Critical Analysis: Affymax (OTCMKTS:AFFY) and Aprea Therapeutics (NASDAQ:APRE)

Aprea Therapeutics (NASDAQ:APRE) and Affymax (OTCMKTS:AFFY) are both medical companies, but which is the superior business? We will compare the two companies based on the strength of their profitability, dividends, earnings, risk, analyst recommendations, valuation and institutional ownership.

Profitability

This table compares Aprea Therapeutics and Affymax’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Aprea Therapeutics	-2,666.46%	-88.12%	-68.78%
Affymax	N/A	N/A	N/A

Analyst Ratings

This is a summary of current recommendations and price targets for Aprea Therapeutics and Affymax, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Aprea Therapeutics	1	0	2	0	2.33
Affymax	0	0	0	0	0.00

Aprea Therapeutics currently has a consensus price target of $8.00, indicating a potential upside of 837.87%. Given Aprea Therapeutics’ stronger consensus rating and higher probable upside, analysts plainly believe Aprea Therapeutics is more favorable than Affymax.

Earnings and Valuation

This table compares Aprea Therapeutics and Affymax”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Aprea Therapeutics	$1.50 million	3.97	-$12.96 million	($2.15)	-0.40
Affymax	N/A	N/A	N/A	N/A	N/A

Affymax has lower revenue, but higher earnings than Aprea Therapeutics.

Institutional and Insider Ownership

34.2% of Aprea Therapeutics shares are owned by institutional investors. 13.6% of Aprea Therapeutics shares are owned by company insiders. Comparatively, 1.6% of Affymax shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Risk & Volatility

Aprea Therapeutics has a beta of 1.44, suggesting that its stock price is 44% more volatile than the S&P 500. Comparatively, Affymax has a beta of 8.02, suggesting that its stock price is 702% more volatile than the S&P 500.

Summary

Aprea Therapeutics beats Affymax on 6 of the 10 factors compared between the two stocks.

About Aprea Therapeutics

Aprea Therapeutics, Inc., a clinical-stage biopharmaceutical company, focuses on developing and commercializing novel synthetic lethality-based cancer therapeutics that targets DNA damage response pathways. Its lead product candidate is the ATRN-119 that is in Phase I clinical trials for treating advanced solid tumors. The company is also developing ATRN-1051 for the treatment of ovarian cancer; and APRE-DDRi for the treatment of advanced solid tumors. The company is headquartered in Doylestown, Pennsylvania.

About Affymax

Affymax, Inc. does not have significant operations. Previously, it was developing drugs to enhance the treatment of serious and often life-threatening conditions in the United States. The company was founded in 2001 and is based in New York, New York.