Critical Analysis: VectivBio (NASDAQ:VECT) & Elevation Oncology (NASDAQ:ELEV)

VectivBio (NASDAQ:VECT) and Elevation Oncology (NASDAQ:ELEV) are both small-cap medical companies, but which is the superior stock? We will contrast the two companies based on the strength of their dividends, profitability, valuation, institutional ownership, risk, earnings and analyst recommendations.

Volatility and Risk

VectivBio has a beta of 0.11, indicating that its stock price is 89% less volatile than the S&P 500. Comparatively, Elevation Oncology has a beta of 1.38, indicating that its stock price is 38% more volatile than the S&P 500.

Valuation & Earnings

This table compares VectivBio and Elevation Oncology’s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
VectivBio	$27.34 million	20.97	-$93.74 million	N/A	N/A
Elevation Oncology	N/A	N/A	-$45.70 million	($1.04)	-0.64

Elevation Oncology has lower revenue, but higher earnings than VectivBio.

Profitability

This table compares VectivBio and Elevation Oncology’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
VectivBio	N/A	N/A	N/A
Elevation Oncology	N/A	-57.97%	-38.49%

Insider and Institutional Ownership

83.7% of Elevation Oncology shares are owned by institutional investors. 9.7% of VectivBio shares are owned by company insiders. Comparatively, 8.1% of Elevation Oncology shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of current recommendations for VectivBio and Elevation Oncology, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
VectivBio	0	0	0	0	N/A
Elevation Oncology	0	0	5	0	3.00

Elevation Oncology has a consensus target price of $7.80, suggesting a potential upside of 1,065.22%. Given Elevation Oncology’s higher probable upside, analysts clearly believe Elevation Oncology is more favorable than VectivBio.

Summary

Elevation Oncology beats VectivBio on 5 of the 9 factors compared between the two stocks.

About VectivBio

VectivBio Holding AG, a clinical stage biopharmaceutical company, focuses on the discovery, development, and commercialization of medicines for treatments of severe rare conditions. It develops apraglutide, a long-acting synthetic peptide analog of glucagon-like peptide-2 that is in Phase III clinical trial for the treatment of patients with short bowel syndrome-intestinal failure (SBS-IF), as well as apraglutide is in Phase II clinical trial for SBS-IF in patients with colon-in-continuity anatomy. The company is also developing apraglutide, which is in Phase II clinical trial for patients with steroid-refractory gastrointestinal acute versus host disease (aGvHD). VectivBio Holding AG was incorporated in 2019 and is headquartered in Basel, Switzerland. As of June 29, 2023, VectivBio Holding AG operates as a subsidiary of Ironwood Pharmaceuticals, Inc.

About Elevation Oncology

Elevation Oncology, Inc., an oncology company, focuses on the discovery and development of cancer therapies to treat patients across a range of solid tumors with significant unmet medical needs. The company's lead candidate is EO-3021, an antibody-drug conjugate designed to target Claudin 18.2, a clinically validated molecular target. Its EO-3021 selectively delivers a cytotoxic payload directly to cancer cells expressing Claudin 18.2. Elevation Oncology, Inc. has a license agreement with CSPC Megalith Biopharmaceutical Co., Ltd. to develop and commercialize EO-3021. The company was formerly known as 14ner Oncology, Inc. and changed its name to Elevation Oncology, Inc. in February 2020. The company was incorporated in 2019 and is based in Boston, Massachusetts.