Kodiak Sciences (NASDAQ:KOD) and Novavax (NASDAQ:NVAX) are both mid-cap medical companies, but which is the superior stock? We will compare the two companies based on the strength of their dividends, risk, profitability, institutional ownership, earnings, analyst recommendations and valuation.
Profitability
This table compares Kodiak Sciences and Novavax's net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
|---|
| Kodiak Sciences | N/A | -32.32% | -23.86% |
| Novavax | -133.10% | -1,346.17% | -45.85% |
Valuation & Earnings
This table compares Kodiak Sciences and Novavax's top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
|---|
| Kodiak Sciences | N/A | N/A | $-47,370,000.00 | ($1.25) | -63.54 |
| Novavax | $18.66 million | 507.52 | $-132,690,000.00 | ($5.80) | -22.04 |
Kodiak Sciences has higher earnings, but lower revenue than Novavax. Kodiak Sciences is trading at a lower price-to-earnings ratio than Novavax, indicating that it is currently the more affordable of the two stocks.
Analyst Recommendations
This is a breakdown of current recommendations and price targets for Kodiak Sciences and Novavax, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
|---|
| Kodiak Sciences | 1 | 6 | 6 | 0 | 2.38 |
| Novavax | 1 | 1 | 5 | 0 | 2.57 |
Kodiak Sciences presently has a consensus price target of $128.0769, suggesting a potential upside of 61.27%. Novavax has a consensus price target of $190.9286, suggesting a potential upside of 49.37%. Given Kodiak Sciences' higher possible upside, analysts clearly believe Kodiak Sciences is more favorable than Novavax.
Institutional & Insider Ownership
82.3% of Kodiak Sciences shares are owned by institutional investors. Comparatively, 49.9% of Novavax shares are owned by institutional investors. 39.3% of Kodiak Sciences shares are owned by company insiders. Comparatively, 3.3% of Novavax shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.
Volatility & Risk
Kodiak Sciences has a beta of 1.42, indicating that its stock price is 42% more volatile than the S&P 500. Comparatively, Novavax has a beta of 2.01, indicating that its stock price is 101% more volatile than the S&P 500.
Summary
Kodiak Sciences beats Novavax on 9 of the 13 factors compared between the two stocks.
