Reviewing Chugai Pharmaceutical (OTCMKTS:CHGCY) & Astellas Pharma (OTCMKTS:ALPMY)

Astellas Pharma (OTCMKTS:ALPMY) and Chugai Pharmaceutical (OTCMKTS:CHGCY) are both large-cap medical companies, but which is the superior business? We will compare the two companies based on the strength of their analyst recommendations, profitability, institutional ownership, valuation, dividends, risk and earnings.

Risk & Volatility

Astellas Pharma has a beta of 0.37, indicating that its share price is 63% less volatile than the S&P 500. Comparatively, Chugai Pharmaceutical has a beta of 0.89, indicating that its share price is 11% less volatile than the S&P 500.

Dividends

Astellas Pharma pays an annual dividend of $0.30 per share and has a dividend yield of 2.5%. Chugai Pharmaceutical pays an annual dividend of $0.19 per share and has a dividend yield of 0.8%. Astellas Pharma pays out 428.6% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Chugai Pharmaceutical pays out 27.9% of its earnings in the form of a dividend.

Institutional and Insider Ownership

0.0% of Chugai Pharmaceutical shares are held by institutional investors. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Profitability

This table compares Astellas Pharma and Chugai Pharmaceutical’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Astellas Pharma	1.17%	7.79%	3.52%
Chugai Pharmaceutical	32.68%	21.45%	18.07%

Analyst Recommendations

This is a summary of recent ratings and price targets for Astellas Pharma and Chugai Pharmaceutical, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Astellas Pharma	0	0	0	0	N/A
Chugai Pharmaceutical	0	0	0	0	N/A

Earnings and Valuation

This table compares Astellas Pharma and Chugai Pharmaceutical”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Astellas Pharma	$11.11 billion	1.92	$113.00 million	$0.07	168.07
Chugai Pharmaceutical	$7.93 billion	9.63	$2.31 billion	$0.68	34.12

Chugai Pharmaceutical has lower revenue, but higher earnings than Astellas Pharma. Chugai Pharmaceutical is trading at a lower price-to-earnings ratio than Astellas Pharma, indicating that it is currently the more affordable of the two stocks.

Summary

Chugai Pharmaceutical beats Astellas Pharma on 9 of the 12 factors compared between the two stocks.

About Astellas Pharma

Astellas Pharma Inc. manufactures, markets, and imports and exports pharmaceuticals in Japan and internationally. The company provides XTANDI, a treatment for prostate cancer; XOSPATA, a treatment for patients who have relapsed or refractory acute myeloid leukemia with a FLT3 mutation; and PADCEV, a treatment for patients with metastatic urothelial cancer. It also offers Evrenzo, a treatment for anemia associated with chronic kidney disease; Betanis/Myrabetriq/BETMIGA, a treatment for overactive bladder; and Prograf and Advagraf/Graceptor/ASTAGRAF XL immunosuppressants. Th company has a research collaboration with Vivtex Corporation to evaluate Vivtex’s GI-ORIS screening and formulation platform technology to support the development of novel and oral versions of a therapeutic candidate provided by Astellas; and a partnership agreement with Roche Diabetes Care Japan Co., Ltd. to develop and commercialize integrated diabetes self-management solution. The company was founded in 1923 and is headquartered in Tokyo, Japan.

About Chugai Pharmaceutical

Chugai Pharmaceutical Co., Ltd., together with its subsidiaries, engages in the research, development, manufacture, sale, importation, and exportation of pharmaceuticals in Japan and internationally. The company’s products for oncology primarily include Avastin, FoundationOne, Polivy, Rozlytrek, Tecentriq, Perjeta, Alecensa, Herceptin, Kadcyla, Rituxan, and Gazyva; Edirol, an Osteoporosis agent; Mircera, an erythropoiesis agent; Oxarol, an agent for secondary hyperparathyroidism; and other diseases comprise Hemlibra, CellCept, Bonviva, Tamiflu, Evrysdi, Ronapreve, Vabysmo, and Enspryng. It has various development product candidates in the areas of oncology, immunology, neuroscience, hematology, ophthalmology, and other diseases. Chugai Pharmaceutical Co., Ltd. has strategic alliances and collaboration with Roche Group. The company was founded in 1925 and is headquartered in Chuo, Japan. Chugai Pharmaceutical Co., Ltd. operates as a subsidiary of Roche Holding Ltd.