Regeneron Pharmaceuticals (NASDAQ:REGN) and PDL BioPharma (NASDAQ:PDLI) are both medical companies, but which is the better investment? We will compare the two companies based on the strength of their institutional ownership, analyst recommendations, risk, valuation, earnings, dividends and profitability.
Institutional and Insider Ownership
85.0% of Regeneron Pharmaceuticals shares are owned by institutional investors. Comparatively, 86.2% of PDL BioPharma shares are owned by institutional investors. 11.8% of Regeneron Pharmaceuticals shares are owned by insiders. Comparatively, 2.2% of PDL BioPharma shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.
Analyst Ratings
This is a summary of recent ratings for Regeneron Pharmaceuticals and PDL BioPharma, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
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Regeneron Pharmaceuticals | 0 | 6 | 15 | 1 | 2.77 |
PDL BioPharma | 0 | 0 | 0 | 0 | N/A |
Regeneron Pharmaceuticals presently has a consensus price target of $625.8077, suggesting a potential upside of 39.26%. Given Regeneron Pharmaceuticals' higher probable upside, analysts plainly believe Regeneron Pharmaceuticals is more favorable than PDL BioPharma.
Risk & Volatility
Regeneron Pharmaceuticals has a beta of 0.3, indicating that its share price is 70% less volatile than the S&P 500. Comparatively, PDL BioPharma has a beta of 1.1, indicating that its share price is 10% more volatile than the S&P 500.
Earnings & Valuation
This table compares Regeneron Pharmaceuticals and PDL BioPharma's revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
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Regeneron Pharmaceuticals | $7.86 billion | 6.12 | $2.12 billion | $21.47 | 20.93 |
PDL BioPharma | $54.76 million | 5.15 | $-70,410,000.00 | $0.28 | 8.82 |
Regeneron Pharmaceuticals has higher revenue and earnings than PDL BioPharma. PDL BioPharma is trading at a lower price-to-earnings ratio than Regeneron Pharmaceuticals, indicating that it is currently the more affordable of the two stocks.
Profitability
This table compares Regeneron Pharmaceuticals and PDL BioPharma's net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
---|
Regeneron Pharmaceuticals | 38.28% | 28.97% | 20.11% |
PDL BioPharma | N/A | -10.04% | -8.29% |
Summary
Regeneron Pharmaceuticals beats PDL BioPharma on 12 of the 14 factors compared between the two stocks.