Emergent BioSolutions (NYSE:EBS) and Cardax (OTCMKTS:CDXI) Financial Analysis

Emergent BioSolutions (NYSE:EBS) and Cardax (OTCMKTS:CDXI) are both medical companies, but which is the better stock? We will contrast the two companies based on the strength of their analyst recommendations, profitability, institutional ownership, risk, dividends, valuation and earnings.

Institutional & Insider Ownership

78.4% of Emergent BioSolutions shares are owned by institutional investors. 1.2% of Emergent BioSolutions shares are owned by insiders. Comparatively, 29.5% of Cardax shares are owned by 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.

Valuation & Earnings

This table compares Emergent BioSolutions and Cardax”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Emergent BioSolutions	$1.09 billion	0.41	-$760.50 million	($4.10)	-2.02
Cardax	N/A	N/A	N/A	N/A	N/A

Cardax has lower revenue, but higher earnings than Emergent BioSolutions.

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for Emergent BioSolutions and Cardax, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Emergent BioSolutions	0	0	2	0	3.00
Cardax	0	0	0	0	0.00

Emergent BioSolutions currently has a consensus price target of $14.00, suggesting a potential upside of 68.67%. Given Emergent BioSolutions’ stronger consensus rating and higher probable upside, analysts plainly believe Emergent BioSolutions is more favorable than Cardax.

Profitability

This table compares Emergent BioSolutions and Cardax’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Emergent BioSolutions	-18.55%	-9.91%	-3.31%
Cardax	N/A	N/A	N/A

Summary

Emergent BioSolutions beats Cardax on 5 of the 9 factors compared between the two stocks.

About Emergent BioSolutions

Emergent BioSolutions Inc., a life sciences company, provides preparedness and response solutions for accidental, deliberate, and naturally occurring public health threats in the United States. The company offers NARCAN Nasal Spray for the emergency treatment of known or suspected opioid overdose; Vaxchora vaccine for the prevention of cholera; Vivotif vaccine for oral administration for the prevention of typhoid fever; Anthrasil for the treatment of inhalational anthrax; BioThrax, an anthrax vaccine; CYFENDUS for post-exposure prophylaxis of disease following suspected or confirmed exposure to Bacillus anthracis; and Raxibacumab injection for the treatment and prophylaxis of inhalational anthrax. It also provides ACAM2000, a smallpox vaccine; CNJ-016 to address complications from smallpox vaccination; TEMBEXA for the treatment of smallpox disease caused by variola virus in adult and pediatric patients; BAT for the treatment of symptomatic botulism; Ebanga for the treatment of Ebola; Reactive Skin Decontamination Lotion Kit to remove or neutralize chemical warfare agents from the skin; Trobigard, a atropine sulfate obidoxime chloride auto-injector. In addition, the company is developing CGRD-001 for the treatment of poisoning by organophosphorus nerve agents or organophosphorus compounds; EBS-LASV to prevent Lassa fever; EBS-MARV to prevent Marburg virus disease; EBS-SUDV to prevent Sudan virus disease; Pan-Ebola mAbs for the treatment of ebola virus; SIAN Antidote for initial treatment of certain or suspected acute cyanide poisoning; UniFlu for immunity against influenza A and B viruses; and WEVEE-VLP for equine encephalitis virus infections. Further, it provides contract development and manufacturing services comprising drug substance and product manufacturing, and packaging, as well as technology transfer, process, and analytical development services. The company was incorporated in 1998 and is headquartered in Gaithersburg, Maryland.

About Cardax

Cardax, Inc., a biopharmaceutical company, develops and commercializes dietary supplements for inflammatory health and pharmaceuticals for chronic diseases driven by inflammation and oxidative stress. It offers ZanthoSyn, an inflammatory supplement for health and longevity that provides astaxanthin with enhanced absorption and purity. The company sells ZanthoSyn primarily through e-commerce and wholesale channels. It is also developing CDX-101, an astaxanthin pharmaceutical candidate for cardiovascular inflammation and dyslipidemia, with a target indication of severe hypertriglyceridemia; and CDX-301, a zeaxanthin pharmaceutical candidate for macular degeneration. Cardax, Inc. is based in Honolulu, Hawaii.