Promis Neurosciences (NASDAQ:PMN) and Beam Therapeutics (NASDAQ:BEAM) Critical Survey

Promis Neurosciences (NASDAQ:PMN) and Beam Therapeutics (NASDAQ:BEAM) are both small-cap medical companies, but which is the superior stock? We will compare the two businesses based on the strength of their institutional ownership, valuation, earnings, analyst recommendations, profitability, risk and dividends.

Earnings and Valuation

This table compares Promis Neurosciences and Beam Therapeutics”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Promis Neurosciences	N/A	N/A	$2.78 million	($0.21)	-2.05
Beam Therapeutics	$63.52 million	33.25	-$376.74 million	($4.50)	-4.64

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

Institutional & Insider Ownership

50.1% of Promis Neurosciences shares are owned by institutional investors. Comparatively, 99.7% of Beam Therapeutics shares are owned by institutional investors. 6.1% of Promis Neurosciences shares are owned by company insiders. Comparatively, 3.5% of Beam Therapeutics shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Risk and Volatility

Promis Neurosciences has a beta of -0.05, meaning that its stock price is 105% less volatile than the S&P 500. Comparatively, Beam Therapeutics has a beta of 2.14, meaning that its stock price is 114% more volatile than the S&P 500.

Profitability

This table compares Promis Neurosciences and Beam Therapeutics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Promis Neurosciences	N/A	-266.69%	-131.59%
Beam Therapeutics	-661.31%	-43.15%	-31.06%

Analyst Recommendations

This is a summary of current recommendations and price targets for Promis Neurosciences and Beam Therapeutics, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Promis Neurosciences	0	0	3	0	3.00
Beam Therapeutics	0	2	9	3	3.07

Promis Neurosciences presently has a consensus price target of $4.33, suggesting a potential upside of 907.75%. Beam Therapeutics has a consensus price target of $48.45, suggesting a potential upside of 132.06%. Given Promis Neurosciences’ higher possible upside, analysts clearly believe Promis Neurosciences is more favorable than Beam Therapeutics.

Summary

Beam Therapeutics beats Promis Neurosciences on 8 of the 14 factors compared between the two stocks.

About Promis Neurosciences

ProMIS Neurosciences, Inc. discovers and develops antibody therapies and therapeutic vaccines neurodegenerative diseases and other misfolded protein diseases in Canada. The company’s proprietary discovery platform comprises ProMIS and Collective Coordinates algorithms to predict novel targets known as disease specific epitopes on the molecular surface of misfolded proteins. Its lead product candidates comprise of PMN310, a monoclonal antibody (mAb) for toxic oligomers in AD; PMN267, a TDP-43; and PMN442, a mAb targeting toxic a-syn oligomers and seeding fibrils. The company was formerly known as Amorfix Life Sciences Ltd. and changed its name to ProMIS Neurosciences, Inc. in July 2015. ProMIS Neurosciences, Inc. was incorporated in 2004 and is headquartered in Toronto, Canada.

About Beam Therapeutics

Beam Therapeutics Inc., a biotechnology company, engages in the development of precision genetic medicines for patients suffering from serious diseases in the United States. It develops BEAM-101 for the treatment of sickle cell disease or beta-thalassemia; and BEAM-302, a liver-targeting LNP formulation to treat severe alpha-1 antitrypsin deficiency; BEAM-201, an anti-CD7 CAR-T product candidate, which is in Phase 1/2 clinical trials for the treatment of refractory T-cell acute lymphoblastic leukemia/T cell lymphoblastic lymphoma; and BEAM-301, a liver-targeting LNP formulation for the treatment of glycogen storage disease 1a. The company has research collaboration agreement with Pfizer Inc., focus on in vivo base editing programs for targets rare genetic diseases of the liver, muscle, and central nervous system; Apellis Pharmaceuticals to conduct preclinical research on target specific genes within the complement system in various organs, including the eye, liver, and brain; Verve Therapeutics, Inc., for cardiovascular disease treatments; Sana Biotechnology, Inc., to research, develop, and commercialize rights to CRISPR Cas12b for cell therapy programs; and Orbital Therapeutics design RNA for the prevention, treatment or diagnosis of human disease. Beam Therapeutics Inc. was incorporated in 2017 and is based in Cambridge, Massachusetts.