Indivior (OTCMKTS:INVVY) & NovaBay Pharmaceuticals (NYSE:NBY) Financial Analysis

Indivior (OTCMKTS:INVVY) and NovaBay Pharmaceuticals (NYSE:NBY) are both medical companies, but which is the better stock? We will compare the two companies based on the strength of their valuation, profitability, institutional ownership, earnings, dividends, risk and analyst recommendations.

Volatility and Risk

Indivior has a beta of 0.35, suggesting that its share price is 65% less volatile than the S&P 500. Comparatively, NovaBay Pharmaceuticals has a beta of 0.73, suggesting that its share price is 27% less volatile than the S&P 500.

Profitability

This table compares Indivior and NovaBay Pharmaceuticals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Indivior	N/A	N/A	N/A
NovaBay Pharmaceuticals	-91.86%	-744.33%	-106.89%

Analyst Recommendations

This is a summary of current ratings and target prices for Indivior and NovaBay Pharmaceuticals, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Indivior	0	0	0	0	N/A
NovaBay Pharmaceuticals	0	0	0	0	N/A

Earnings and Valuation

This table compares Indivior and NovaBay Pharmaceuticals”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Indivior	$791.00 million	3.81	$205.00 million	$1.05	20.81
NovaBay Pharmaceuticals	$13.88 million	0.06	-$9.64 million	($109.09)	-0.01

Indivior has higher revenue and earnings than NovaBay Pharmaceuticals. NovaBay Pharmaceuticals is trading at a lower price-to-earnings ratio than Indivior, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

0.1% of Indivior shares are owned by institutional investors. Comparatively, 23.3% of NovaBay Pharmaceuticals shares are owned by institutional investors. 0.1% of NovaBay Pharmaceuticals shares are owned by 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.

Summary

Indivior beats NovaBay Pharmaceuticals on 8 of the 11 factors compared between the two stocks.

About Indivior

Indivior PLC is a holding company, which engages in the development, manufacture and sale of buprenorphine-based prescription drugs for treatment of opioid dependence. Its products include Suboxone Film, Suboxone Tablet, and Subutex Tablet. It operates through the following geographical segments: United States, Rest of World, and United Kingdom. The company was founded on September 26, 2014 and is headquartered in Slough, the United Kingdom.

About NovaBay Pharmaceuticals

NovaBay Pharmaceuticals, Inc., a biopharmaceutical company, develops and sells eyecare, skincare, and wound care products in the United States and internationally. It offers Avenova Spray, a solution for removing foreign materials, including microorganisms and debris from skin around the eye, such as the eyelid; and wound care products, which are used for cleansing and irrigation as part of surgical procedures, as well as treating certain wounds, burns, ulcers, and other injuries under the NeutroPhase and PhaseOne brands. The company also provides dermatological solutions to address skincare concerns comprising keratosis pilaris, rosacea and eczema, anti-aging, hyperhidrosis, excessive hair, and acne under the DERMAdoctor brand. It sells its products through traditional and digital beauty retailers and distributors, as well as online. The company was formerly known as NovaCal Pharmaceuticals, Inc. and changed its name to NovaBay Pharmaceuticals, Inc. in February 2007. NovaBay Pharmaceuticals, Inc. was incorporated in 2000 and is headquartered in Emeryville, California.