Novo Nordisk A/S (NYSE:NVO) & Relmada Therapeutics (NASDAQ:RLMD) Critical Contrast

Relmada Therapeutics (NASDAQ:RLMD) and Novo Nordisk A/S (NYSE:NVO) are both healthcare companies, but which is the superior stock? We will compare the two businesses based on the strength of their profitability, dividends, risk, earnings, analyst recommendations, valuation and institutional ownership.

Profitability

This table compares Relmada Therapeutics and Novo Nordisk A/S’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Relmada Therapeutics	N/A	-59.03%	-53.97%
Novo Nordisk A/S	35.36%	61.20%	21.49%

Analyst Recommendations

This is a breakdown of recent recommendations for Relmada Therapeutics and Novo Nordisk A/S, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Relmada Therapeutics	1	1	5	1	2.75
Novo Nordisk A/S	1	15	5	0	2.19

Relmada Therapeutics currently has a consensus price target of $12.00, suggesting a potential upside of 172.42%. Novo Nordisk A/S has a consensus price target of $65.81, suggesting a potential upside of 40.01%. Given Relmada Therapeutics’ stronger consensus rating and higher possible upside, equities research analysts clearly believe Relmada Therapeutics is more favorable than Novo Nordisk A/S.

Valuation & Earnings

This table compares Relmada Therapeutics and Novo Nordisk A/S”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Relmada Therapeutics	N/A	N/A	-$57.38 million	($0.90)	-4.89
Novo Nordisk A/S	$46.80 billion	4.48	$15.51 billion	$4.09	11.49

Novo Nordisk A/S has higher revenue and earnings than Relmada Therapeutics. Relmada Therapeutics is trading at a lower price-to-earnings ratio than Novo Nordisk A/S, indicating that it is currently the more affordable of the two stocks.

Insider & Institutional Ownership

45.2% of Relmada Therapeutics shares are owned by institutional investors. Comparatively, 11.5% of Novo Nordisk A/S shares are owned by institutional investors. 14.5% of Relmada Therapeutics shares are owned by company insiders. Comparatively, 0.1% of Novo Nordisk A/S 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

Relmada Therapeutics has a beta of 0.46, indicating that its share price is 54% less volatile than the S&P 500. Comparatively, Novo Nordisk A/S has a beta of 0.76, indicating that its share price is 24% less volatile than the S&P 500.

Summary

Novo Nordisk A/S beats Relmada Therapeutics on 8 of the 13 factors compared between the two stocks.

About Relmada Therapeutics

Relmada Therapeutics, Inc., a clinical-stage biotechnology company, focuses on developing various products for the treatment of central nervous system diseases (CNS) and other disorders in the United States. Its lead product candidate is Esmethadone (d-methadone, dextromethadone, and REL-1017), a N-methyl-D-aspartate receptor antagonist which is in phase 3 clinical trial for the adjunctive or monotherapy treatment of major depressive disorder. The company is headquartered in Coral Gables, Florida.

About Novo Nordisk A/S

Novo Nordisk A/S, together with its subsidiaries, engages in the research and development, manufacture, and distribution of pharmaceutical products in Europe, the Middle East, Africa, Mainland China, Hong Kong, Taiwan, North America, and internationally. It operates in two segments, Diabetes and Obesity Care, and Rare Disease. The Diabetes and Obesity care segment provides products for diabetes, obesity, cardiovascular, and other emerging therapy areas. The Rare Disease segment offers products in the areas of rare blood disorders, rare endocrine disorders, and hormone replacement therapy. The company also provides insulin pens, growth hormone pens, and injection needles. In addition, it offers smart solutions for diabetes treatment, such as smart insulin pens and Dose Check, an insulin dose guidance application. The company has a collaboration agreement with Aspen Pharmaceuticals to produce insulin products; and with Korro Bio, Inc. for the discovery and development of new genetic medicines to treat cardiometabolic diseases. Novo Nordisk A/S was founded in 1923 and is headquartered in Bagsvaerd, Denmark.