Orchard Therapeutics (NASDAQ:ORTX) and Beam Therapeutics (NASDAQ:BEAM) Head to Head Comparison

Beam Therapeutics (NASDAQ:BEAMGet Rating) and Orchard Therapeutics (NASDAQ:ORTXGet Rating) are both medical companies, but which is the superior investment? We will contrast the two businesses based on the strength of their earnings, institutional ownership, risk, analyst recommendations, profitability, valuation and dividends.

Valuation & Earnings

This table compares Beam Therapeutics and Orchard Therapeutics’ top-line revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Beam Therapeutics $51.84 million 41.97 -$370.64 million ($3.61) -8.58
Orchard Therapeutics $1.67 million 34.60 -$144.58 million ($1.22) -0.38

Orchard Therapeutics has lower revenue, but higher earnings than Beam Therapeutics. Beam Therapeutics is trading at a lower price-to-earnings ratio than Orchard Therapeutics, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Beam Therapeutics and Orchard Therapeutics’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Beam Therapeutics -395.37% -28.02% -17.21%
Orchard Therapeutics N/A -68.98% -46.08%

Analyst Recommendations

This is a summary of recent recommendations and price targets for Beam Therapeutics and Orchard Therapeutics, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Beam Therapeutics 0 1 5 0 2.83
Orchard Therapeutics 1 2 3 0 2.33

Beam Therapeutics currently has a consensus price target of $122.50, suggesting a potential upside of 295.67%. Orchard Therapeutics has a consensus price target of $9.00, suggesting a potential upside of 1,861.21%. Given Orchard Therapeutics’ higher possible upside, analysts plainly believe Orchard Therapeutics is more favorable than Beam Therapeutics.

Insider and Institutional Ownership

68.8% of Beam Therapeutics shares are owned by institutional investors. Comparatively, 56.5% of Orchard Therapeutics shares are owned by institutional investors. 0.7% of Beam Therapeutics shares are owned by insiders. Comparatively, 2.4% of Orchard Therapeutics shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Volatility & Risk

Beam Therapeutics has a beta of 1.59, meaning that its share price is 59% more volatile than the S&P 500. Comparatively, Orchard Therapeutics has a beta of 1.2, meaning that its share price is 20% more volatile than the S&P 500.

Summary

Beam Therapeutics beats Orchard Therapeutics on 8 of the 14 factors compared between the two stocks.

Beam Therapeutics Company Profile (Get Rating)

Beam Therapeutics Inc., a biotechnology company, develops precision genetic medicines for patients suffering from serious diseases in the United States. The company is developing BEAM-101 for the treatment of sickle cell disease and beta thalassemia; BEAM-102 for the treatment of sickle cell disease; and BEAM-201, an allogeneic chimeric antigen receptor T cell for the treatment of relapsed/refractory T-cell acute lymphoblastic leukemia; and BEAM-301, a liver-targeted development candidate for the treatment of patients with Glycogen Storage Disease Type Ia. It also develops therapies for alpha-1 antitrypsin deficiency; ocular diseases; and other liver, muscle, and central nervous system disorders. The company has an alliance with Boston Children's Hospital; a research and clinical trial collaboration agreement with Magenta Therapeutics, Inc.; license agreement with Sana Biotechnology, Inc.; and a research collaboration with the Institute of Molecular and Clinical Ophthalmology Basel. It also has a research collaboration agreement with Pfizer Inc. and Apellis Pharmaceuticals, Inc.; and collaboration and license agreement with Verve Therapeutics, Inc. The company was incorporated in 2017 and is based in Cambridge, Massachusetts.

Orchard Therapeutics Company Profile (Get Rating)

Orchard Therapeutics plc, a biopharmaceutical company, develops gene therapies for serious and life-threatening rare diseases in the United Kingdom, European Union, and the United States. The company's gene therapy approach seeks to transform a patient's hematopoietic stem cells into a gene-modified cellular drug product to treat the patient's disease through a single administration. It provides Strimvelis, a gammaretroviral-based product for the treatment of adenosine deaminase-severe combined immunodeficiency (ADA-SCID). The company's clinical development products comprise OTL-101 for the treatment of ADA-SCID; OTL-200 to treat metachromatic leukodystrophy; OTL-103 for the treatment of Wiskott-Aldrich syndrome; OTL-102 for X-linked chronic granulomatous disease; and OTL-300 for transfusion-dependent beta-thalassemia. Its preclinical programs include OTL-203 for mucopolysaccharidosis type I, OTL-201 for mucopolysaccharidosis type MPS-IIIA, and OTL-202 for mucopolysaccharidosis type IIIB. It has a strategic collaboration agreement with Pharming Group N.V. for research, development, manufacturing, and commercialization of OTL-105, an investigational ex vivo autologous hematopoietic stem cell gene therapy for the treatment of hereditary angioedema. The company was formerly known as Orchard Rx Limited. Orchard Therapeutics plc was founded in 2015 and is headquartered in London, the United Kingdom.

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