Financial Survey: Akebia Therapeutics (NASDAQ:AKBA) versus MDxHealth (NASDAQ:MDXH)

Akebia Therapeutics (NASDAQ:AKBA) and MDxHealth (NASDAQ:MDXH) are both small-cap healthcare companies, but which is the superior investment? We will compare the two businesses based on the strength of their institutional ownership, dividends, risk, earnings, profitability, analyst recommendations and valuation.

Valuation & Earnings

This table compares Akebia Therapeutics and MDxHealth”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Akebia Therapeutics	$236.20 million	1.07	-$5.34 million	($0.11)	-8.32
MDxHealth	$107.88 million	0.29	-$33.52 million	($0.72)	-0.88

Akebia Therapeutics has higher revenue and earnings than MDxHealth. Akebia Therapeutics is trading at a lower price-to-earnings ratio than MDxHealth, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a breakdown of current recommendations for Akebia Therapeutics and MDxHealth, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Akebia Therapeutics	1	2	4	0	2.43
MDxHealth	1	1	3	0	2.40

Akebia Therapeutics currently has a consensus target price of $3.90, indicating a potential upside of 325.90%. MDxHealth has a consensus target price of $2.17, indicating a potential upside of 243.92%. Given Akebia Therapeutics’ stronger consensus rating and higher probable upside, research analysts plainly believe Akebia Therapeutics is more favorable than MDxHealth.

Insider and Institutional Ownership

33.9% of Akebia Therapeutics shares are held by institutional investors. 4.3% of Akebia Therapeutics shares are held by insiders. Comparatively, 1.7% of MDxHealth shares are held 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.

Volatility & Risk

Akebia Therapeutics has a beta of 0.19, suggesting that its share price is 81% less volatile than the S&P 500. Comparatively, MDxHealth has a beta of 1.57, suggesting that its share price is 57% more volatile than the S&P 500.

Profitability

This table compares Akebia Therapeutics and MDxHealth’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Akebia Therapeutics	-13.54%	-88.88%	-7.74%
MDxHealth	-33.46%	N/A	-24.25%

Summary

Akebia Therapeutics beats MDxHealth on 11 of the 14 factors compared between the two stocks.

About Akebia Therapeutics

Akebia Therapeutics, Inc., a biopharmaceutical company, focuses on the development and commercialization of therapeutics for patients with kidney diseases. The company’s lead product investigational product candidate is Vafseo (vadadustat), an oral hypoxia-inducible factor prolyl hydroxylase, which is in Phase III development for the treatment of anemia due to chronic kidney disease (CKD) in dialysis-dependent and non-dialysis dependent patients. It offers Auryxia, a ferric citrate that is used to control the serum phosphorus levels in adult patients with DD-CKD on dialysis; and the treatment of iron deficiency anemia in adult patients with CKD not on dialysis. The company’s product pipeline includes AKB-9090, a drug targeting critical-care indications; and AKB-10108, a drug targeting conditions related to premature birth. It has collaboration agreements with Mitsubishi Tanabe Pharma Corporation for the development and commercialization of vadadustat in Japan and other Asian countries, as well as research and license agreement with Janssen Pharmaceutica NV for the development and commercialization of hypoxia-inducible factor prolyl hydroxylase targeted compounds worldwide. Akebia Therapeutics, Inc. was incorporated in 2007 and is headquartered in Cambridge, Massachusetts.

About MDxHealth

MDxHealth SA, a commercial-stage precision diagnostics company, provides urologic solutions in the United States, Europe, and internationally. Its testing solutions includes Select mdx, a non-invasive urine test for prostate cancer that measures the expression of two mRNA cancer-related biomarkers; Confirm mdx for prostate cancer tissue test that validates epigenetic test that guides the detection of occult prostate cancer on a patient's previously biopsied negative tissue; and Resolved mdx for urinary tract infection that identifies personalized effective antibiotic options against the patient's infection. The company offers genomic prostate score which provides personalized genomic insights to both physicians and patients navigating the complexities of prostate cancer diagnosis and treatment. It sells its products through urology sales force, consisting of direct sales representatives, strategic account managers, and regional sales managers. The company was formerly known as OncoMethylome Sciences SA and changed its name to MDxHealth SA in October 2010. MDxHealth SA was incorporated in 2003 and is headquartered in Herstal, Belgium.