Reviewing Calliditas Therapeutics AB (publ) (NASDAQ:CALT) & Zymeworks (NASDAQ:ZYME)
by Renee Jackson · The Cerbat GemCalliditas Therapeutics AB (publ) (NASDAQ:CALT – Get Free Report) and Zymeworks (NASDAQ:ZYME – Get Free Report) are both small-cap medical companies, but which is the superior business? We will compare the two businesses based on the strength of their valuation, earnings, institutional ownership, risk, dividends, analyst recommendations and profitability.
Analyst Ratings
This is a breakdown of current recommendations for Calliditas Therapeutics AB (publ) and Zymeworks, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Calliditas Therapeutics AB (publ) | 0 | 0 | 0 | 0 | 0.00 |
| Zymeworks | 1 | 1 | 7 | 2 | 2.91 |
Zymeworks has a consensus target price of $38.00, indicating a potential upside of 51.21%. Given Zymeworks’ stronger consensus rating and higher probable upside, analysts plainly believe Zymeworks is more favorable than Calliditas Therapeutics AB (publ).
Profitability
This table compares Calliditas Therapeutics AB (publ) and Zymeworks’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Calliditas Therapeutics AB (publ) | -30.18% | -212.04% | -27.96% |
| Zymeworks | -126.92% | -37.97% | -25.31% |
Risk and Volatility
Calliditas Therapeutics AB (publ) has a beta of 1.77, indicating that its share price is 77% more volatile than the S&P 500. Comparatively, Zymeworks has a beta of 1.2, indicating that its share price is 20% more volatile than the S&P 500.
Valuation & Earnings
This table compares Calliditas Therapeutics AB (publ) and Zymeworks”s revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Calliditas Therapeutics AB (publ) | $1.60 billion | 0.74 | -$43.96 million | ($1.85) | -21.62 |
| Zymeworks | $105.96 million | 17.32 | -$81.13 million | ($1.37) | -18.34 |
Calliditas Therapeutics AB (publ) has higher revenue and earnings than Zymeworks. Calliditas Therapeutics AB (publ) is trading at a lower price-to-earnings ratio than Zymeworks, indicating that it is currently the more affordable of the two stocks.
Insider & Institutional Ownership
2.8% of Calliditas Therapeutics AB (publ) shares are owned by institutional investors. Comparatively, 92.9% of Zymeworks shares are owned by institutional investors. 2.2% of Calliditas Therapeutics AB (publ) shares are owned by company insiders. Comparatively, 33.5% of Zymeworks shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.
Summary
Zymeworks beats Calliditas Therapeutics AB (publ) on 11 of the 15 factors compared between the two stocks.
About Calliditas Therapeutics AB (publ)
Calliditas Therapeutics AB (publ), a commercial-stage bio-pharmaceutical company, focused on identifying, developing, and commercializing novel treatments in orphan indications with an initial focus on renal and hepatic diseases with significant unmet medical needs in the United States, Europe, and Asia. It offers Nefecon (TARPEYO/Kinpeygo), an oral formulation of budesonide to reduce the loss of kidney function in adults with immunoglobulin A nephropathy. The company's lead compound is Setanaxib, a NOX inhibitor that is in Phase 2b clinical trial for the treatment of primary biliary cholangitis; and in Phase 2 clinical trial for the treatment of squamous cell carcinoma of the head and neck cancer and idiopathic pulmonary fibrosis, as well as for solid tumors and Alport Syndrome. Calliditas Therapeutics AB (publ) was incorporated in 2004 and is headquartered in Stockholm, Sweden.
About Zymeworks
Zymeworks Inc., a clinical-stage biopharmaceutical company, discovers, develops, and commercializes biotherapeutics for the treatment of cancer. The company’s lead product candidates include zanidatamab, a novel bispecific antibody that is in Phase 1 and Phase 2 clinical trials for the treatment of biliary tract, gastroesophageal adenocarcinomas, and breast cancer; and ZW49, a biparatopic anti- human epidermal growth factor receptor 2 (HER2) antibody-drug conjugate that is in Phase 1 clinical trial for the treatment of advanced or metastatic HER2-expressing tumors. The company has strategic partnerships with Merck Sharp & Dohme Research Ltd.; Eli Lilly and Company; Bristol-Myers Squibb company; GlaxoSmithKline Intellectual Property Development Ltd.; Daiichi Sankyo Co., Ltd.; Janssen Biotech, Inc.; and BeiGene, Ltd. It also has licensing and research collaboration with LEO Pharma A/S to discover and develop bispecific antibodies; and Iconic Therapeutics, Inc. Zymeworks Inc. was founded in 2003 and is headquartered in Vancouver, Canada.