Zevra Therapeutics (NASDAQ: ZVRA) has emerged as a more favorable investment compared to Salarius Pharmaceuticals (NASDAQ: SLRX), based on several critical performance indicators. Analysts have highlighted Zevra’s robust potential upside and higher consensus ratings, which significantly outshine those of Salarius.
Analyst Recommendations and Market Position
According to data from MarketBeat.com, Zevra Therapeutics boasts a consensus price target of $22.80, suggesting a compelling potential upside of 161.02%. This optimistic forecast reflects a stronger consensus rating among equities research analysts, indicating a preference for Zevra over Salarius Pharmaceuticals.
In contrast, Salarius Pharmaceuticals, while trading at a lower price-to-earnings ratio, has reported lower revenue figures. This positioning indicates that, despite being more affordable, Salarius may lack the growth potential that analysts see in Zevra.
Institutional Ownership and Risk Profiles
Institutional investors have shown a marked interest in Zevra, with 35.0% of its shares held by such entities. In comparison, only 11.9% of Salarius Pharmaceuticals shares are owned by institutional investors. Furthermore, insider ownership is greater at Zevra, with insiders holding 2.4% of shares compared to 0.3% at Salarius. High institutional ownership typically suggests confidence among major investors in a company’s long-term performance.
When assessing risk, Zevra’s beta stands at 1.01, indicating a volatility level slightly above that of the S&P 500. Conversely, Salarius has a beta of 0.4, suggesting it is less volatile and may appeal to risk-averse investors.
Product Pipeline and Company Overview
Zevra Therapeutics focuses on developing proprietary prodrugs for serious medical conditions. Its lead candidate, KP1077, is currently undergoing Phase 2 clinical trials for idiopathic hypersomnia, while another candidate, KP1077N, is in Phase 1/2 trials for narcolepsy. Additionally, Zevra is developing treatments for conditions such as vascular Ehlers-Danlos syndrome and attention deficit hyperactivity disorder.
Previously known as KemPharm, Inc., Zevra changed its name in February 2023 and is headquartered in Celebration, Florida.
On the other hand, Salarius Pharmaceuticals, based in Houston, Texas, is a clinical-stage biotechnology firm focusing on cancer treatments. Its lead candidate, Seclidemstat (SP-2577), is in Phase I/II trials for advanced solid tumors and Ewing sarcoma. Salarius is also collaborating with the University of Utah Research Foundation to advance its product development.
In summary, Zevra Therapeutics outperforms Salarius Pharmaceuticals across most comparative metrics, making it a potentially stronger investment option for those looking into the biotechnology sector. As both companies continue to develop their product pipelines, the market will watch closely to see how their respective strategies unfold.
