Korro Bio (NASDAQ:KRRO) and 4D Molecular Therapeutics (NASDAQ:FDMT) Head-To-Head Comparison
by Kim Johansen · The Markets Daily4D Molecular Therapeutics (NASDAQ:FDMT – Get Free Report) and Korro Bio (NASDAQ:KRRO – Get Free Report) are both small-cap medical companies, but which is the superior stock? We will contrast the two companies based on the strength of their risk, analyst recommendations, valuation, profitability, dividends, institutional ownership and earnings.
Profitability
This table compares 4D Molecular Therapeutics and Korro Bio’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| 4D Molecular Therapeutics | -164.43% | -31.75% | -28.30% |
| Korro Bio | -1,834.48% | -115.95% | -71.32% |
Risk and Volatility
4D Molecular Therapeutics has a beta of 2.94, indicating that its share price is 194% more volatile than the S&P 500. Comparatively, Korro Bio has a beta of 3.2, indicating that its share price is 220% more volatile than the S&P 500.
Insider and Institutional Ownership
99.3% of 4D Molecular Therapeutics shares are owned by institutional investors. Comparatively, 13.2% of Korro Bio shares are owned by institutional investors. 9.6% of 4D Molecular Therapeutics shares are owned by insiders. Comparatively, 4.6% of Korro Bio shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.
Valuation & Earnings
This table compares 4D Molecular Therapeutics and Korro Bio”s top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| 4D Molecular Therapeutics | $85.21 million | 5.68 | -$140.11 million | ($2.42) | -3.92 |
| Korro Bio | $6.39 million | 31.59 | -$117.26 million | ($12.47) | -1.12 |
Korro Bio has lower revenue, but higher earnings than 4D Molecular Therapeutics. 4D Molecular Therapeutics is trading at a lower price-to-earnings ratio than Korro Bio, indicating that it is currently the more affordable of the two stocks.
Analyst Recommendations
This is a breakdown of recent ratings and recommmendations for 4D Molecular Therapeutics and Korro Bio, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| 4D Molecular Therapeutics | 1 | 1 | 8 | 0 | 2.70 |
| Korro Bio | 1 | 4 | 5 | 1 | 2.55 |
4D Molecular Therapeutics presently has a consensus price target of $31.25, suggesting a potential upside of 229.64%. Korro Bio has a consensus price target of $37.29, suggesting a potential upside of 166.33%. Given 4D Molecular Therapeutics’ stronger consensus rating and higher possible upside, analysts plainly believe 4D Molecular Therapeutics is more favorable than Korro Bio.
Summary
4D Molecular Therapeutics beats Korro Bio on 10 of the 15 factors compared between the two stocks.
About 4D Molecular Therapeutics
4D Molecular Therapeutics, Inc., a clinical-stage biotherapeutics company, develops genetic medicines using its therapeutic vector evolution platform in the Netherland and the United States. The company develops a portfolio of genetic medicine product candidates focuses in three therapeutic areas for ophthalmology, cardiology, and pulmonology. Its product pipeline includes 4D-150, which is in phase 1/2 clinical trial for the treatment of wet age-related macular degeneration; and is in phase 1/2 clinical trial for the treatment of diabetic macular edema. The company develops 4D-125, which is in phase 1/2 clinical trial for the treatment of x-linked retinitis pigmentosa; 4D-110, which is in phase 1/2 clinical trial for the treatment of choroideremia; 4D-710, which is in phase 1/2 clinical trial for the treatment cystic fibrosis lung disease; and 4D-310 to treat fabry disease cardiomyopathy and is in phase 1/2 clinical trial. In addition, its product candidates comprises 4D-175, which is in pre-clinical development for the treatment for geographic trophy; and 4D-725 to treat alpha-1 antitrypsin deficiency lung disease and is in pre-clinical development. The company has collaboration and licensing agreements with Arbor Biotechnologies, Inc.; Astellas Gene Therapies, Inc; uniQure biopharma B.V.; and Cystic Fibrosis Foundation. 4D Molecular Therapeutics, Inc. was founded in 2013 and is headquartered in Emeryville, California.
About Korro Bio
Korro Bio, Inc., a biopharmaceutical company, engages in the discovery, development, and commercialization of genetic medicines based on editing RNA for the treatment of rare and highly prevalent diseases primarily in the United States. Its lead product candidate is KRRO-110 which is in preclinical trials for the treatment of Alpha-1 Antitrypsin Deficiency (AATD). It uses its RNA editing platform, OPERA to generate differentiated RNA editing product candidates. The company is also developing programs for Parkinson's disease, Amyotrophic lateral sclerosis, severe alcohol-associated hepatitis, and other subsets of pain. Korro Bio, Inc. was founded in 2018 and is based in Cambridge, Massachusetts.