Analyzing Fate Therapeutics (FATE) & Its Peers
by Tristan Rich · The Markets DailyFate Therapeutics (NASDAQ:FATE – Get Free Report) is one of 844 publicly-traded companies in the “Biotechnology” industry, but how does it compare to its rivals? We will compare Fate Therapeutics to similar companies based on the strength of its risk, analyst recommendations, institutional ownership, dividends, earnings, profitability and valuation.
Analyst Recommendations
This is a breakdown of recent ratings and price targets for Fate Therapeutics and its rivals, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Fate Therapeutics | 1 | 2 | 4 | 0 | 2.43 |
| Fate Therapeutics Competitors | 9782 | 15050 | 45286 | 1571 | 2.54 |
Fate Therapeutics currently has a consensus price target of $5.90, suggesting a potential upside of 187.10%. As a group, “Biotechnology” companies have a potential upside of 96.62%. Given Fate Therapeutics’ higher probable upside, analysts plainly believe Fate Therapeutics is more favorable than its rivals.
Insider and Institutional Ownership
97.5% of Fate Therapeutics shares are owned by institutional investors. Comparatively, 47.9% of shares of all “Biotechnology” companies are owned by institutional investors. 4.7% of Fate Therapeutics shares are owned by company insiders. Comparatively, 12.9% of shares of all “Biotechnology” companies 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.
Earnings & Valuation
This table compares Fate Therapeutics and its rivals gross revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Net Income | Price/Earnings Ratio | |
| Fate Therapeutics | $6.65 million | -$136.32 million | -1.96 |
| Fate Therapeutics Competitors | $735.81 million | $13.62 million | -10.07 |
Fate Therapeutics’ rivals have higher revenue and earnings than Fate Therapeutics. Fate Therapeutics is trading at a higher price-to-earnings ratio than its rivals, indicating that it is currently more expensive than other companies in its industry.
Risk and Volatility
Fate Therapeutics has a beta of 2.52, suggesting that its share price is 152% more volatile than the S&P 500. Comparatively, Fate Therapeutics’ rivals have a beta of 1.10, suggesting that their average share price is 10% more volatile than the S&P 500.
Profitability
This table compares Fate Therapeutics and its rivals’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Fate Therapeutics | -1,941.09% | -65.08% | -41.73% |
| Fate Therapeutics Competitors | -9,054.47% | -198.89% | -30.64% |
Summary
Fate Therapeutics rivals beat Fate Therapeutics on 7 of the 13 factors compared.
About Fate Therapeutics
Fate Therapeutics, Inc., a clinical-stage biopharmaceutical company, develops programmed cellular immunotherapies for cancer and immune disorders worldwide. The company's chimeric antigen receptor (CAR)-targeted NK and T-cell product candidates include FT576 to treat multiple myeloma, and FT522, to treat lymphoma and autoimmune disorders. Its CAR T-cell programs include FT819 to treat hematologic malignancies and solid tumors, and FT825 to treat solid tumors. The company has a collaboration and option agreement with Ono Pharmaceutical Co. Ltd. for the development and commercialization of off-the-shelf, iPSC-derived CAR T-cell product candidates for the treatment of cancer. Fate Therapeutics, Inc. was incorporated in 2007 and is headquartered in San Diego, California.