Critical Analysis: Phathom Pharmaceuticals (NASDAQ:PHAT) and OS Therapies (NYSE:OSTX)

OS Therapies (NYSE:OSTX) and Phathom Pharmaceuticals (NASDAQ:PHAT) are both small-cap medical companies, but which is the better investment? We will contrast the two businesses based on the strength of their valuation, dividends, earnings, risk, institutional ownership, profitability and analyst recommendations.

Earnings & Valuation

This table compares OS Therapies and Phathom Pharmaceuticals”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
OS Therapies	N/A	N/A	-$7.79 million	N/A	N/A
Phathom Pharmaceuticals	$55.25 million	6.45	-$201.59 million	($5.35)	-0.96

OS Therapies has higher earnings, but lower revenue than Phathom Pharmaceuticals.

Analyst Ratings

This is a summary of recent ratings and target prices for OS Therapies and Phathom Pharmaceuticals, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
OS Therapies	0	0	2	2	3.50
Phathom Pharmaceuticals	0	1	4	1	3.00

OS Therapies presently has a consensus price target of $17.50, indicating a potential upside of 1,215.79%. Phathom Pharmaceuticals has a consensus price target of $22.17, indicating a potential upside of 332.94%. Given OS Therapies’ stronger consensus rating and higher possible upside, research analysts clearly believe OS Therapies is more favorable than Phathom Pharmaceuticals.

Insider and Institutional Ownership

99.0% of Phathom Pharmaceuticals shares are held by institutional investors. 13.8% of OS Therapies shares are held by insiders. Comparatively, 24.1% of Phathom Pharmaceuticals shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Profitability

This table compares OS Therapies and Phathom Pharmaceuticals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
OS Therapies	N/A	N/A	-569.57%
Phathom Pharmaceuticals	-1,292.14%	N/A	-79.57%

About OS Therapies

OS Therapies Incorporated, a clinical stage biopharmaceutical company, focuses on the identification, development, and commercialization of treatments for osteosarcoma and other solid tumors in the United States. Its pipeline includes OST-HER2, an off-the-shelf immunotherapy for osteosarcoma patients; and OST-tunable drug conjugate (OST-tADC), an antibody-drug conjugate technology, with a plug-and-play platform that features tunable pH sensitive silicone linkers. OS Therapies Incorporated was incorporated in 2018 and is based in Rockville, Maryland.

About Phathom Pharmaceuticals

Phathom Pharmaceuticals, Inc., biopharmaceutical company, focuses on developing and commercializing treatments for gastrointestinal diseases. The company has the rights in the United States, Europe, and Canada for an investigational potassium-competitive acid blocker (P-CAB) that blocks acid secretion in the stomach. It is also developing vonoprazan for the treatment of erosive gastroesophageal reflux disease; and in combination with antibiotics for the treatment of Helicobacter pylori infection. The company was incorporated in 2018 and is headquartered in Florham Park, New Jersey.