Comparing Alterity Therapeutics (NASDAQ:ATHE) and Earth Science Tech (OTCMKTS:ETST)

Alterity Therapeutics (NASDAQ:ATHE) and Earth Science Tech (OTCMKTS:ETST) are both small-cap medical companies, but which is the better investment? We will compare the two companies based on the strength of their earnings, institutional ownership, analyst recommendations, risk, valuation, dividends and profitability.

Profitability

This table compares Alterity Therapeutics and Earth Science Tech’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Alterity Therapeutics	N/A	N/A	N/A
Earth Science Tech	N/A	N/A	N/A

Insider & Institutional Ownership

2.1% of Alterity Therapeutics shares are owned by institutional investors. 38.8% of Alterity Therapeutics shares are owned by company insiders. Comparatively, 24.9% of Earth Science Tech shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Volatility and Risk

Alterity Therapeutics has a beta of 0.69, meaning that its share price is 31% less volatile than the S&P 500. Comparatively, Earth Science Tech has a beta of 2.01, meaning that its share price is 101% more volatile than the S&P 500.

Valuation & Earnings

This table compares Alterity Therapeutics and Earth Science Tech”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Alterity Therapeutics	N/A	N/A	-$12.54 million	N/A	N/A
Earth Science Tech	$11.95 million	3.61	$810,000.00	N/A	N/A

Earth Science Tech has higher revenue and earnings than Alterity Therapeutics.

Analyst Ratings

This is a breakdown of recent ratings for Alterity Therapeutics and Earth Science Tech, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Alterity Therapeutics	0	1	1	0	2.50
Earth Science Tech	0	0	0	0	0.00

Alterity Therapeutics presently has a consensus price target of $8.00, suggesting a potential upside of 124.72%. Given Alterity Therapeutics’ stronger consensus rating and higher possible upside, analysts clearly believe Alterity Therapeutics is more favorable than Earth Science Tech.

Summary

Alterity Therapeutics beats Earth Science Tech on 5 of the 8 factors compared between the two stocks.

About Alterity Therapeutics

Alterity Therapeutics Limited engages in the research and development of therapeutic drugs to treat Alzheimer’s disease, Huntington disease, Parkinson’s disease, and other neurological disorders in Australia. The company’s lead drug candidate is ATH434 that is in Phase I clinical trial for the treatment of Parkinson’s disease. It is also developing ATH434-201, which is in Phase II clinical trial to treat multiple system atrophy early stage; ATH434-202 that is in Phase II clinical trial to treat multiple system atrophy advance; and PBT2 that has completed Phase 2a clinical trial to treat Alzheimer’s disease. The company was formerly known as Prana Biotechnology Limited and changed its name to Alterity Therapeutics Limited in April 2019. Alterity Therapeutics Limited was incorporated in 1997 and is headquartered in Melbourne, Australia.

About Earth Science Tech

Earth Science Tech, Inc. focuses on health and wellness industry. It operates men's health telemedicine platform under brand Peak name; and operates pharmacy. The company offers supplements and topicals products. The company was formerly known as Ultimate Novelty Sports, Inc. and changed its name to Earth Science Tech, Inc. in March 2014. Earth Science Tech, Inc. was incorporated in 2010 and is headquartered in Miami, Florida.