Head-To-Head Review: Personalis (NASDAQ:PSNL) and BridgeBio Pharma (NASDAQ:BBIO)

BridgeBio Pharma (NASDAQ:BBIO) and Personalis (NASDAQ:PSNL) are both medical companies, but which is the better investment? We will contrast the two businesses based on the strength of their dividends, earnings, risk, institutional ownership, profitability, analyst recommendations and valuation.

Insider and Institutional Ownership

99.8% of BridgeBio Pharma shares are held by institutional investors. Comparatively, 61.9% of Personalis shares are held by institutional investors. 18.2% of BridgeBio Pharma shares are held by insiders. Comparatively, 3.8% of Personalis shares are held 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.

Profitability

This table compares BridgeBio Pharma and Personalis’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
BridgeBio Pharma	-329.25%	N/A	-85.69%
Personalis	-113.70%	-47.57%	-35.05%

Valuation and Earnings

This table compares BridgeBio Pharma and Personalis”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
BridgeBio Pharma	$235.81 million	39.79	-$535.76 million	($4.09)	-12.00
Personalis	$84.61 million	5.06	-$81.28 million	($1.28)	-3.77

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

Volatility and Risk

BridgeBio Pharma has a beta of 1.23, suggesting that its stock price is 23% more volatile than the S&P 500. Comparatively, Personalis has a beta of 1.86, suggesting that its stock price is 86% more volatile than the S&P 500.

Analyst Ratings

This is a summary of current ratings and price targets for BridgeBio Pharma and Personalis, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
BridgeBio Pharma	0	0	17	0	3.00
Personalis	0	0	5	0	3.00

BridgeBio Pharma presently has a consensus target price of $61.3529, suggesting a potential upside of 25.01%. Personalis has a consensus target price of $7.4167, suggesting a potential upside of 53.55%. Given Personalis’ higher possible upside, analysts plainly believe Personalis is more favorable than BridgeBio Pharma.

Summary

Personalis beats BridgeBio Pharma on 7 of the 13 factors compared between the two stocks.

About BridgeBio Pharma

BridgeBio Pharma, Inc., a commercial-stage biopharmaceutical company, discovers, creates, tests, and delivers transformative medicines to treat patients who suffer from genetic diseases and cancers. Its products in development programs include AG10, a next-generation oral small molecule near-complete TTR stabilizer that is in Phase 3 clinical trial for the treatment of TTR amyloidosis, or transthyretin amyloid cardiomyopathy (ATTR-CM); low-dose infigratinib, an oral FGFR1-3 selective tyrosine kinase inhibitor, which is in Phase 3 double-blinded, placebo-controlled pivotal study for the treatment option for children with achondroplasia; and BBP-631, an AAV5 gene transfer product candidate that is in Phase 1/2 clinical trial for the treatment of congenital adrenal hyperplasia, or CAH, driven by 21-hydroxylase deficiency, or 21OHD. The company also develops Encaleret, a small molecule antagonist of the calcium sensing receptor, or CaSR, which is in phase 3 clinical trial for treating autosomal dominant hypocalcemia type 1, or ADH1; and BBP-418, a glycosylation substrate pro-drug that is in Phase 3 clinical trial for treating limb-girdle muscular dystrophy type 2I/R9 (LGMD2I/R9). In addition, it engages in developing products for mendelian, oncology, and gene therapy diseases. BridgeBio Pharma, Inc. has license and collaboration agreements with the Leland Stanford Junior University; and Leidos Biomedical Research, Inc. The company was founded in 2015 and is headquartered in Palo Alto, California.

About Personalis

Personalis, Inc. develops and markets advanced cancer genomic tests and analytics primarily in the United States, Europe, and the Asia-Pacific. Its tests and analytics are used by pharmaceutical companies for translational research, biomarker discovery, and development of personalized cancer therapies, as well as advanced tests are used by physicians to detect cancer recurrence, monitor cancer evolution, and uncover insights for therapy selection. The company offers NeXT Personal, a tumor-informed liquid biopsy test for detection of minimal residual disease (MRD) and recurrence in cancer; and ImmunoID NeXT, a tissue-based test that combines whole exome (DNA) and whole transcriptome (RNA) sequencing data with advanced analytics to provide a multi-dimensional view of the tumor and the tumor microenvironment from a single sample. It also provides NeXT Personal Dx, a tumor-informed liquid biopsy test for detection of MRD and recurrence in cancer; and NeXT Dx, a comprehensive tumor profiling test that unlocks the entire exome (DNA) and transcriptome (RNA) with matched tumor-normal analysis. In addition, the company performs whole exome sequencing (WES) of cancer tissue and matched blood samples for diagnostic companies as an input to their products; and whole genome sequencing (WGS) on human samples for research projects, such as population sequencing initiatives, as well as offers sequencing and data analysis services to support population sequencing initiatives. Its customers include pharmaceutical companies, biopharmaceutical companies, diagnostics companies, universities, non-profits, government entities, and patients. The company was incorporated in 2011 and is headquartered in Fremont, California.