Arrowhead Pharmaceuticals (NASDAQ:ARWR) and Horizon Therapeutics Public (NASDAQ:HZNP) are both medical companies, but which is the superior stock? We will contrast the two businesses based on the strength of their analyst recommendations, earnings, institutional ownership, risk, valuation, dividends and profitability.
Profitability
This table compares Arrowhead Pharmaceuticals and Horizon Therapeutics Public's net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
---|
Arrowhead Pharmaceuticals | -96.09% | -17.37% | -15.19% |
Horizon Therapeutics Public | 43.55% | 25.66% | 14.19% |
Analyst Recommendations
This is a summary of current ratings and recommmendations for Arrowhead Pharmaceuticals and Horizon Therapeutics Public, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
---|
Arrowhead Pharmaceuticals | 0 | 3 | 10 | 0 | 2.77 |
Horizon Therapeutics Public | 0 | 0 | 8 | 0 | 3.00 |
Arrowhead Pharmaceuticals presently has a consensus target price of $82.4286, suggesting a potential downside of 1.61%. Horizon Therapeutics Public has a consensus target price of $101.8889, suggesting a potential upside of 10.86%. Given Horizon Therapeutics Public's stronger consensus rating and higher probable upside, analysts plainly believe Horizon Therapeutics Public is more favorable than Arrowhead Pharmaceuticals.
Insider and Institutional Ownership
65.5% of Arrowhead Pharmaceuticals shares are held by institutional investors. Comparatively, 88.6% of Horizon Therapeutics Public shares are held by institutional investors. 4.0% of Arrowhead Pharmaceuticals shares are held by insiders. Comparatively, 4.3% of Horizon Therapeutics Public shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.
Earnings & Valuation
This table compares Arrowhead Pharmaceuticals and Horizon Therapeutics Public's gross revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
---|
Arrowhead Pharmaceuticals | $87.99 million | 98.83 | $-84,550,000.00 | ($0.84) | -99.74 |
Horizon Therapeutics Public | $1.30 billion | 15.84 | $573.02 million | $1.94 | 47.38 |
Horizon Therapeutics Public has higher revenue and earnings than Arrowhead Pharmaceuticals. Arrowhead Pharmaceuticals is trading at a lower price-to-earnings ratio than Horizon Therapeutics Public, indicating that it is currently the more affordable of the two stocks.
Volatility & Risk
Arrowhead Pharmaceuticals has a beta of 1.62, meaning that its share price is 62% more volatile than the S&P 500. Comparatively, Horizon Therapeutics Public has a beta of 1.15, meaning that its share price is 15% more volatile than the S&P 500.
Summary
Horizon Therapeutics Public beats Arrowhead Pharmaceuticals on 11 of the 14 factors compared between the two stocks.