Financial Analysis: BioCardia (NASDAQ:BCDA) versus Humacyte (NASDAQ:HUMA)

Humacyte (NASDAQ:HUMA) and BioCardia (NASDAQ:BCDA) are both small-cap medical companies, but which is the superior stock? We will contrast the two companies based on the strength of their analyst recommendations, institutional ownership, dividends, risk, earnings, profitability and valuation.

Analyst Ratings

This is a summary of recent ratings and price targets for Humacyte and BioCardia, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Humacyte	0	1	6	1	3.00
BioCardia	0	0	1	1	3.50

Humacyte currently has a consensus target price of $11.71, suggesting a potential upside of 396.37%. BioCardia has a consensus target price of $25.00, suggesting a potential upside of 1,079.25%. Given BioCardia’s stronger consensus rating and higher possible upside, analysts clearly believe BioCardia is more favorable than Humacyte.

Insider & Institutional Ownership

44.7% of Humacyte shares are held by institutional investors. Comparatively, 20.6% of BioCardia shares are held by institutional investors. 5.1% of Humacyte shares are held by company insiders. Comparatively, 20.0% of BioCardia shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Risk & Volatility

Humacyte has a beta of 2, indicating that its stock price is 100% more volatile than the S&P 500. Comparatively, BioCardia has a beta of 0.82, indicating that its stock price is 18% less volatile than the S&P 500.

Profitability

This table compares Humacyte and BioCardia’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Humacyte	N/A	N/A	-73.59%
BioCardia	N/A	-30,792.60%	-223.06%

Valuation & Earnings

This table compares Humacyte and BioCardia”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Humacyte	$1.57 million	233.17	-$148.70 million	($0.69)	-3.42
BioCardia	$60,000.00	183.03	-$7.95 million	($2.33)	-0.91

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

Summary

Humacyte beats BioCardia on 8 of the 13 factors compared between the two stocks.

About Humacyte

Humacyte, Inc. engages in the development and manufacture of off-the-shelf, implantable, and bioengineered human tissues for the treatment of diseases and conditions across a range of anatomic locations in multiple therapeutic areas. The company using its proprietary and scientific technology platform to engineer and manufacture human acellular vessels (HAVs) to be implanted into patient without inducing a foreign body response or leading to immune rejection. It is developing a portfolio of HAVs, which would target the vascular repair, reconstruction, and replacement market, including vascular trauma; arteriovenous access for hemodialysis; peripheral arterial disease; pediatric heart surgery; and coronary artery bypass grafting, as well as for the delivery of cellular therapy, including pancreatic islet cell transplantation to treat Type 1 diabetes. The company was founded in 2004 and is headquartered in Durham, North Carolina.

About BioCardia

BioCardia, Inc., a clinical-stage regenerative medicine company, develops cellular and cell-derived therapeutics for cardiovascular and pulmonary diseases in the United States. Its lead product candidate is CardiAMP, an autologous mononuclear cell therapy system in Phase III clinical trial for the treatment of ischemic heart failure with reduced ejection fraction and refractory angina resulting from chronic myocardial ischemia. The company is also developing an allogeneic cells therapy platform, which is an investigational culture expanded bone marrow derived mesenchymal cell therapy in Phase I/II trial to treat ischemic heart failure and acute respiratory distress syndrome. In addition, it offers the Helix biotherapeutic delivery system for minimally invasive targeted delivery of biologic agents to the heart; and Morph deflectable guides and sheaths. The company has collaboration agreements with CellProthera in the development of ProtheraCytes, which is currently under Phase II trial for the treatment of acute myocardial infarction. BioCardia, Inc. is based in Sunnyvale, California.