AlloVir (NASDAQ:ALVR) & Prime Medicine (NYSE:PRME) Head-To-Head Contrast

Prime Medicine (NYSE:PRME) and AlloVir (NASDAQ:ALVR) are both small-cap medical companies, but which is the superior business? We will compare the two companies based on the strength of their analyst recommendations, profitability, valuation, institutional ownership, earnings, dividends and risk.

Analyst Recommendations

This is a summary of recent ratings and price targets for Prime Medicine and AlloVir, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Prime Medicine	0	3	4	1	2.75
AlloVir	0	0	0	0	0.00

Prime Medicine currently has a consensus price target of $8.92, indicating a potential upside of 74.15%. Given Prime Medicine’s stronger consensus rating and higher possible upside, research analysts clearly believe Prime Medicine is more favorable than AlloVir.

Insider & Institutional Ownership

70.4% of Prime Medicine shares are owned by institutional investors. Comparatively, 66.1% of AlloVir shares are owned by institutional investors. 22.7% of Prime Medicine shares are owned by company insiders. Comparatively, 32.1% of AlloVir shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Profitability

This table compares Prime Medicine and AlloVir’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Prime Medicine	N/A	-107.87%	-74.97%
AlloVir	N/A	-71.03%	-61.27%

Valuation and Earnings

This table compares Prime Medicine and AlloVir”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Prime Medicine	$4.96 million	138.89	-$198.13 million	($1.56)	-3.28
AlloVir	N/A	N/A	-$190.42 million	($20.23)	-0.28

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

Risk & Volatility

Prime Medicine has a beta of 2.38, indicating that its stock price is 138% more volatile than the S&P 500. Comparatively, AlloVir has a beta of 0.63, indicating that its stock price is 37% less volatile than the S&P 500.

Summary

Prime Medicine beats AlloVir on 8 of the 13 factors compared between the two stocks.

About Prime Medicine

Prime Medicine, Inc., a biotechnology company, delivers genetic therapies to address the spectrum of diseases by deploying gene editing technology. The company offers Prime Editors with a Prime Editor protein, comprising a fusion between a Cas protein and a reverse transcriptase enzyme; and a pegRNA, which targets the Prime Editor to a specific genomic location and provides a template for making the desired edit to the target DNA sequence. It has a research collaboration with Cimeio Therapeutics to develop Prime Edited Shielded-Cell & Immunotherapy Pairs for genetic diseases, acute myeloid leukemia, and myelodysplastic syndrome. The company was incorporated in 2019 and is based in Cambridge, Massachusetts.

About AlloVir

AlloVir, Inc. engages in the research, development and commercialization of off-the-shelf VST therapies to prevent and treat severe viral-associated diseases. It develops novel cell therapies with a focus on restoring natural immunity against life-threatening virus-associated diseases in patients with severely weakened immune systems. The firm’s technology platforms deliver commercially scalable solutions by leveraging off-the-shelf, allogeneic, multi-virus specific T-cells targeting devastating viral pathogens for immunocompromised patients under viral attack. The company was founded by Malcolm K. Brenner, Juan F. Vera, Helen E. Heslop, Cliona M. Rooney, John R. Wilson, and Ann M. Leen in August 2013 and is headquartered in Waltham, MA.