Phio Pharmaceuticals (NASDAQ:PHIO) and SCYNEXIS (NASDAQ:SCYX) Critical Review
by Teresa Graham · The Cerbat GemSCYNEXIS (NASDAQ:SCYX – Get Free Report) and Phio Pharmaceuticals (NASDAQ:PHIO – Get Free Report) are both small-cap medical companies, but which is the superior investment? We will compare the two businesses based on the strength of their valuation, profitability, institutional ownership, earnings, risk, dividends and analyst recommendations.
Risk and Volatility
SCYNEXIS has a beta of 1.12, suggesting that its share price is 12% more volatile than the S&P 500. Comparatively, Phio Pharmaceuticals has a beta of 0.84, suggesting that its share price is 16% less volatile than the S&P 500.
Analyst Recommendations
This is a summary of current ratings and price targets for SCYNEXIS and Phio Pharmaceuticals, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| SCYNEXIS | 1 | 0 | 1 | 0 | 2.00 |
| Phio Pharmaceuticals | 1 | 0 | 1 | 0 | 2.00 |
SCYNEXIS presently has a consensus price target of $3.00, suggesting a potential upside of 337.83%. Phio Pharmaceuticals has a consensus price target of $14.00, suggesting a potential upside of 1,196.30%. Given Phio Pharmaceuticals’ higher probable upside, analysts plainly believe Phio Pharmaceuticals is more favorable than SCYNEXIS.
Earnings and Valuation
This table compares SCYNEXIS and Phio Pharmaceuticals”s gross revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| SCYNEXIS | $20.60 million | 1.49 | -$8.61 million | ($0.48) | -1.43 |
| Phio Pharmaceuticals | N/A | N/A | -$8.70 million | ($1.38) | -0.78 |
SCYNEXIS has higher revenue and earnings than Phio Pharmaceuticals. SCYNEXIS is trading at a lower price-to-earnings ratio than Phio Pharmaceuticals, indicating that it is currently the more affordable of the two stocks.
Profitability
This table compares SCYNEXIS and Phio Pharmaceuticals’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| SCYNEXIS | -41.79% | -57.16% | -39.48% |
| Phio Pharmaceuticals | N/A | -77.34% | -70.87% |
Insider and Institutional Ownership
54.4% of SCYNEXIS shares are owned by institutional investors. Comparatively, 57.3% of Phio Pharmaceuticals shares are owned by institutional investors. 4.9% of SCYNEXIS shares are owned by company insiders. Comparatively, 0.9% of Phio Pharmaceuticals shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.
Summary
SCYNEXIS beats Phio Pharmaceuticals on 7 of the 11 factors compared between the two stocks.
About SCYNEXIS
SCYNEXIS, Inc., a biotechnology company, develops medicines to overcome and prevent difficult-to-treat and drug-resistant infections in the United States. It offers BREXAFEMME for the treatment of patients with vulvovaginal candidiasis (VVC) and recurrent VVC. The company's lead product candidate is Ibrexafungerp, an intravenous drug for the treatment of invasive candidiasis and/or candidemia, refractory invasive fungal infections, invasive aspergillosis, VVC, and recurrent VVC. It also develops SCY-247 to treat systemic fungal diseases. The company has licensing and collaboration agreements with GlaxoSmithKline Intellectual Property (No. 3) Limited, Merck Sharp & Dohme Corp., Hansoh (Shanghai) Health Technology Co., Ltd., Jiangsu Hansoh Pharmaceutical Group Company Limited, and R-Pharm, CJSC for the development, manufacture, and commercialization of ibrexafungerp. SCYNEXIS, Inc. was formerly known as SCYNEXIS Chemistry & Automation, Inc. and changed its name to SCYNEXIS, Inc. in June 2002. The company was incorporated in 1999 and is headquartered in Jersey City, New Jersey.
About Phio Pharmaceuticals
Phio Pharmaceuticals Corp. engages in the development of immuno-oncology therapeutics in the United States. The company is developing PH-762, an INTASYL compound in Phase 1b dose-escalating clinical trials to reduce the expression of cell death protein 1 (PD-1), a protein that inhibits T cells’ ability to kill cancer cells; and PH-762 treated double positive tumor infiltrating lymphocytes, which is in Phase 1 clinical trials to treat advanced melanoma and other advanced solid tumors. It is also developing PH-894, an INTASYL compound in IND enabling studies to silence BRD4, a protein that controls gene expression in both T cells and tumor cells, effecting the immune system and the tumor. The company was formerly known as RXi Pharmaceuticals Corporation and changed its name to Phio Pharmaceuticals Corp. in November 2018. Phio Pharmaceuticals Corp. was incorporated in 2011 and is based in Marlborough, Massachusetts.