Comparing Turn Therapeutics (NASDAQ:TTRX) and MusclePharm (OTCMKTS:MSLP)

Turn Therapeutics (NASDAQ:TTRX) and MusclePharm (OTCMKTS:MSLP) are both small-cap manufacturing companies, but which is the better stock? We will compare the two businesses based on the strength of their risk, valuation, earnings, profitability, dividends, analyst recommendations and institutional ownership.

Analyst Recommendations

This is a summary of current recommendations and price targets for Turn Therapeutics and MusclePharm, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Turn Therapeutics	1	0	1	0	2.00
MusclePharm	0	0	0	0	0.00

Turn Therapeutics currently has a consensus price target of $8.00, indicating a potential upside of 27.15%. Given Turn Therapeutics’ stronger consensus rating and higher possible upside, research analysts plainly believe Turn Therapeutics is more favorable than MusclePharm.

Valuation & Earnings

This table compares Turn Therapeutics and MusclePharm”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Turn Therapeutics	N/A	N/A	-$3.19 million	($0.19)	-33.12
MusclePharm	$50.04 million	0.00	-$12.87 million	($0.58)	N/A

Turn Therapeutics has higher earnings, but lower revenue than MusclePharm. Turn Therapeutics is trading at a lower price-to-earnings ratio than MusclePharm, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Turn Therapeutics and MusclePharm’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Turn Therapeutics	N/A	N/A	N/A
MusclePharm	-38.51%	N/A	-169.56%

Insider & Institutional Ownership

15.5% of MusclePharm shares are held by institutional investors. 60.7% of MusclePharm shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Summary

Turn Therapeutics beats MusclePharm on 7 of the 11 factors compared between the two stocks.

About Turn Therapeutics

We are a pharmaceutical and medical device development company built around a proprietary platform technology designed to enhance drug performance. Our patented mixing process — commercially referred to as PermaFusion™ (“PermaFusion”) — enables stable suspension of polar, water-soluble active pharmaceutical ingredients (“APIs”) in oil-based carriers without the use of emulsifiers. This innovation reduces the quantity of required API inclusion by improving its bioavailability. Reduced API load reduces the likelihood of adverse events. Our proprietary platform has been validated across multiple FDA-cleared medical devices. Our primary development programs focus on dermatological diseases, including moderate to severe eczema and onychomycosis. Our company’s origin is rooted in the personal journey of our founder, who developed a topical ointment to heal his own chronic, treatment-resistant wounds using the PermaFusion platform he developed. His initial formulation, now known as Hexagen (“Hexagen”) suspends certain antimicrobial/anti-inflammatory compounds in petrolatum without known cytotoxicity, irritation or sensitization. This formula has received three FDA clearances and has been utilized extensively in humans, which we believe demonstrates both technical proof of concept and meaningful therapeutic effects. The formula also has been demonstrated to provide anti-inflammatory immunological signaling (IL 36, IL 31, IL 4 inhibition), in-vivo nail penetration with fungal pathogen elimination, and other potential therapeutic benefits. These products are not presently on the market, and we are not currently generating revenue from these devices, as we focus on drug development of our core technology. In addition to our dermatology and wound programs, we are exploring broader applications of our PermaFusion technology. In partnership with a leading global nonprofit organization, we are attempting to develop intranasal vaccines with sufficient thermostability to withstand distribution without deep-freeze. Our goal is to eliminate the need for frozen storage and, thus, enable deployment and delivery to low-resource settings that do not maintain suitable cold storage infrastructure required for administration of modern-day vaccines. Furthermore, if we are successful in this initial program, we believe there may be opportunities to develop additional vaccines in thermostable, intranasal form. By reducing cold-storage infrastructure requirements and therefore enabling standard shipping of such vaccines, we believe intranasal vaccines have the potential to enhance patient uptake by enabling immunization in a broader variety of settings including in clinic, hospital and home-health settings. We believe this initiative highlights our platform’s versatility and its potential to unlock new therapeutic categories beyond dermatology. We have also completed preclinical, in-vivo xenograft studies for herpes zoster ophthalmicus (shingles of the eye) and basal cell carcinoma. A mildly reformulated version of the Hexagen formula was employed for the ocular study and compared this reformulation with placebo as a topical ocular agent intended to reduce viral load of herpes zoster in an animal model. Results obtained showed an 85% reduction in viral load compared to placebo without adverse events. For the basal cell carcinoma xenograft study, the Hexagen formula was compared to both placebo and 5-Fluorouracil (standard of care topical chemotherapy) as a topical treatment intended to reduce basal cell tumor size. The Hexagen formula showed an approximate 29% comparative reduction in tumor size to the placebo and an approximate 20% comparative reduction in tumor size compared to 5-Fluorouracil. We believe these preclinical in-vivo studies suggest meaningful potential in these indications, which we may continue to explore at the conclusion of our lead drug programs. We believe such exploratory results further underscore the potential breadth of opportunity enabled by our platform. We were initially formed on January 6, 2015, as Global Health Solutions, LLC, a Delaware limited liability company. On October 12, 2018, Global Health Solutions, LLC converted to a Delaware corporation under the name Global Health Solutions, Inc., dba Turn Therapeutics. Immediately prior to the effectiveness of the registration statement of which this prospectus forms a part, we intend to change our name to Turn Therapeutics Inc. Our principal executive offices are located in Westlake Village, CA.

About MusclePharm

MusclePharm Corporation develops, manufactures, markets, and distributes sports nutrition products and nutritional supplements in the United States and internationally. The company offers a range of performance powders, capsules, tablets, gels, and on-the-go ready to eat snacks. Its MusclePharm brand product portfolio includes combat protein powder and combat crunch protein bars; and essential supplements, such as a BCAA, creatine, glutamine, carnitine, CLA, fish oil, multi-vitamin, and other products. The company also provides FitMiss branded sports nutrition products, which are formulated primarily for the female body to support women in the areas of weight management, lean muscle mass, body composition, and general health and wellness; and functional energy beverages under the Combat Energy and FitMiss Energy brands. It sells its products to various athletes and fitness enthusiasts. The company was incorporated in 2006 and is based in Las Vegas, Nevada.