Head-To-Head Analysis: Gyre Therapeutics (NASDAQ:GYRE) vs. Lyra Therapeutics (OTCMKTS:LYRA)
by Mitch Edgeman · The Markets DailyLyra Therapeutics (OTCMKTS:LYRA – Get Free Report) and Gyre Therapeutics (NASDAQ:GYRE – Get Free Report) are both small-cap healthcare companies, but which is the better stock? We will compare the two businesses based on the strength of their profitability, risk, earnings, dividends, analyst recommendations, institutional ownership and valuation.
Profitability
This table compares Lyra Therapeutics and Gyre Therapeutics’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Lyra Therapeutics | -7,266.08% | N/A | -59.82% |
| Gyre Therapeutics | -15.47% | -6.57% | -5.35% |
Institutional & Insider Ownership
95.6% of Lyra Therapeutics shares are held by institutional investors. Comparatively, 24.0% of Gyre Therapeutics shares are held by institutional investors. 3.3% of Lyra Therapeutics shares are held by company insiders. Comparatively, 9.5% of Gyre Therapeutics shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.
Volatility and Risk
Lyra Therapeutics has a beta of 0.58, suggesting that its stock price is 42% less volatile than the S&P 500. Comparatively, Gyre Therapeutics has a beta of 1.92, suggesting that its stock price is 92% more volatile than the S&P 500.
Valuation & Earnings
This table compares Lyra Therapeutics and Gyre Therapeutics”s gross revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Lyra Therapeutics | $600,000.00 | 0.59 | -$28.92 million | ($19.15) | -0.01 |
| Gyre Therapeutics | $116.59 million | 7.11 | $5.03 million | ($0.21) | -35.38 |
Gyre Therapeutics has higher revenue and earnings than Lyra Therapeutics. Gyre Therapeutics is trading at a lower price-to-earnings ratio than Lyra Therapeutics, indicating that it is currently the more affordable of the two stocks.
Analyst Ratings
This is a breakdown of recent ratings and target prices for Lyra Therapeutics and Gyre Therapeutics, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Lyra Therapeutics | 1 | 0 | 0 | 0 | 1.00 |
| Gyre Therapeutics | 2 | 0 | 1 | 0 | 1.67 |
Gyre Therapeutics has a consensus price target of $16.00, suggesting a potential upside of 115.34%. Given Gyre Therapeutics’ stronger consensus rating and higher possible upside, analysts plainly believe Gyre Therapeutics is more favorable than Lyra Therapeutics.
Summary
Gyre Therapeutics beats Lyra Therapeutics on 11 of the 14 factors compared between the two stocks.
About Lyra Therapeutics
Lyra Therapeutics, Inc., a clinical-stage biotechnology company, focuses on the development and commercialization of novel integrated drug and delivery solutions for the localized treatment of patients with ear, nose, and throat diseases. It's XTreo technology platform is designed to deliver medicines directly to the affected tissue for sustained periods with a single administration. The company's product candidates include LYR-210, an anti-inflammatory implantable drug matrix for the treatment of chronic rhinosinusitis (CRS), which is in Phase III clinical trial; and LYR-220 for CRS patients with and without nasal polyps. It has a collaboration agreement with LianBio Inflammatory Limited to develop and commercialize LYR-210 in mainland China, Hong Kong, Taiwan, Macau, South Korea, Singapore, and Thailand. The company was formerly known as 480 Biomedical, Inc. and changed its name to Lyra Therapeutics, Inc. in July 2018. Lyra Therapeutics, Inc. was incorporated in 2005 and is headquartered in Watertown, Massachusetts.
About Gyre Therapeutics
Gyre Therapeutics, Inc., a biopharmaceutical company, primarily focuses on the development and commercialization of Hydronidone for the treatment of Metabolic Dysfunction Associated Steatohepatitis in the United States. Its Hydronidone is also being evaluated for the treatment of liver fibrosis across a spectrum of chronic liver diseases. In addition, it advances a product pipeline in China, including Pirfenidone, for dermatomyositis interstitial lung disease, systemic sclerosis-associated interstitial lung disease, and pneumoconiosis, as well as for diabetic kidney disease; and product candidates for acute-on-chronic liver failure, chronic obstructive pulmonary disease, and pulmonary arterial hypertension. The company was founded in 2002 and is headquartered in San Diego, California.