Contrasting InterCure (NASDAQ:INCR) and Annexon (NASDAQ:ANNX)

InterCure (NASDAQ:INCR) and Annexon (NASDAQ:ANNX) are both small-cap medical companies, but which is the superior investment? We will compare the two businesses based on the strength of their valuation, institutional ownership, analyst recommendations, profitability, earnings, dividends and risk.

Profitability

This table compares InterCure and Annexon’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
InterCure	N/A	N/A	N/A
Annexon	N/A	-66.54%	-53.52%

Risk and Volatility

InterCure has a beta of 1.72, meaning that its stock price is 72% more volatile than the S&P 500. Comparatively, Annexon has a beta of 1.14, meaning that its stock price is 14% more volatile than the S&P 500.

Earnings and Valuation

This table compares InterCure and Annexon’s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
InterCure	$115.83 million	1.05	$13.36 million	$0.13	20.46
Annexon	N/A	N/A	-$134.24 million	($1.78)	-2.64

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

Institutional & Insider Ownership

8.3% of InterCure shares are owned by institutional investors. 19.1% of Annexon shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a summary of current ratings and price targets for InterCure and Annexon, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
InterCure	0	0	0	0	N/A
Annexon	0	0	6	0	3.00

Annexon has a consensus price target of $14.43, indicating a potential upside of 206.99%. Given Annexon’s higher probable upside, analysts plainly believe Annexon is more favorable than InterCure.

Summary

InterCure beats Annexon on 8 of the 11 factors compared between the two stocks.

About InterCure

InterCure Ltd., together with its subsidiaries, engages in the research, cultivation, production, and distribution of pharmaceutical-grade cannabis and cannabis-based products for medical use in Israel and internationally. The company offers dried cannabis inflorescences and cannabis extract mixed with oil. It also invests in biomed sector. The company was incorporated in 1994 and is headquartered in Herzliya, Israel.

About Annexon

Annexon, Inc., a clinical-stage biopharmaceutical company, discovers and develops medicines for treating inflammatory-related diseases. Its lead candidate is ANX005, an investigational full-length monoclonal antibody, which is in Phase 3 clinical trial for the treatment of patients with guillain-barré syndrome; completed Phase II clinical trial for treating Huntington's disease; and in Phase II clinical trial for the treatment of amyotrophic lateral sclerosis. The company is also developing ANX007, an antigen-binding fragment (Fab) that is in Phase 3 program for the treatment of patients with geographic atrophy; and ANX1502, a novel oral small molecule inhibitor, which is in Phase 1 clinical trials for autoimmune indications. In addition, it develops ANX009, a C1q-blocking Fab that is in Phase I clinical trial for treating patients with lupus nephritis. The company was incorporated in 2011 and is headquartered in Brisbane, California.