Head to Head Contrast: Sol-Gel Technologies (SLGL) & Its Competitors

Sol-Gel Technologies (NASDAQ:SLGL) is one of 894 public companies in the “Pharmaceuticals” industry, but how does it weigh in compared to its peers? We will compare Sol-Gel Technologies to related businesses based on the strength of its valuation, earnings, institutional ownership, analyst recommendations, profitability, dividends and risk.

Profitability

This table compares Sol-Gel Technologies and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Sol-Gel Technologies	-910.14%	-44.05%	-36.96%
Sol-Gel Technologies Competitors	-2,393.19%	-220.45%	-16.12%

Institutional & Insider Ownership

26.2% of Sol-Gel Technologies shares are held by institutional investors. Comparatively, 32.5% of shares of all “Pharmaceuticals” companies are held by institutional investors. 66.5% of Sol-Gel Technologies shares are held by insiders. Comparatively, 14.1% of shares of all “Pharmaceuticals” companies are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Valuation & Earnings

This table compares Sol-Gel Technologies and its peers top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Sol-Gel Technologies	$19.39 million	-$6.13 million	-9.97
Sol-Gel Technologies Competitors	$3.54 billion	$3.17 billion	553.78

Sol-Gel Technologies’ peers have higher revenue and earnings than Sol-Gel Technologies. Sol-Gel Technologies is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Analyst Ratings

This is a summary of recent ratings and target prices for Sol-Gel Technologies and its peers, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Sol-Gel Technologies	1	0	4	2	3.00
Sol-Gel Technologies Competitors	7819	13781	25790	1035	2.41

Sol-Gel Technologies presently has a consensus price target of $197.50, indicating a potential upside of 251.11%. As a group, “Pharmaceuticals” companies have a potential upside of 24.42%. Given Sol-Gel Technologies’ stronger consensus rating and higher possible upside, equities research analysts clearly believe Sol-Gel Technologies is more favorable than its peers.

Risk and Volatility

Sol-Gel Technologies has a beta of 1.25, suggesting that its share price is 25% more volatile than the S&P 500. Comparatively, Sol-Gel Technologies’ peers have a beta of -0.05, suggesting that their average share price is 105% less volatile than the S&P 500.

Summary

Sol-Gel Technologies beats its peers on 8 of the 12 factors compared.

About Sol-Gel Technologies

Sol-Gel Technologies is an Israel-based dermatology company that develops topical treatments for skin conditions. Its proprietary technology uses silica-based microencapsulation to formulate active ingredients for topical use. The company’s products include Epsolay, a benzoyl peroxide cream approved in the United States for inflammatory lesions of rosacea, and Twyneo, a topical combination of tretinoin and benzoyl peroxide approved for acne vulgaris. Sol-Gel has pursued commercialization and licensing opportunities in the United States and other markets.