Critical Analysis: Elevation Oncology (NASDAQ:ELEV) vs. Acumen Pharmaceuticals (NASDAQ:ABOS)

Elevation Oncology (NASDAQ:ELEV – Get Rating) and Acumen Pharmaceuticals (NASDAQ:ABOS – Get Rating) are both small-cap medical companies, but which is the superior investment? We will compare the two businesses based on the strength of their earnings, analyst recommendations, dividends, institutional ownership, valuation, risk and profitability.

Analyst Recommendations

This is a summary of recent recommendations and price targets for Elevation Oncology and Acumen Pharmaceuticals, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Elevation Oncology	1	1	2	0	2.25
Acumen Pharmaceuticals	0	0	3	0	3.00

Elevation Oncology currently has a consensus price target of $4.50, indicating a potential upside of 76.47%. Acumen Pharmaceuticals has a consensus price target of $17.67, indicating a potential upside of 356.50%. Given Acumen Pharmaceuticals’ stronger consensus rating and higher probable upside, analysts clearly believe Acumen Pharmaceuticals is more favorable than Elevation Oncology.

Volatility and Risk

Elevation Oncology has a beta of 0.36, suggesting that its share price is 64% less volatile than the S&P 500. Comparatively, Acumen Pharmaceuticals has a beta of -1.48, suggesting that its share price is 248% less volatile than the S&P 500.

Institutional and Insider Ownership

68.0% of Elevation Oncology shares are held by institutional investors. Comparatively, 67.9% of Acumen Pharmaceuticals shares are held by institutional investors. 17.0% of Elevation Oncology shares are held by insiders. Comparatively, 4.7% of Acumen Pharmaceuticals shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares Elevation Oncology and Acumen Pharmaceuticals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Elevation Oncology	N/A	-198.57%	-147.60%
Acumen Pharmaceuticals	N/A	-18.16%	-17.72%

Valuation and Earnings

This table compares Elevation Oncology and Acumen Pharmaceuticals’ top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Elevation Oncology	N/A	N/A	-$95.08 million	($7.36)	-0.35
Acumen Pharmaceuticals	$1.44 million	108.84	-$100.61 million	N/A	N/A

Elevation Oncology has higher earnings, but lower revenue than Acumen Pharmaceuticals.

Summary

Acumen Pharmaceuticals beats Elevation Oncology on 6 of the 10 factors compared between the two stocks.

About Elevation Oncology

(Get Rating)

Elevation Oncology, Inc., a clinical-stage biopharmaceutical company, focuses on developing therapeutics for the treatment of cancer in genomically defined patient populations in the United States. The company's lead program is the seribantumab, an anti-HER3 monoclonal antibody that is in Phase II CRESTONE trial for the treatment of advanced solid tumors harboring a neuregulin-1 fusion. Elevation Oncology, Inc. was incorporated in 2019 and is based in New York, New York.

About Acumen Pharmaceuticals

(Get Rating)

Acumen Pharmaceuticals, Inc., a clinical-stage biopharmaceutical company, discovers and develops therapies for the treatment of Alzheimer's disease. The company focuses on advancing a targeted immunotherapy drug candidate ACU193, a humanized monoclonal antibody that is in Phase I clinical-stage to target soluble amyloid-beta oligomers. Acumen Pharmaceuticals, Inc. was incorporated in 1996 and is headquartered in Charlottesville, Virginia.