Head to Head Review: Halozyme Therapeutics (NASDAQ:HALO) vs. Ginkgo Bioworks (NYSE:DNA)

Halozyme Therapeutics (NASDAQ:HALO – Get Rating) and Ginkgo Bioworks (NYSE:DNA – Get Rating) are both mid-cap medical companies, but which is the superior stock? We will compare the two businesses based on the strength of their analyst recommendations, profitability, institutional ownership, dividends, earnings, valuation and risk.

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Halozyme Therapeutics and Ginkgo Bioworks, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Halozyme Therapeutics	0	2	8	0	2.80
Ginkgo Bioworks	0	2	3	0	2.60

Halozyme Therapeutics currently has a consensus price target of $55.30, indicating a potential upside of 62.60%. Ginkgo Bioworks has a consensus price target of $4.67, indicating a potential upside of 207.24%. Given Ginkgo Bioworks’ higher possible upside, analysts plainly believe Ginkgo Bioworks is more favorable than Halozyme Therapeutics.

Risk & Volatility

Halozyme Therapeutics has a beta of 1.21, suggesting that its share price is 21% more volatile than the S&P 500. Comparatively, Ginkgo Bioworks has a beta of 0.88, suggesting that its share price is 12% less volatile than the S&P 500.

Institutional & Insider Ownership

96.3% of Halozyme Therapeutics shares are owned by institutional investors. Comparatively, 61.8% of Ginkgo Bioworks shares are owned by institutional investors. 2.4% of Halozyme Therapeutics shares are owned by insiders. Comparatively, 17.5% of Ginkgo Bioworks shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Profitability

This table compares Halozyme Therapeutics and Ginkgo Bioworks’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Halozyme Therapeutics	25.76%	184.32%	16.05%
Ginkgo Bioworks	-440.87%	-97.13%	-69.92%

Valuation and Earnings

This table compares Halozyme Therapeutics and Ginkgo Bioworks’ top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Halozyme Therapeutics	$704.98 million	6.35	$202.13 million	$1.31	25.96
Ginkgo Bioworks	$477.71 million	6.64	-$2.10 billion	($1.03)	-1.48

Halozyme Therapeutics has higher revenue and earnings than Ginkgo Bioworks. Ginkgo Bioworks is trading at a lower price-to-earnings ratio than Halozyme Therapeutics, indicating that it is currently the more affordable of the two stocks.

Summary

Halozyme Therapeutics beats Ginkgo Bioworks on 11 of the 14 factors compared between the two stocks.

About Halozyme Therapeutics

(Get Rating)

Halozyme Therapeutics, Inc. operates as a biopharma technology platform company in the United States, Switzerland, Ireland, Belgium, Japan, and internationally. The company's products are based on the ENHANZE drug delivery technology, a patented recombinant human hyaluronidase enzyme (rHuPH20) that enables the subcutaneous delivery of injectable biologics, such as monoclonal antibodies and other therapeutic molecules, as well as small molecules and fluids. Its flagship product is Hylenex recombinant, a formulation of rHuPH20 to facilitate subcutaneous fluid administration for achieving hydration to enhance the dispersion and absorption of other injected drugs in subcutaneous urography and to improve resorption of radiopaque agents. The company also develops Perjeta; RITUXAN HYCELA and MabThera SC for the treatment of non-Hodgkin lymphoma and chronic lymphocytic leukemia (CLL); RITUXAN SC for patients with CLL; and HYQVIA for the treatment of immunodeficiency disorders. In addition, it is developing Tecentriq for non-small cell lung cancer; OCREVUS for multiple sclerosis; DARZALEX for the treatment of patients with amyloidosis, smoldering myeloma, and multiple myeloma; nivolumab for the treatment of solid tumors; ARGX-113, a human neonatal Fc receptor; ARGX-117 to treat autoimmune diseases; and BMS-986179, an anti-CD-73 antibody. The company has collaborations with F. Hoffmann-La Roche, Ltd.; Hoffmann-La Roche, Inc.; Baxalta US Inc.; Baxalta GmbH; Pfizer Inc.; Janssen Biotech, Inc.; AbbVie, Inc.; Eli Lilly and Company; Bristol-Myers Squibb Company; Alexion Pharma Holding; ARGENX BVBA; Horizon Therapeutics plc; National Institute of Allergy and Infectious Diseases; Centre for the AIDS Programme of Research in South Africa; and ViiV Healthcare Limited for small and large molecule targets for the treatment and prevention of HIV. Halozyme Therapeutics, Inc. was founded in 1998 and is based in San Diego, California.

About Ginkgo Bioworks

(Get Rating)

Ginkgo Bioworks Holdings, Inc., together with its subsidiaries, develops platform for cell programming. Its platform is used to program cells to enable biological production of products, such as novel therapeutics, food ingredients, and chemicals derived from petroleum. The company serves various end markets, including specialty chemicals, agriculture, food, consumer products, and pharmaceuticals. Ginkgo Bioworks has a partnership with Selecta Biosciences, Inc. to develop ImmTOR technology platform. Ginkgo Bioworks Holdings, Inc. was founded in 2008 and is headquartered in Boston, Massachusetts.