scPharmaceuticals (NASDAQ:SCPH) and GelStat (OTCMKTS:GSAC) Critical Analysis

scPharmaceuticals (NASDAQ:SCPH) and GelStat (OTCMKTS:GSAC) are both medical companies, but which is the superior investment? We will compare the two businesses based on the strength of their analyst recommendations, dividends, profitability, valuation, earnings, risk and institutional ownership.

Profitability

This table compares scPharmaceuticals and GelStat’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
scPharmaceuticals	-264.60%	-244.93%	-68.56%
GelStat	N/A	N/A	N/A

Analyst Recommendations

This is a breakdown of current ratings and target prices for scPharmaceuticals and GelStat, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
scPharmaceuticals	0	0	2	0	3.00
GelStat	0	0	0	0	0.00

scPharmaceuticals currently has a consensus target price of $15.00, indicating a potential upside of 355.93%. Given scPharmaceuticals’ stronger consensus rating and higher possible upside, research analysts clearly believe scPharmaceuticals is more favorable than GelStat.

Insider and Institutional Ownership

89.5% of scPharmaceuticals shares are held by institutional investors. 5.5% of scPharmaceuticals shares are held by company insiders. Comparatively, 20.5% of GelStat shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Earnings & Valuation

This table compares scPharmaceuticals and GelStat”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
scPharmaceuticals	$30.28 million	5.44	-$54.81 million	($1.90)	-1.73
GelStat	N/A	N/A	N/A	N/A	N/A

GelStat has lower revenue, but higher earnings than scPharmaceuticals.

Volatility and Risk

scPharmaceuticals has a beta of 0.11, indicating that its stock price is 89% less volatile than the S&P 500. Comparatively, GelStat has a beta of 2.63, indicating that its stock price is 163% more volatile than the S&P 500.

About scPharmaceuticals

scPharmaceuticals Inc., a pharmaceutical company, engages in the development and commercialization of various pharmaceutical products. Its lead product candidate is FUROSCIX that consists of formulation of furosemide, which is delivered through an on-body infusor for treatment of congestion due to fluid overload in adults with chronic heart failure and kidney disease, as well as consists of subcutaneous loop diuretic that delivers IV equivalent diuresis at home; and FUROSCIX On-Body Infusor, a drug-device combination product consisting of FUROSCIX. The company's product pipeline also includes SCP-111 (furosemide injection), an investigational pH neutral aqueous furosemide formulation that is being developed for subcutaneous administration outside of the hospital setting, including patient self-administration in the home; and SCP-111 Autoinjector, an investigational single-entity, drug-device combination product candidate consisting of a prefilled syringe containing SCP-111, preloaded into a commercially available, fixed single dose, disposable, two step mechanical autoinjector. It has a collaboration agreement with West Pharmaceutical Services, Inc. The company was incorporated in 2013 and is headquartered in Burlington, Massachusetts.

About GelStat

GelStat Corporation, a consumer health care company, engages in the research, development, and marketing of over-the-counter and other non-prescription consumer health care products. Its products include GelStat Migraine, a patented solution used for pain relief from migraine headaches; Chews 2 Lose, an appetite suppressant gum for diet aide; All Natural Speed, an energy supplement product; and GelStat Sleep, a product for relief from sleep disorders and its associated symptoms. The company sells its products to retailers, wholesalers, specialty distributors, and catalog merchandisers both directly and through external sales brokers. GelStat Corporation was founded in 2002 and is headquartered in Palm City, Florida.