Head-To-Head Analysis: Cumberland Pharmaceuticals (NASDAQ:CPIX) and Polydex Pharmaceuticals (OTCMKTS:POLXF)

Cumberland Pharmaceuticals (NASDAQ:CPIX) and Polydex Pharmaceuticals (OTCMKTS:POLXF) are both medical companies, but which is the better investment? We will contrast the two businesses based on the strength of their earnings, institutional ownership, dividends, risk, valuation, profitability and analyst recommendations.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Cumberland Pharmaceuticals and Polydex Pharmaceuticals, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Cumberland Pharmaceuticals	1	0	0	0	1.00
Polydex Pharmaceuticals	0	0	0	0	0.00

Profitability

This table compares Cumberland Pharmaceuticals and Polydex Pharmaceuticals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Cumberland Pharmaceuticals	-6.97%	7.48%	2.66%
Polydex Pharmaceuticals	N/A	N/A	N/A

Valuation & Earnings

This table compares Cumberland Pharmaceuticals and Polydex Pharmaceuticals”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Cumberland Pharmaceuticals	$41.28 million	0.76	-$6.48 million	($0.24)	-8.79
Polydex Pharmaceuticals	$4.41 million	N/A	-$770,000.00	N/A	N/A

Polydex Pharmaceuticals has lower revenue, but higher earnings than Cumberland Pharmaceuticals.

Institutional and Insider Ownership

15.5% of Cumberland Pharmaceuticals shares are held by institutional investors. 44.8% of Cumberland Pharmaceuticals shares are held by insiders. Comparatively, 12.9% of Polydex Pharmaceuticals shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Summary

Cumberland Pharmaceuticals beats Polydex Pharmaceuticals on 6 of the 8 factors compared between the two stocks.

About Cumberland Pharmaceuticals

Cumberland Pharmaceuticals Inc., a specialty pharmaceutical company, focuses on the acquisition, development, and commercialization of prescription products for hospital acute care, gastroenterology, and oncology in the United States and internationally. The company offers Acetadote, an injection for the treatment of acetaminophen poisoning; Caldolor, an injection for the treatment of pain and fever; Kristalose, a prescription laxative oral solution for the treatment of constipation; Omeclamox-Pak for the treatment of Helicobacter pylori infection and duodenal ulcer disease; Vaprisol, an injection for treating euvolemic and hypervolemic hyponatremia; Sancuso, an injection for the treatment of chemotherapy treatment; and Vibativ, an injection for the treatment of certain serious bacterial infections, including hospital-acquired and ventilator-associated bacterial pneumonia, as well as complicated skin and skin structure infections. It develops RediTrex injection for the treatment of active rheumatoid, juvenile idiopathic, and severe psoriatic arthritis, as well as disabling psoriasis. In addition, the company is developing ifetroban, a product candidate that is in phase II clinical trial for the treatment of aspirin-exacerbated respiratory disease, systemic sclerosis, and duchenne muscular dystrophy; and has completed phase II clinical trial for the treatment of hepatorenal syndrome and portal hypertension. Further, it develops a clinical program for the use of ifetroban to treat progressive fibrosing interstitial lung diseases. The company was incorporated in 1999 and is headquartered in Nashville, Tennessee.

About Polydex Pharmaceuticals

Polydex Pharmaceuticals Ltd. is a development stage company, which engages in manufacturing of bulk pharmaceutical intermediates for the worldwide veterinary pharmaceutical industry, and the development, manufacturing, and marketing of biotechnology-based products for the human pharmaceutical market. The firm focuses on Dextran and derivative products, including Iron Dextran and Dextran Sulphate and other specialty chemicals. The company was founded by Thomas C. Usher on June 14, 1979 and is headquartered in Toronto, Canada.