Amarin (NASDAQ:AMRN) & Blueprint Medicines (NASDAQ:BPMC) Financial Survey

Amarin (NASDAQ:AMRN) and Blueprint Medicines (NASDAQ:BPMC) are both medical companies, but which is the superior investment? We will contrast the two companies based on the strength of their risk, dividends, earnings, profitability, valuation, institutional ownership and analyst recommendations.

Analyst Recommendations

This is a breakdown of current ratings and recommmendations for Amarin and Blueprint Medicines, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Amarin	1	0	1	0	2.00
Blueprint Medicines	0	4	13	1	2.83

Amarin currently has a consensus price target of $7.00, suggesting a potential downside of 31.94%. Blueprint Medicines has a consensus price target of $126.56, suggesting a potential upside of 27.63%. Given Blueprint Medicines’ stronger consensus rating and higher possible upside, analysts clearly believe Blueprint Medicines is more favorable than Amarin.

Profitability

This table compares Amarin and Blueprint Medicines’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Amarin	-16.33%	-7.22%	-4.96%
Blueprint Medicines	-13.19%	-77.49%	-20.84%

Valuation and Earnings

This table compares Amarin and Blueprint Medicines”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Amarin	$228.61 million	0.93	-$59.11 million	($4.00)	-2.57
Blueprint Medicines	$508.82 million	12.45	-$67.09 million	($2.47)	-40.15

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

Volatility & Risk

Amarin has a beta of 0.66, suggesting that its share price is 34% less volatile than the S&P 500. Comparatively, Blueprint Medicines has a beta of 0.83, suggesting that its share price is 17% less volatile than the S&P 500.

Insider & Institutional Ownership

22.3% of Amarin shares are owned by institutional investors. 3.3% of Amarin shares are owned by insiders. Comparatively, 4.2% of Blueprint Medicines shares are owned by 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.

Summary

Blueprint Medicines beats Amarin on 11 of the 15 factors compared between the two stocks.

About Amarin

Amarin Corporation plc, a pharmaceutical company, engages in the development and commercialization of therapeutics for the treatment of cardiovascular diseases in the United States, European countries, Canada, Lebanon, and the United Arab Emirates. The company offers VASCEPA, a prescription-only omega-3 fatty acid product, used as an adjunct to diet for reducing triglyceride levels in adult patients with severe hypertriglyceridemia. It sells its products principally to wholesalers and specialty pharmacy providers. The company has a collaboration with Mochida Pharmaceutical Co., Ltd. to develop and commercialize drug products and indications based on the active pharmaceutical ingredient in Vascepa. The company was formerly known as Ethical Holdings plc and changed its name to Amarin Corporation plc in 1999. Amarin Corporation plc was incorporated in 1989 and is headquartered in Dublin, Ireland.

About Blueprint Medicines

Blueprint Medicines Corporation, a precision therapy company, develops medicines for genomically defined cancers and blood disorders in the United States and internationally. The company is developing AYVAKIT for the treatment of systemic mastocytosis (SM) and gastrointestinal stromal tumors; BLU-263, an orally available, potent, and KIT inhibitor for the treatment of indolent SM, and other mast cell disorders. It is also developing GAVRETO for the treatment of RET fusion-positive non-small cell lung cancer, altered thyroid carcinoma, and medullary thyroid carcinoma; BLU-945 for the treatment of epidermal growth factor receptor driven non-small-cell lung carcinoma (NSCLC); and BLU-451 to treat NSCLC in patients with epidermal growth factor receptor gene (EGFR) exon 20 insertion mutations. In addition, the company is developing BLU-782, for the treatment of fibrodysplasia ossificans progressive; BLU- 222 to treat patients with cyclin E aberrant cancers; and BLU-852 for the treatment of advanced cancers. It has collaboration and license agreements with Clementia Pharmaceuticals, Inc.; Proteovant Therapeutics; CStone Pharmaceuticals; Genentech, Inc.; Hoffmann-La Roche Inc.; and Zai Lab (Shanghai) Co., Ltd. The company was formerly known as Hoyle Pharmaceuticals, Inc. and changed its name to Blueprint Medicines Corporation in June 2011. Blueprint Medicines Corporation was incorporated in 2008 and is headquartered in Cambridge, Massachusetts.