Outlook Therapeutics (NASDAQ:OTLK – Get Free Report) and Editas Medicine (NASDAQ:EDIT – Get Free Report) are both small-cap medical companies, but which is the better business? We will compare the two businesses based on the strength of their risk, analyst recommendations, dividends, institutional ownership, profitability, valuation and earnings.
Insider and Institutional Ownership
11.2% of Outlook Therapeutics shares are held by institutional investors. Comparatively, 71.9% of Editas Medicine shares are held by institutional investors. 5.3% of Outlook Therapeutics shares are held by company insiders. Comparatively, 1.9% of Editas Medicine shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.
Risk & Volatility
Outlook Therapeutics has a beta of 0.04, indicating that its share price is 96% less volatile than the S&P 500. Comparatively, Editas Medicine has a beta of 2.02, indicating that its share price is 102% more volatile than the S&P 500.
Analyst Ratings
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Outlook Therapeutics | 0 | 1 | 7 | 0 | 2.88 |
| Editas Medicine | 0 | 4 | 5 | 0 | 2.56 |
Outlook Therapeutics presently has a consensus price target of $46.43, suggesting a potential upside of 473.86%. Editas Medicine has a consensus price target of $15.00, suggesting a potential upside of 167.86%. Given Outlook Therapeutics’ stronger consensus rating and higher probable upside, analysts clearly believe Outlook Therapeutics is more favorable than Editas Medicine.
Valuation and Earnings
This table compares Outlook Therapeutics and Editas Medicine’s top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Outlook Therapeutics | N/A | N/A | -$58.98 million | ($4.00) | -2.02 |
| Editas Medicine | $78.12 million | 5.90 | -$153.22 million | ($2.05) | -2.73 |
Outlook Therapeutics has higher earnings, but lower revenue than Editas Medicine. Editas Medicine is trading at a lower price-to-earnings ratio than Outlook Therapeutics, indicating that it is currently the more affordable of the two stocks.
Profitability
This table compares Outlook Therapeutics and Editas Medicine’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Outlook Therapeutics | N/A | -3,741.39% | -132.37% |
| Editas Medicine | -196.12% | -42.95% | -30.49% |
Summary
Outlook Therapeutics beats Editas Medicine on 7 of the 13 factors compared between the two stocks.
About Outlook Therapeutics
Outlook Therapeutics, Inc., operates as a clinical-stage biopharmaceutical company, focuses on developing and commercializing monoclonal antibodies for various ophthalmic indications. Its lead product candidate is ONS-5010, an ophthalmic formulation of bevacizumab product candidate that is in Phase-III clinical trial for the treatment of wet age-related macular degeneration and other retina diseases. Outlook Therapeutics, Inc. has collaboration and license agreements with BioLexis Pte. Ltd. and Zhejiang Huahai Pharmaceutical Co., Ltd. The company was formerly known as Oncobiologics, Inc. and changed its name to Outlook Therapeutics, Inc. in November 2018. Outlook Therapeutics, Inc. was incorporated in 2010 and is based in Iselin, New Jersey.
About Editas Medicine
Editas Medicine, Inc., a clinical stage genome editing company, focuses on developing transformative genomic medicines to treat a range of serious diseases. It develops a proprietary gene editing platform based on CRISPR technology. The company develops EDIT-101, which is in Phase 1/2 BRILLIANCE trial for Leber Congenital Amaurosis; and reni-cel, a clinical development gene-edited medicine to treat sickle cell disease and transfusion-dependent beta-thalassemia. In addition, the company is developing alpha-beta T cells for solid and liquid tumors; and gamma delta T cell therapies to treat cancer. It has a research collaboration with Juno Therapeutics, Inc. to develop engineered T cells for cancer; strategic alliance and option agreement with Allergan Pharmaceuticals International Limited. The company was formerly known as Gengine, Inc. and changed its name to Editas Medicine, Inc. in November 2013. Editas Medicine, Inc. was incorporated in 2013 and is based in Cambridge, Massachusetts.
Receive News & Ratings for Outlook Therapeutics Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Outlook Therapeutics and related companies with MarketBeat.com's FREE daily email newsletter.
