Financial Analysis: Incyte (NASDAQ:INCY) & MIRA Pharmaceuticals (NASDAQ:MIRA)

Incyte (NASDAQ:INCY) and MIRA Pharmaceuticals (NASDAQ:MIRA) are both medical companies, but which is the superior stock? We will contrast the two businesses based on the strength of their analyst recommendations, institutional ownership, earnings, risk, profitability, valuation and dividends.

Volatility and Risk

Incyte has a beta of 0.75, suggesting that its share price is 25% less volatile than the S&P 500. Comparatively, MIRA Pharmaceuticals has a beta of 1.75, suggesting that its share price is 75% more volatile than the S&P 500.

Valuation and Earnings

This table compares Incyte and MIRA Pharmaceuticals”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Incyte	$4.24 billion	3.86	$32.62 million	$4.40	19.07
MIRA Pharmaceuticals	N/A	N/A	-$7.85 million	($0.49)	-2.67

Incyte has higher revenue and earnings than MIRA Pharmaceuticals. MIRA Pharmaceuticals is trading at a lower price-to-earnings ratio than Incyte, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

97.0% of Incyte shares are held by institutional investors. Comparatively, 35.2% of MIRA Pharmaceuticals shares are held by institutional investors. 17.8% of Incyte shares are held by insiders. Comparatively, 6.7% of MIRA Pharmaceuticals shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Profitability

This table compares Incyte and MIRA Pharmaceuticals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Incyte	18.99%	21.99%	14.43%
MIRA Pharmaceuticals	N/A	-406.70%	-328.44%

Analyst Ratings

This is a summary of recent recommendations and price targets for Incyte and MIRA Pharmaceuticals, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Incyte	1	10	7	0	2.33
MIRA Pharmaceuticals	0	0	1	1	3.50

Incyte presently has a consensus target price of $82.53, suggesting a potential downside of 1.63%. MIRA Pharmaceuticals has a consensus target price of $17.00, suggesting a potential upside of 1,197.71%. Given MIRA Pharmaceuticals’ stronger consensus rating and higher possible upside, analysts plainly believe MIRA Pharmaceuticals is more favorable than Incyte.

Summary

Incyte beats MIRA Pharmaceuticals on 10 of the 14 factors compared between the two stocks.

About Incyte

Incyte Corporation, a biopharmaceutical company, engages in the discovery, development, and commercialization of therapeutics for hematology/oncology, and inflammation and autoimmunity areas in the United States and internationally. The company offers JAKAFI (ruxolitinib) for treatment of intermediate or high-risk myelofibrosis, polycythemia vera, and steroid-refractory acute graft-versus-host disease; MONJUVI (tafasitamab-cxix)/MINJUVI (tafasitamab) for relapsed or refractory diffuse large B-cell lymphoma; PEMAZYRE (pemigatinib), a fibroblast growth factor receptor kinase inhibitor that act as oncogenic drivers in liquid and solid tumor types; ICLUSIG (ponatinib) to treat chronic myeloid leukemia and Philadelphia-chromosome positive acute lymphoblastic leukemia; and ZYNYZ (retifanlimab-dlwr) to treat adults with metastatic or recurrent locally advanced Merkel cell carcinoma, as well as OPZELURA cream for treatment of atopic dermatitis. Its clinical stage products include retifanlimab under Phase 3 clinical trials for squamous cell carcinoma of the anal canal and non-small cell lung cancer; axatilimab, an anti-CSF-1R monoclonal antibody under Phase 2 that is being developed as a therapy for patients with chronic GVHD; INCA033989 to inhibit oncogenesis; INCB160058, which is being developed as a disease-modifying therapeutic; and INCB99280 and INCB99318 for the treatment solid tumors. The company also develops INCB123667, INCA32459, and INCA33890, as well as Ruxolitinib cream, Povorcitinib, and INCA034460. It has collaboration out-license agreements with Novartis and Lilly; in-license agreements with Agenus, Merus, MacroGenics, and Syndax; and collaboration and license agreement with China Medical System Holdings Limited for the development and commercialization of povorcitinib. The company sells its products to specialty, retail, and hospital pharmacies, distributors, and wholesalers. The company was formerly known as Incyte Genomics Inc and changed its name to Incyte Corporation in March 2003. Incyte Corporation was incorporated in 1991 and is headquartered in Wilmington, Delaware.

About MIRA Pharmaceuticals

MIRA Pharmaceuticals, Inc. operates as a pre-clinical-stage pharmaceutical development company with two neuroscience programs targeting a range of neurologic and neuropsychiatric disorders. The company holds exclusive U.S., Canadian, and Mexican rights for Ketamir-2, a patent pending oral ketamine analog under investigation to deliver ultra-rapid antidepressant effects for individuals battling treatment-resistant depression, major depressive disorder with suicidal ideation, and post-traumatic stress disorder. In addition, its oral pharmaceutical marijuana, MIRA-55, is under investigation for treating adult patients suffering from anxiety and cognitive decline, often associated with early-stage dementia. The company was formerly known as MIRA1a Therapeutics, Inc. MIRA Pharmaceuticals, Inc. was incorporated in 2020 and is headquartered in Miami, Florida.