Reviewing Equillium (NASDAQ:EQ) & CSL (OTCMKTS:CSLLY)

Equillium (NASDAQ:EQ) and CSL (OTCMKTS:CSLLY) are both medical companies, but which is the superior investment? We will compare the two businesses based on the strength of their valuation, institutional ownership, analyst recommendations, profitability, earnings, dividends and risk.

Profitability

This table compares Equillium and CSL’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Equillium	-10.05%	-20.68%	-10.77%
CSL	N/A	N/A	N/A

Risk and Volatility

Equillium has a beta of 1.83, meaning that its stock price is 83% more volatile than the S&P 500. Comparatively, CSL has a beta of 0.77, meaning that its stock price is 23% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of current ratings and price targets for Equillium and CSL, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Equillium	0	0	1	0	3.00
CSL	0	0	0	1	4.00

Equillium currently has a consensus price target of $5.00, indicating a potential upside of 603.23%. Given Equillium’s higher probable upside, research analysts plainly believe Equillium is more favorable than CSL.

Institutional & Insider Ownership

27.1% of Equillium shares are owned by institutional investors. Comparatively, 0.0% of CSL shares are owned by institutional investors. 30.3% of Equillium shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Earnings and Valuation

This table compares Equillium and CSL”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Equillium	$36.08 million	0.70	-$13.34 million	($0.14)	-5.08
CSL	$14.80 billion	5.89	$2.64 billion	N/A	N/A

CSL has higher revenue and earnings than Equillium.

Summary

CSL beats Equillium on 8 of the 13 factors compared between the two stocks.

About Equillium

Equillium, Inc., a clinical-stage biotechnology company, develops and sells products to treat severe autoimmune and inflammatory, or immuno-inflammatory disorders with unmet medical need. The company's lead product candidate is itolizumab (EQ001), a first-in-class monoclonal antibody that targets the immune checkpoint receptor CD6, which is in Phase III clinical trials for the treatment of acute graft-versus-host disease; completed Phase I clinical trial for the treatment of ulcerative colitis; and Phase I clinical trial for the treatment of lupus nephritis. It also develops EQ101 completed phase 1/2 for treatment of cutaneous T cell lymphoma and alopecia areata; and EQ302 to treat gastrointestinal indications. In addition, it serves dermatology, gastroenterology, rheumatology, hematology, transplant science, oncology, and pulmonology area. The company was formerly known as Attenuate Biopharmaceuticals, Inc. and changed its name to Equillium, Inc. in May 2017. Equillium, Inc. was incorporated in 2017 and is headquartered in La Jolla, California.

About CSL

CSL Limited researches, develops, manufactures, markets, and distributes biopharmaceutical and vaccines in Australia, the United States, Germany, the United Kingdom, Switzerland, China, Hong Kong, and internationally. The company operates through CSL Behring, CSL Seqirus, and CSL Vifor segments. The CSL Behring segment offers plasma products, gene therapies, and recombinants. The CSL Seqirus segment provides influenza related products and pandemic services to governments. The CSL Vifor segment offers products in the therapeutic areas of iron deficiency and nephrology. The company also licenses CSL intellectual property. CSL Limited was founded in 1916 and is headquartered in Melbourne, Australia.