OpenBiome, Arizona State University, and University of Minnesota. Finch Therapeutics Group, Inc. was incorporated in 2014 and is based in Boston, Massachusetts.

About OKYO Pharma

OKYO Pharma Limited, a clinical-stage biopharmaceutical company, engages in developing therapeutics for patients suffering from inflammatory eye diseases and ocular pain in the United Kingdom. Its lead preclinical product candidate is OK-101, which is in Phase II clinical trials for the treatment of dry eye disease. The company is also developing OK-201, a bovine adrenal medulla, lipidated-peptide preclinical analogue candidate for the treatment of neuropathic chronic pain. The company was incorporated in 2007 and is headquartered in London, the United Kingdom.