Cronos Group Inc. (CRON) vs Eton Pharmaceuticals, Inc. (ETON)

Cronos Group Inc. and Eton Pharmaceuticals, Inc. are both Drug Manufacturers Specialty & Generic companies. Eton Pharmaceuticals, Inc. is the larger, with a market value of $1.7B against $1.2B — 1.4× the size. Cronos Group Inc. trades at the lower P/E: 16.7× against 123×. Eton Pharmaceuticals, Inc. grew revenue faster over the last twelve months: 81.5% against 37.5%. Cronos Group Inc. has the higher net margin (20.9% vs 12.0%) and the lower return on invested capital (−0.34% vs 21.4%). Across the 20 metrics below, Cronos Group Inc. leads on 11 and Eton Pharmaceuticals, Inc. on 9.

Valuation

Metric CRON ETON Drug Manufacturers Specialty & Generic median
P/E 16.70 122.72 20.14
P/S 6.97 15.10 2.25
P/B 1.12 34.23 1.90
Price to free cash flow 25.24 n/m 16.54
EV/EBITDA 36.04 74.26 12.29
EV/Sales 2.53 15.11 2.56
Earnings yield 5.99% 0.81% (2.99%)
Free cash flow yield 3.96% (0.53%) 0.00%

Profitability

Metric CRON ETON Drug Manufacturers Specialty & Generic median
Gross margin 45.86% 57.87% 53.94%
Operating margin (0.96%) 15.44% 0.00%
Net margin 20.91% 12.02% 0.00%
Free cash flow margin 27.61% (7.94%) 0.00%
Return on equity 3.33% 35.97% (0.40%)
Return on assets 3.18% 11.67% (3.32%)
Return on invested capital (0.34%) 21.39% 0.00%

Growth

Metric CRON ETON Drug Manufacturers Specialty & Generic median
Revenue growth (TTM) 37.46% 81.49% 10.01%
EPS growth (last fiscal year) (118.18%) (13.33%) —
Revenue growth, 5-year CAGR 25.70% 359.57% 6.74%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric CRON ETON Drug Manufacturers Specialty & Generic median
Debt to equity 0.00 0.60 0.05
Current ratio 16.18 1.52 2.31
Net debt to EBITDA 337.10 1.18 0.85

Dividend

Metric CRON ETON Drug Manufacturers Specialty & Generic median
Dividend yield — — 1.70%
Payout ratio 0.00 0.00 0.00

Size

Metric CRON ETON Drug Manufacturers Specialty & Generic median
Market cap 1.22b 1.72b 337.35m

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