Critical Comparison: Oruka Therapeutics (NASDAQ:ORKA) versus Achieve Life Sciences (NASDAQ:ACHV)

Achieve Life Sciences (NASDAQ:ACHV) and Oruka Therapeutics (NASDAQ:ORKA) are both small-cap medical companies, but which is the superior business? We will compare the two companies based on the strength of their earnings, profitability, analyst recommendations, institutional ownership, risk, valuation and dividends.

Valuation and Earnings

This table compares Achieve Life Sciences and Oruka Therapeutics”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Achieve Life Sciences	N/A	N/A	-$29.82 million	($1.13)	-2.55
Oruka Therapeutics	N/A	N/A	-$5.34 million	($6.26)	-1.66

Achieve Life Sciences is trading at a lower price-to-earnings ratio than Oruka Therapeutics, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Achieve Life Sciences and Oruka Therapeutics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Achieve Life Sciences	N/A	-108.30%	-65.20%
Oruka Therapeutics	N/A	-24.96%	-21.22%

Risk & Volatility

Achieve Life Sciences has a beta of 1.66, suggesting that its stock price is 66% more volatile than the S&P 500. Comparatively, Oruka Therapeutics has a beta of 0.67, suggesting that its stock price is 33% less volatile than the S&P 500.

Analyst Ratings

This is a summary of current recommendations and price targets for Achieve Life Sciences and Oruka Therapeutics, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Achieve Life Sciences	0	0	3	2	3.40
Oruka Therapeutics	0	0	7	2	3.22

Achieve Life Sciences presently has a consensus price target of $15.75, indicating a potential upside of 446.88%. Oruka Therapeutics has a consensus price target of $39.86, indicating a potential upside of 283.98%. Given Achieve Life Sciences’ stronger consensus rating and higher possible upside, analysts plainly believe Achieve Life Sciences is more favorable than Oruka Therapeutics.

Insider and Institutional Ownership

33.5% of Achieve Life Sciences shares are held by institutional investors. Comparatively, 56.4% of Oruka Therapeutics shares are held by institutional investors. 2.0% of Achieve Life Sciences shares are held by insiders. Comparatively, 22.7% of Oruka Therapeutics shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Summary

Oruka Therapeutics beats Achieve Life Sciences on 7 of the 11 factors compared between the two stocks.

About Achieve Life Sciences

Achieve Life Sciences, Inc., a clinical-stage pharmaceutical company, develops and commercializes cytisinicline for smoking cessation and nicotine addiction. The company offers cytisinicline, a plant-based alkaloid that interacts with nicotine receptors in the brain that reduce the severity of nicotine withdrawal symptoms. It has license and supply agreement with Sopharma AD and University of Bristol Achieve Life Sciences, Inc. is based in Vancouver, Canada.

About Oruka Therapeutics

Oruka Therapeutics, Inc. is a biotechnology company, which focuses on developing novel monoclonal antibody therapeutics for PsO and other I&I indications. Its pipeline includes ORKA-001 and ORKA-002. The company is headquartered in Menlo Park, CA.