Novozymes A/S (OTCMKTS:NVZMY) & TRACON Pharmaceuticals (NASDAQ:TCON) Head-To-Head Analysis

Novozymes A/S (OTCMKTS:NVZMY) and TRACON Pharmaceuticals (NASDAQ:TCON) are both basic materials companies, but which is the better stock? We will contrast the two companies based on the strength of their analyst recommendations, valuation, institutional ownership, risk, earnings, dividends and profitability.

Institutional & Insider Ownership

0.0% of Novozymes A/S shares are held by institutional investors. Comparatively, 11.6% of TRACON Pharmaceuticals shares are held by institutional investors. 5.3% of TRACON Pharmaceuticals shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Volatility and Risk

Novozymes A/S has a beta of 0.89, indicating that its stock price is 11% less volatile than the S&P 500. Comparatively, TRACON Pharmaceuticals has a beta of 1.29, indicating that its stock price is 29% more volatile than the S&P 500.

Analyst Ratings

This is a summary of current ratings and recommmendations for Novozymes A/S and TRACON Pharmaceuticals, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Novozymes A/S	0	1	2	0	2.67
TRACON Pharmaceuticals	0	1	0	0	2.00

TRACON Pharmaceuticals has a consensus price target of $60.00, indicating a potential upside of 66,566.67%. Given TRACON Pharmaceuticals’ higher possible upside, analysts plainly believe TRACON Pharmaceuticals is more favorable than Novozymes A/S.

Profitability

This table compares Novozymes A/S and TRACON Pharmaceuticals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Novozymes A/S	16.88%	21.42%	10.64%
TRACON Pharmaceuticals	N/A	-237.65%	57.29%

Earnings & Valuation

This table compares Novozymes A/S and TRACON Pharmaceuticals’ gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Novozymes A/S	$2.60 billion	12.50	$439.08 million	$1.58	43.88
TRACON Pharmaceuticals	$12.05 million	0.03	-$3.59 million	$0.67	0.13

Novozymes A/S has higher revenue and earnings than TRACON Pharmaceuticals. TRACON Pharmaceuticals is trading at a lower price-to-earnings ratio than Novozymes A/S, indicating that it is currently the more affordable of the two stocks.

Summary

Novozymes A/S beats TRACON Pharmaceuticals on 9 of the 14 factors compared between the two stocks.

About Novozymes A/S

Novozymes A/S produces and sells industrial enzymes, microorganisms, and probiotics in Denmark, rest of Europe, North America, Asia Pacific, the Middle East, Africa, Latin America, and internationally. The company offers protein solutions for the food and beverage industry. It also offers industrial hygiene, drain openers, hard surface, medical cleaning, septic tanks, ware washing, and professional laundry services. In addition, the company provides dishwashing, softener, microbial and medical cleaning services. Further, it provides corn, cotton, forages, peanuts, pulses, soybeans, wheat, small grains, bioyield, and biocontrol solutions; warm water species, recirculating aquaculture system; animal health and nutrition solutions; fiber modification, bleach boosting, deposit control, and starch modification solutions. Additionally, the company provides carbon capture, leather and textiles solutions; enzyme solutions, including corn and wheat separation, liquefaction, saccharification, filtration, isomerization, maltose, and specialties solutions; warm water species and recirculating aquaculture system solutions; human health solutions, comprising brain, oral, protective and immune, and gastrointestinal health solutions; ethanol, biodiesel, renewable diesel, education, wastewater, and sewage sludge, and renewable diesel solutions; agriculture and industry, biogas food waste, food waste, biocatalysis, cell culture, diagnostics, enzyme, and biogas solutions. Furthermore, it provides lipases, proteases, oxidoreductases, and carbohydrases. Novozymes A/S was founded in 1925 and is based in Bagsvaerd, Denmark.

About TRACON Pharmaceuticals

TRACON Pharmaceuticals, Inc., a biopharmaceutical company, focuses on the development and commercialization of novel targeted therapeutics for cancer in the United States. Its clinical stage products include envafolimab (KN035), a PD-L1 single-domain antibody for the treatment of refractory soft tissue sarcoma; and YH001, an investigational humanized cytotoxic T-lymphocyte-associated protein 4 IgG1 monoclonal antibody that is in Phase I clinical trial for the treatment of various cancer indications. The company's clinical stage products also include TRC102, a small molecule that is in Phase II clinical trial for the treatment of mesothelioma, and in Phase I clinical trial to treat solid tumors, lung cancer, and glioblastoma; and TJ004309, a CD73 antibody that is in Phase I clinical development for the treatment of solid tumors. In addition, it is developing bispecific antibodies, which are in preclinical stage. It has collaboration and license agreements with 3D Medicines Co., Ltd. and Jiangsu Alphamab Biopharmaceuticals Co., Ltd. for the development of envafolimab; I-Mab Biopharma for the development of CD73 antibody TJ004309 and bispecific antibodies; and cooperative research and development agreement with National Cancer Institute. The company was formerly known as Lexington Pharmaceuticals, Inc. and changed its name to TRACON Pharmaceuticals, Inc. in March 2005. TRACON Pharmaceuticals, Inc. was incorporated in 2004 and is headquartered in San Diego, California.