Contrasting Eloxx Pharmaceuticals (NASDAQ:ELOX) & Prime Medicine (NYSE:PRME)

Eloxx Pharmaceuticals (NASDAQ:ELOX) and Prime Medicine (NYSE:PRME) are both medical companies, but which is the superior stock? We will contrast the two companies based on the strength of their analyst recommendations, earnings, dividends, institutional ownership, risk, profitability and valuation.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Eloxx Pharmaceuticals	N/A	N/A	N/A
Prime Medicine	N/A	-107.87%	-74.97%

Risk & Volatility

Eloxx Pharmaceuticals has a beta of -1686.44, indicating that its stock price is 168,744% less volatile than the S&P 500. Comparatively, Prime Medicine has a beta of 2.71, indicating that its stock price is 171% more volatile than the S&P 500.

Earnings & Valuation

This table compares Eloxx Pharmaceuticals and Prime Medicine”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Eloxx Pharmaceuticals	N/A	N/A	-$36.06 million	($9.07)	N/A
Prime Medicine	$5.98 million	133.79	-$198.13 million	($1.44)	-3.08

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

Insider & Institutional Ownership

2.9% of Eloxx Pharmaceuticals shares are owned by institutional investors. Comparatively, 70.4% of Prime Medicine shares are owned by institutional investors. 20.2% of Eloxx Pharmaceuticals shares are owned by company insiders. Comparatively, 22.7% of Prime Medicine shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Analyst Ratings

This is a breakdown of recent ratings and price targets for Eloxx Pharmaceuticals and Prime Medicine, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Eloxx Pharmaceuticals	0	0	0	0	0.00
Prime Medicine	0	3	4	0	2.57

Prime Medicine has a consensus target price of $7.21, indicating a potential upside of 62.72%. Given Prime Medicine’s stronger consensus rating and higher probable upside, analysts plainly believe Prime Medicine is more favorable than Eloxx Pharmaceuticals.

Summary

Prime Medicine beats Eloxx Pharmaceuticals on 8 of the 12 factors compared between the two stocks.

About Eloxx Pharmaceuticals

Eloxx Pharmaceuticals, Inc., a clinical-stage biopharmaceutical company, focuses on developing ribosome modulation for the treatment of rare and ultra-rare premature stop codon diseases. Its lead investigational drug product candidate is ELX-02, which is in Phase 2 clinical trial for the treatment of cystic fibrosis and nephropathic cystinosis patients with diagnosed nonsense mutations. The company also develops various preclinical programs for the treatment of alport syndrome, recessive dystrophic epidermolysis bullosa, junctional epidermolysis bullosa, and familial adenomatous polyposis, as well as various earlier discovery stage programs in oncology. Eloxx Pharmaceuticals, Inc. was founded in 2013 and is headquartered in Watertown, Massachusetts.

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.