Critical Contrast: Alnylam Pharmaceuticals (NASDAQ:ALNY) and Alpha Teknova (NASDAQ:TKNO)

Alpha Teknova (NASDAQ:TKNO) and Alnylam Pharmaceuticals (NASDAQ:ALNY) are both medical companies, but which is the better stock? We will compare the two companies based on the strength of their dividends, earnings, analyst recommendations, risk, profitability, valuation and institutional ownership.

Analyst Recommendations

This is a summary of recent recommendations and price targets for Alpha Teknova and Alnylam Pharmaceuticals, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Alpha Teknova	1	1	1	1	2.50
Alnylam Pharmaceuticals	0	5	22	0	2.81

Alpha Teknova presently has a consensus target price of $10.00, suggesting a potential upside of 201.20%. Alnylam Pharmaceuticals has a consensus target price of $485.21, suggesting a potential upside of 35.54%. Given Alpha Teknova’s higher possible upside, equities research analysts clearly believe Alpha Teknova is more favorable than Alnylam Pharmaceuticals.

Profitability

This table compares Alpha Teknova and Alnylam Pharmaceuticals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Alpha Teknova	-45.78%	-23.53%	-16.16%
Alnylam Pharmaceuticals	1.36%	26.61%	0.99%

Valuation & Earnings

This table compares Alpha Teknova and Alnylam Pharmaceuticals”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Alpha Teknova	$37.74 million	4.71	-$26.75 million	($0.35)	-9.49
Alnylam Pharmaceuticals	$2.25 billion	21.04	-$278.16 million	$0.24	1,491.58

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

Institutional & Insider Ownership

13.8% of Alpha Teknova shares are owned by institutional investors. Comparatively, 93.0% of Alnylam Pharmaceuticals shares are owned by institutional investors. 12.5% of Alpha Teknova shares are owned by insiders. Comparatively, 1.2% of Alnylam Pharmaceuticals shares are owned by 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

Alpha Teknova has a beta of 0.42, suggesting that its stock price is 58% less volatile than the S&P 500. Comparatively, Alnylam Pharmaceuticals has a beta of 0.32, suggesting that its stock price is 68% less volatile than the S&P 500.

Summary

Alnylam Pharmaceuticals beats Alpha Teknova on 10 of the 15 factors compared between the two stocks.

About Alpha Teknova

Alpha Teknova, Inc. produces critical reagents for the research, discovery, development, and commercialization of novel therapies, vaccines, and molecular diagnostics in the United States and internationally. The company offers pre-poured media plates for cell growth and cloning; liquid cell culture media and supplements for cellular expansion; and molecular biology reagents for sample manipulation, resuspension, and purification. It provides lab essentials which provides chemical formulations for use in biological research and drug discovery; and clinical solutions, a custom product used in the development and production of protein therapies, gene therapies, mRNA vaccines, and diagnostic kits. The company serves its products to life sciences market, including pharmaceutical and biotechnology companies, contract development and manufacturing organizations, in vitro diagnostic franchises, as well as academic and government research institutions. Alpha Teknova, Inc. was founded in 1996 and is headquartered in Hollister, California.

About Alnylam Pharmaceuticals

Alnylam Pharmaceuticals, Inc., a biopharmaceutical company, focuses on discovering, developing, and commercializing novel therapeutics based on ribonucleic acid interference. Its marketed products include ONPATTRO (patisiran) for the treatment of the polyneuropathy of hereditary transthyretin-mediated amyloidosis in adults; AMVUTTRA for the treatment of hATTR amyloidosis with polyneuropathy in adults; GIVLAARI for the treatment of adults with acute hepatic porphyria; and OXLUMO for the treatment of primary hyperoxaluria type 1. In addition, the company develops patisiran for the treatment of transthyretin amyloidosis, or ATTR amyloidosis, with cardiomyopathy; cemdisiran to treat complement-mediated diseases; Belcesiran for the treatment of alpha-1 liver disease; Elebsiran to treat chronic HBV infection; Zilebesiran to treat hypertension; ALN-APP to treat Alzheimer's disease and cerebral amyloid angiopathy; and ALN-HSD to treat NASH. Further, it offers Fitusiran for the treatment of hemophilia, Inclisiran to treat hypercholesterolemia, lumasiran for the treatment of advanced PH1, and vutrisiran for the treatment of ATTR amyloidosis, which is in phase 3 clinical trial. Alnylam Pharmaceuticals, Inc. has strategic collaborations with Regeneron Pharmaceuticals, Inc. to discover, develop, and commercialize RNAi therapeutics for a range of diseases by addressing therapeutic targets expressed in the eye and CNS; and Roche to develop pharmaceutical products containing zilebesiran. It also has license and collaboration agreements with Novartis AG; Vir Biotechnology, Inc.; Dicerna Pharmaceuticals, Inc.; Ionis Pharmaceuticals, Inc.; and PeptiDream, Inc. The company was founded in 2002 and is headquartered in Cambridge, Massachusetts.