Amneal Pharmaceuticals (NASDAQ:AMRX) and Lotus Pharmaceuticals (OTCMKTS:LTUS) Head to Head Analysis
by Renee Jackson · The Cerbat GemLotus Pharmaceuticals (OTCMKTS:LTUS – Get Free Report) and Amneal Pharmaceuticals (NASDAQ:AMRX – Get Free Report) are both medical companies, but which is the better investment? We will contrast the two businesses based on the strength of their risk, profitability, valuation, dividends, earnings, institutional ownership and analyst recommendations.
Institutional & Insider Ownership
31.8% of Amneal Pharmaceuticals shares are held by institutional investors. 17.3% of Amneal Pharmaceuticals shares are held by 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 and Earnings
This table compares Lotus Pharmaceuticals and Amneal Pharmaceuticals”s top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Lotus Pharmaceuticals | N/A | N/A | -$30,000.00 | N/A | N/A |
| Amneal Pharmaceuticals | $3.02 billion | 1.38 | $72.06 million | $0.23 | 57.65 |
Amneal Pharmaceuticals has higher revenue and earnings than Lotus Pharmaceuticals.
Analyst Recommendations
This is a summary of current ratings for Lotus Pharmaceuticals and Amneal Pharmaceuticals, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Lotus Pharmaceuticals | 0 | 0 | 0 | 0 | 0.00 |
| Amneal Pharmaceuticals | 0 | 2 | 6 | 0 | 2.75 |
Amneal Pharmaceuticals has a consensus target price of $15.00, suggesting a potential upside of 13.12%. Given Amneal Pharmaceuticals’ stronger consensus rating and higher possible upside, analysts plainly believe Amneal Pharmaceuticals is more favorable than Lotus Pharmaceuticals.
Profitability
This table compares Lotus Pharmaceuticals and Amneal Pharmaceuticals’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Lotus Pharmaceuticals | N/A | N/A | N/A |
| Amneal Pharmaceuticals | 2.39% | -228.24% | 6.91% |
Risk and Volatility
Lotus Pharmaceuticals has a beta of -1.8, meaning that its stock price is 280% less volatile than the S&P 500. Comparatively, Amneal Pharmaceuticals has a beta of 1.32, meaning that its stock price is 32% more volatile than the S&P 500.
Summary
Amneal Pharmaceuticals beats Lotus Pharmaceuticals on 10 of the 11 factors compared between the two stocks.
About Lotus Pharmaceuticals
Lotus Pharmaceuticals, Inc. does not have significant operations. Previously, it was engaged in the development, manufacture, and sale of pharmaceuticals in the People's Republic of China. The company is based in Nashville, Tennessee.
About Amneal Pharmaceuticals
Amneal Pharmaceuticals, Inc., together with its subsidiaries, develops, manufactures, markets, and distributes generics, injectables, biosimilars, and specialty branded pharmaceutical products worldwide. The company operates through three segments: Generics, Specialty, and AvKARE. The Generics segment offers immediate and extended release oral solid, powder, liquid, sterile injectable, nasal spray, inhalation and respiratory, biosimilar, ophthalmic, film, transdermal patch, and topical products. The Specialty segment develops, promotes, sells, and distributes pharmaceutical products with focus on central nervous system disorders, including Parkinson's disease, and endocrine disorders. This segment also provides Rytary, an oral capsule formulation of carbidopa-levodopa to treat Parkinson's disease, post-encephalitic parkinsonism, and parkinsonism; Unithroid for the treatment of hypothyroidism; and IPX203, a pipeline product for Parkinson's disease. The AvKARE segment offers pharmaceuticals, medical and surgical products, and services primarily to governmental agencies, the Department of Defense, and the Department of Veterans Affairs. This segment also distributes bottle and unit dose pharmaceuticals under the AvKARE and AvPAK names; and packages and distributes pharmaceuticals and vitamins to its retail and institutional customers. It sells its products through wholesalers, distributors, hospitals, chain pharmacies, and individual pharmacies. The company was formerly known as Atlas Holdings, Inc. and changed its name to Amneal Pharmaceuticals, Inc. in 2018. Amneal Pharmaceuticals, Inc. was founded in 2002 and is headquartered in Bridgewater, New Jersey.