Comparing iTeos Therapeutics (NASDAQ:ITOS) & CG Oncology (NASDAQ:CGON)

CG Oncology (NASDAQ:CGON) and iTeos Therapeutics (NASDAQ:ITOS) are both small-cap medical companies, but which is the better business? We will contrast the two companies based on the strength of their valuation, profitability, risk, analyst recommendations, dividends, earnings and institutional ownership.

Risk and Volatility

CG Oncology has a beta of 1.08, suggesting that its share price is 8% more volatile than the S&P 500. Comparatively, iTeos Therapeutics has a beta of 1.39, suggesting that its share price is 39% more volatile than the S&P 500.

Profitability

This table compares CG Oncology and iTeos Therapeutics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CG Oncology	-10,642.98%	-18.97%	-15.36%
iTeos Therapeutics	N/A	-20.11%	-17.50%

Insider & Institutional Ownership

26.6% of CG Oncology shares are owned by institutional investors. Comparatively, 97.2% of iTeos Therapeutics shares are owned by institutional investors. 7.4% of CG Oncology shares are owned by company insiders. Comparatively, 12.5% of iTeos Therapeutics shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Earnings & Valuation

This table compares CG Oncology and iTeos Therapeutics”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CG Oncology	$1.14 million	1,701.78	-$48.61 million	($1.51)	-16.84
iTeos Therapeutics	$35.00 million	8.54	-$112.64 million	($3.04)	-2.57

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

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for CG Oncology and iTeos Therapeutics, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CG Oncology	0	1	9	1	3.00
iTeos Therapeutics	0	4	3	0	2.43

CG Oncology presently has a consensus target price of $58.56, indicating a potential upside of 130.26%. iTeos Therapeutics has a consensus target price of $17.86, indicating a potential upside of 128.64%. Given CG Oncology’s stronger consensus rating and higher possible upside, research analysts clearly believe CG Oncology is more favorable than iTeos Therapeutics.

Summary

CG Oncology beats iTeos Therapeutics on 9 of the 15 factors compared between the two stocks.

About CG Oncology

CG Oncology, Inc., an oncolytic immunotherapy company, focuses on developing and commercializing backbone bladder-sparing therapeutics for patients with bladder cancer. The company develops BOND-003 for the treatment of high-risk bacillus calmette guerin (BCG)-unresponsive non-muscle invasive bladder cancer (NMIBC) patients; CORE-001 to treat cretostimogene in combination with pembrolizumab in high-risk BCG-unresponsive NMIBC patients; and CORE-002 for the treatment of cretostimogene in combination with the checkpoint inhibitor nivolumab in muscle invasive bladder cancer patients. It also develops PIVOT-006, a cretostimogene monotherapy for intermediate-risk NMIBC following transurethral resection of the bladder tumor; and CORE-008 for treating patients with high-risk NMIBC, including BCG-exposed and BCG-naïve NMIBC patients. CG Oncology, Inc. was formerly known as Cold Genesys, Inc. and changed its name to CG Oncology, Inc. in June 2020. The company was founded in 2010 and is based in Irvine, California.

About iTeos Therapeutics

iTeos Therapeutics, Inc. is a clinical-stage biopharmaceutical company, which engages in the discovery and development of a new generation of immuno-oncology therapeutics for people living with cancer. Its pipeline includes EOS-448, Inupadenant, and EOS-984. The company was founded by Michel Detheux in April 2012 and is headquartered in Watertown, MA.