Contrasting Regeneron Pharmaceuticals (NASDAQ:REGN) & Precision BioSciences (NASDAQ:DTIL)

by · The Markets Daily

Regeneron Pharmaceuticals (NASDAQ:REGN – Get Free Report) and Precision BioSciences (NASDAQ:DTIL – Get Free Report) are both healthcare companies, but which is the better stock? We will contrast the two businesses based on the strength of their profitability, dividends, earnings, valuation, risk, analyst recommendations and institutional ownership.

Volatility and Risk

Regeneron Pharmaceuticals has a beta of 0.2, suggesting that its stock price is 80% less volatile than the S&P 500. Comparatively, Precision BioSciences has a beta of 1.24, suggesting that its stock price is 24% more volatile than the S&P 500.

Profitability

This table compares Regeneron Pharmaceuticals and Precision BioSciences’ net margins, return on equity and return on assets.

Net MarginsReturn on EquityReturn on Assets
Regeneron Pharmaceuticals27.86%13.47%10.34%
Precision BioSciences-96.73%-72.52%-32.25%

Insider & Institutional Ownership

83.3% of Regeneron Pharmaceuticals shares are owned by institutional investors. Comparatively, 38.0% of Precision BioSciences shares are owned by institutional investors. 7.0% of Regeneron Pharmaceuticals shares are owned by insiders. Comparatively, 2.7% of Precision BioSciences shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Earnings & Valuation

This table compares Regeneron Pharmaceuticals and Precision BioSciences”s top-line revenue, earnings per share (EPS) and valuation.

Gross RevenuePrice/Sales RatioNet IncomeEarnings Per SharePrice/Earnings Ratio
Regeneron Pharmaceuticals$14.34 billion5.70$4.50 billion$40.4619.62
Precision BioSciences$45.05 million4.20-$45.72 million($2.80)-2.45

Regeneron Pharmaceuticals has higher revenue and earnings than Precision BioSciences. Precision BioSciences is trading at a lower price-to-earnings ratio than Regeneron Pharmaceuticals, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of current ratings and target prices for Regeneron Pharmaceuticals and Precision BioSciences, as provided by MarketBeat.

Sell RatingsHold RatingsBuy RatingsStrong Buy RatingsRating Score
Regeneron Pharmaceuticals0101402.58
Precision BioSciences10402.60

Regeneron Pharmaceuticals presently has a consensus price target of $802.18, indicating a potential upside of 1.06%. Precision BioSciences has a consensus price target of $32.25, indicating a potential upside of 370.12%. Given Precision BioSciences’ stronger consensus rating and higher possible upside, analysts clearly believe Precision BioSciences is more favorable than Regeneron Pharmaceuticals.

Summary

Regeneron Pharmaceuticals beats Precision BioSciences on 11 of the 14 factors compared between the two stocks.

About Regeneron Pharmaceuticals

(Get Free Report)

Regeneron Pharmaceuticals, Inc. discovers, invents, develops, manufactures, and commercializes medicines for treating various diseases worldwide. The company's products include EYLEA injection to treat wet age-related macular degeneration and diabetic macular edema; myopic choroidal neovascularization; diabetic retinopathy; neovascular glaucoma; and retinopathy of prematurity. It also provides Dupixent injection to treat atopic dermatitis and asthma in adults and pediatrics; Libtayo injection to treat metastatic or locally advanced cutaneous squamous cell carcinoma; Praluent injection for heterozygous familial hypercholesterolemia or clinical atherosclerotic cardiovascular disease in adults; REGEN-COV for covid-19; and Kevzara solution for treating rheumatoid arthritis in adults. In addition, the company offers Inmazeb injection for infection caused by Zaire ebolavirus; ARCALYST injection for cryopyrin-associated periodic syndromes, including familial cold auto-inflammatory syndrome and muckle-wells syndrome; and ZALTRAP injection for intravenous infusion to treat metastatic colorectal cancer; and develops product candidates for treating patients with eye, allergic and inflammatory, cardiovascular and metabolic, infectious, and rare diseases; and cancer, pain, and hematologic conditions. It has collaboration with Mammoth Biosciences, Inc. to research, develop and commercialize in vivo CRISPR-based gene editing therapies for multiple tissues and cell types. The company was incorporated in 1988 and is headquartered in Tarrytown, New York.

About Precision BioSciences

(Get Free Report)

Precision BioSciences, Inc., an advanced gene editing company, develops in vivo gene editing therapies for gene edits, including gene elimination, insertion, and excision in the United States. The company offers ARCUS, a genome editing platform to DNA genome insertion, deletion, and repair. It also provides PBGENE-HBV for the treatment of chronic hepatitis B virus (HBV) to eliminate covalently closed circular DNA with direct cuts and edits as well as to inactivate integrated HBV DNA with the goal of long-lasting reductions in hepatitis B surface antigen; PBGENE-PMM for the treatment of m.3243 associated primary mitochondrial myopathy (PMM) which is expected to submit an IND and/or CTA. In addition, it develops PBGENE-NVS for sickle cell disease/beta thalassemia for insertion; PBGENE-DMD (excision) for duchenne muscular dystrophy; PBGENE-LL2 (insertion), a liver directed target; PBGENE-LL3, a central nervous system directed target; and iECURE-OTC (insertion) for ornithine transcarbamylase deficiency. The company has license and collaboration agreement with Caribou Biosciences, Inc.; license agreement with TG Cell Therapy, Inc. to develop, manufacture, and commercialize azer-cel for autoimmune diseases and other indications outside of cancer; development and license agreement with Eli Lilly and Company for the research and development of potential in vivo therapies for genetic disorders; Cellectis S.A.; iECURE, Inc. to develop ARCUS-based gene-insertion therapies; Duke University; and Novartis Pharma AG to discover and develop in vivo gene editing products. Precision BioSciences, Inc. was incorporated in 2006 and is headquartered in Durham, North Carolina.