Comparing Krystal Biotech (NASDAQ:KRYS) and Applied Therapeutics (NASDAQ:APLT)
by Sarita Garza · The Markets DailyApplied Therapeutics (NASDAQ:APLT – Get Free Report) and Krystal Biotech (NASDAQ:KRYS – Get Free Report) are both healthcare companies, but which is the better investment? We will contrast the two businesses based on the strength of their earnings, profitability, dividends, risk, valuation, analyst recommendations and institutional ownership.
Risk & Volatility
Applied Therapeutics has a beta of 2.08, indicating that its share price is 108% more volatile than the S&P 500. Comparatively, Krystal Biotech has a beta of 0.5, indicating that its share price is 50% less volatile than the S&P 500.
Insider and Institutional Ownership
98.3% of Applied Therapeutics shares are held by institutional investors. Comparatively, 86.3% of Krystal Biotech shares are held by institutional investors. 1.6% of Applied Therapeutics shares are held by company insiders. Comparatively, 13.1% of Krystal Biotech 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.
Valuation & Earnings
This table compares Applied Therapeutics and Krystal Biotech”s top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Applied Therapeutics | $1.00 million | 15.86 | -$105.62 million | ($0.10) | -1.03 |
| Krystal Biotech | $389.13 million | 25.10 | $204.83 million | $7.98 | 41.35 |
Krystal Biotech has higher revenue and earnings than Applied Therapeutics. Applied Therapeutics is trading at a lower price-to-earnings ratio than Krystal Biotech, indicating that it is currently the more affordable of the two stocks.
Analyst Ratings
This is a summary of recent ratings and price targets for Applied Therapeutics and Krystal Biotech, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Applied Therapeutics | 1 | 2 | 0 | 0 | 1.67 |
| Krystal Biotech | 0 | 2 | 10 | 2 | 3.00 |
Applied Therapeutics presently has a consensus target price of $1.00, suggesting a potential upside of 870.87%. Krystal Biotech has a consensus target price of $377.20, suggesting a potential upside of 14.30%. Given Applied Therapeutics’ higher possible upside, equities analysts clearly believe Applied Therapeutics is more favorable than Krystal Biotech.
Profitability
This table compares Applied Therapeutics and Krystal Biotech’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Applied Therapeutics | N/A | -340.84% | -175.00% |
| Krystal Biotech | 54.82% | 19.34% | 17.65% |
Summary
Krystal Biotech beats Applied Therapeutics on 12 of the 15 factors compared between the two stocks.
About Applied Therapeutics
Applied Therapeutics, Inc., a clinical-stage biopharmaceutical company, engages in the development of a pipeline of novel product candidates against validated molecular targets in indications of high unmet medical need in the United States. The company's lead product candidate is AT-007 (also called govorestat) that has completed phase 3 for the treatment of galactosemia in healthy volunteers and adults, in pediatric clinical study for the treatment of galactosemia in kids, for treating enzyme sorbitol dehydrogenase, and for the treatment of phosphomannomutase enzyme-CDG. It also develops AT-001 (also called caficrestat) that is in phase 3 clinical trials to treat diabetic cardiomyopathy, as well as for the treatment of diabetic peripheral neuropathy; and AT-003, which is in preclinical studies for the treatment diabetic retinopathy. The company has exclusive license and supply agreement with Mercury Pharma Group Limited to commercialize drug products containing AT-007. Applied Therapeutics, Inc. was incorporated in 2016 and is headquartered in New York, New York.
About Krystal Biotech
Krystal Biotech, Inc., a commercial-stage biotechnology company, discovers, develops, and commercializes genetic medicines for patients with rare diseases in the United States. It commercializes VYJUVEK (beremagene geperpavec-svdt, or B-VEC) for the treatment of dystrophic epidermolysis bullosa (DEB). The company also develops KB105, which is in Phase 1/2 clinical trials for treating patients with deficient autosomal recessive congenital ichthyosis; KB104 for treating netherton syndrome; KB407 that is in Phase 1 clinical trials for treating cystic fibrosis; KB707 that is in Phase 1 clinical trials for the treatment of anti-PD-1 relapsed/refractory; KB408, which is in Phase 1 clinical trials for treating Alpha-1 antitrypsin deficiency; and KB301 that is in Phase 2 clinical trials for treating aesthetic skin conditions, as well as in open label study with ophthalmic B-VEC for treating for ocular complications of deb. Krystal Biotech, Inc. was founded in 2016 and is headquartered in Pittsburgh, Pennsylvania.