Reviewing Ayala Pharmaceuticals (NASDAQ:ADXS) and Aerovate Therapeutics (NASDAQ:AVTE)

Insider and Institutional Ownership

7.2% of Ayala Pharmaceuticals shares are owned by institutional investors. 0.6% of Ayala Pharmaceuticals shares are owned by company insiders. Comparatively, 24.9% of Aerovate Therapeutics 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.

Valuation & Earnings

This table compares Ayala Pharmaceuticals and Aerovate Therapeutics”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Ayala Pharmaceuticals	$3.24 million	1.36	-$48.07 million	($5.02)	-0.02
Aerovate Therapeutics	N/A	N/A	-$75.52 million	($1.70)	-7.94

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

Risk & Volatility

Ayala Pharmaceuticals has a beta of 1.25, meaning that its share price is 25% more volatile than the S&P 500. Comparatively, Aerovate Therapeutics has a beta of 0.95, meaning that its share price is 5% less volatile than the S&P 500.

Profitability

This table compares Ayala Pharmaceuticals and Aerovate Therapeutics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Ayala Pharmaceuticals	N/A	N/A	N/A
Aerovate Therapeutics	N/A	-90.19%	-77.47%

Summary

Ayala Pharmaceuticals beats Aerovate Therapeutics on 7 of the 9 factors compared between the two stocks.

About Ayala Pharmaceuticals

Ayala Pharmaceuticals, Inc., a clinical-stage oncology company, primarily focuses on developing and commercializing small molecule therapeutics for people living with rare tumors and aggressive cancers. The company's lead candidates under development include AL102, an oral gamma secretase inhibitor for desmoid tumors; and aspacytarabine (BST-236), a novel proprietary anti-metabolite for first line treatment in unfit acute myeloid leukemia. Ayala Pharmaceuticals, Inc. is based in Wilmington, Delaware.

About Aerovate Therapeutics

Aerovate Therapeutics, Inc., a clinical-stage biopharmaceutical company, develops drugs that enhance the lives of patients with rare cardiopulmonary diseases in the United States. It focuses on advancing AV-101, a dry powder inhaled formulation of imatinib for the treatment of pulmonary arterial hypertension, which is in Phase 2b/Phase 3 trial. The company was incorporated in 2018 and is headquartered in Waltham, Massachusetts.