Mereo BioPharma Group (MREO) Competitors

Mereo BioPharma Group (NASDAQ:MREO) and Arcus Biosciences (NYSE:RCUS) are both small-cap medical companies, but which is the better business? We will contrast the two businesses based on the strength of their dividends, media sentiment, risk, earnings, institutional ownership, analyst recommendations, valuation and profitability.

Do insiders and institutionals hold more shares of MREO or RCUS?

62.8% of Mereo BioPharma Group shares are held by institutional investors. Comparatively, 92.9% of Arcus Biosciences shares are held by institutional investors. 5.5% of Mereo BioPharma Group shares are held by insiders. Comparatively, 9.6% of Arcus Biosciences shares are held by 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.

Does the media prefer MREO or RCUS?

In the previous week, Mereo BioPharma Group had 1 more articles in the media than Arcus Biosciences. MarketBeat recorded 5 mentions for Mereo BioPharma Group and 4 mentions for Arcus Biosciences. Arcus Biosciences' average media sentiment score of 1.28 beat Mereo BioPharma Group's score of 0.71 indicating that Arcus Biosciences is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Mereo BioPharma Group	1 Very Positive mention(s)	0 Positive mention(s)	3 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Arcus Biosciences	3 Very Positive mention(s)	0 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Do analysts prefer MREO or RCUS?

Mereo BioPharma Group presently has a consensus price target of $7.40, suggesting a potential upside of 325.29%. Arcus Biosciences has a consensus price target of $21.14, suggesting a potential upside of 107.69%. Given Mereo BioPharma Group's stronger consensus rating and higher probable upside, analysts clearly believe Mereo BioPharma Group is more favorable than Arcus Biosciences.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Mereo BioPharma Group	0 Sell rating(s)	0 Hold rating(s)	4 Buy rating(s)	1 Strong Buy rating(s)	3.20
Arcus Biosciences	0 Sell rating(s)	2 Hold rating(s)	6 Buy rating(s)	0 Strong Buy rating(s)	2.75

Which has better earnings and valuation, MREO or RCUS?

Mereo BioPharma Group has higher earnings, but lower revenue than Arcus Biosciences. Mereo BioPharma Group is trading at a lower price-to-earnings ratio than Arcus Biosciences, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Mereo BioPharma Group	$10M	27.67	-$43.25M	-$0.07	-24.86
Arcus Biosciences	$258M	4.20	-$283M	-$3.17	-3.21

Which has more risk and volatility, MREO or RCUS?

Mereo BioPharma Group has a beta of 0.47, suggesting that its share price is 53% less volatile than the S&P 500. Comparatively, Arcus Biosciences has a beta of 0.89, suggesting that its share price is 11% less volatile than the S&P 500.

Is MREO or RCUS more profitable?

Mereo BioPharma Group has a net margin of 0.00% compared to Arcus Biosciences' net margin of -109.56%. Arcus Biosciences' return on equity of -55.96% beat Mereo BioPharma Group's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Mereo BioPharma Group	N/A	-80.00%	-66.94%
Arcus Biosciences	-109.56%	-55.96%	-25.73%

Summary

Arcus Biosciences beats Mereo BioPharma Group on 9 of the 17 factors compared between the two stocks.