Siga Technologies (NASDAQ:SIGA) & Vanda Pharmaceuticals (NASDAQ:VNDA) Financial Review

Siga Technologies (NASDAQ:SIGA) and Vanda Pharmaceuticals (NASDAQ:VNDA) are both small-cap healthcare companies, but which is the better business? We will contrast the two companies based on the strength of their dividends, analyst recommendations, earnings, institutional ownership, profitability, valuation and risk.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Siga Technologies and Vanda Pharmaceuticals, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Siga Technologies	1	0	0	0	1.00
Vanda Pharmaceuticals	1	2	6	0	2.56

Vanda Pharmaceuticals has a consensus price target of $13.50, suggesting a potential upside of 227.27%. Given Vanda Pharmaceuticals’ stronger consensus rating and higher probable upside, analysts plainly believe Vanda Pharmaceuticals is more favorable than Siga Technologies.

Valuation & Earnings

This table compares Siga Technologies and Vanda Pharmaceuticals”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Siga Technologies	$94.57 million	2.47	$23.28 million	($0.05)	-64.90
Vanda Pharmaceuticals	$216.10 million	1.15	-$220.47 million	($4.62)	-0.89

Siga Technologies has higher earnings, but lower revenue than Vanda Pharmaceuticals. Siga Technologies is trading at a lower price-to-earnings ratio than Vanda Pharmaceuticals, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Siga Technologies and Vanda Pharmaceuticals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Siga Technologies	1.31%	0.40%	0.33%
Vanda Pharmaceuticals	-119.87%	-62.70%	-37.53%

Risk & Volatility

Siga Technologies has a beta of 1.1, meaning that its share price is 10% more volatile than the S&P 500. Comparatively, Vanda Pharmaceuticals has a beta of 0.74, meaning that its share price is 26% less volatile than the S&P 500.

Institutional and Insider Ownership

55.4% of Siga Technologies shares are owned by institutional investors. Comparatively, 88.1% of Vanda Pharmaceuticals shares are owned by institutional investors. 2.7% of Siga Technologies shares are owned by company insiders. Comparatively, 10.7% of Vanda Pharmaceuticals shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

About Siga Technologies

SIGA Technologies, Inc. is a commercial-stage pharmaceutical company focused on developing and supplying medical countermeasures for high-consequence infectious diseases. Its primary product is TPOXX (tecovirimat), an antiviral medicine developed to treat smallpox. TPOXX targets orthopoxviruses, the virus family that includes variola virus, which causes smallpox, as well as mpox and other related infections. TPOXX has been approved by the U.S. Food and Drug Administration in oral and intravenous formulations for the treatment of smallpox.

About Vanda Pharmaceuticals

Vanda Pharmaceuticals Inc. is a biopharmaceutical company focused on developing and commercializing therapies for central nervous system disorders and other conditions with significant unmet medical needs. Founded in 2003 and headquartered in Washington, D.C., the company primarily serves patients and healthcare providers in the United States, with certain products and commercial rights extending to international markets. Vanda’s marketed products include Hetlioz (tasimelteon), a treatment for Non-24-Hour Sleep-Wake Disorder in totally blind individuals and nighttime sleep disturbances associated with Smith-Magenis syndrome.