Analyzing Ginkgo Bioworks (NYSE:DNA) and IQVIA (NYSE:IQV)
by Sarita Garza · The Markets DailyGinkgo Bioworks (NYSE:DNA – Get Free Report) and IQVIA (NYSE:IQV – Get Free Report) are both healthcare companies, but which is the better business? We will compare the two companies based on the strength of their dividends, institutional ownership, profitability, analyst recommendations, earnings, valuation and risk.
Valuation & Earnings
This table compares Ginkgo Bioworks and IQVIA”s revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Ginkgo Bioworks | $170.15 million | 4.46 | -$312.76 million | ($5.01) | -2.25 |
| IQVIA | $16.31 billion | 2.74 | $1.36 billion | $8.23 | 32.98 |
IQVIA has higher revenue and earnings than Ginkgo Bioworks. Ginkgo Bioworks is trading at a lower price-to-earnings ratio than IQVIA, indicating that it is currently the more affordable of the two stocks.
Analyst Ratings
This is a summary of recent ratings for Ginkgo Bioworks and IQVIA, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Ginkgo Bioworks | 2 | 2 | 0 | 0 | 1.50 |
| IQVIA | 1 | 2 | 16 | 2 | 2.90 |
Ginkgo Bioworks currently has a consensus price target of $7.00, indicating a potential downside of 37.82%. IQVIA has a consensus price target of $294.21, indicating a potential upside of 8.38%. Given IQVIA’s stronger consensus rating and higher probable upside, analysts clearly believe IQVIA is more favorable than Ginkgo Bioworks.
Risk & Volatility
Ginkgo Bioworks has a beta of 1.74, meaning that its share price is 74% more volatile than the S&P 500. Comparatively, IQVIA has a beta of 1.16, meaning that its share price is 16% more volatile than the S&P 500.
Institutional & Insider Ownership
78.6% of Ginkgo Bioworks shares are held by institutional investors. Comparatively, 89.6% of IQVIA shares are held by institutional investors. 12.7% of Ginkgo Bioworks shares are held by company insiders. Comparatively, 1.7% of IQVIA shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.
Profitability
This table compares Ginkgo Bioworks and IQVIA’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Ginkgo Bioworks | -259.96% | -60.27% | -26.88% |
| IQVIA | 8.05% | 30.02% | 6.52% |
Summary
IQVIA beats Ginkgo Bioworks on 12 of the 15 factors compared between the two stocks.
About Ginkgo Bioworks
Ginkgo Bioworks Holdings, Inc., together with its subsidiaries, develops platform for cell programming in the United States. Its platform is used to program cells to enable biological production of products, such as novel therapeutics, food ingredients, and chemicals derived from petroleum. It serves pharma and biotech, agriculture, industrial and environment, food and nutrition, consumer and technology, and government and defense industries. Ginkgo Bioworks Holdings, Inc. was founded in 2008 and is headquartered in Boston, Massachusetts.
About IQVIA
IQVIA Holdings Inc. engages in the provision of advanced analytics, technology solutions, and clinical research services to the life sciences industry in the Americas, Europe, Africa, and the Asia-Pacific. It operates through three segments: Technology & Analytics Solutions, Research & Development Solutions, and Contract Sales & Medical Solutions. The Technology & Analytics Solutions segment offers a range of cloud-based applications and related implementation services; real world solutions that enable life sciences and provider customers to generate and disseminate evidence, which informs health care decision making and improves patients’ outcomes; and strategic and implementation consulting services, such as advanced analytics and commercial processes outsourcing services. This segment also provides country level performance metrics related to sales of pharmaceutical products, prescribing trends, medical treatment, and promotional activity across various channels, including retail, hospital, and mail order; and measurement of sales or prescribing activity at the regional, zip code, and individual prescriber level. The Research & Development Solutions segment offers project management and clinical monitoring; clinical trial support; strategic planning and design services; and patient and site centric solutions, as well as central laboratory, genomic, bioanalytical, ADME, discovery, and vaccine and biomarker laboratory services. The Contract Sales & Medical Solutions segment provides health care provider and patient engagement services, and scientific strategy and medical affairs services. It serves pharmaceutical, biotechnology, device and diagnostic, and consumer health companies. The company has a collaboration with argenx SE. The company was formerly known as Quintiles IMS Holdings, Inc. and changed its name to IQVIA Holdings Inc. in November 2017. The company is headquartered in Durham, North Carolina.