Regeneron Pharmaceuticals (NASDAQ:REGN) and Spectrum Pharmaceuticals (NASDAQ:SPPI) are both medical companies, but which is the superior business? We will compare the two businesses based on the strength of their dividends, valuation, risk, profitability, analyst recommendations, earnings and institutional ownership.
Analyst Ratings
This is a breakdown of current ratings and recommmendations for Regeneron Pharmaceuticals and Spectrum Pharmaceuticals, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
---|
Regeneron Pharmaceuticals | 0 | 5 | 14 | 1 | 2.80 |
Spectrum Pharmaceuticals | 0 | 1 | 3 | 0 | 2.75 |
Regeneron Pharmaceuticals currently has a consensus price target of $644.1739, indicating a potential upside of 27.71%. Spectrum Pharmaceuticals has a consensus price target of $9.75, indicating a potential upside of 235.05%. Given Spectrum Pharmaceuticals' higher possible upside, analysts plainly believe Spectrum Pharmaceuticals is more favorable than Regeneron Pharmaceuticals.
Risk and Volatility
Regeneron Pharmaceuticals has a beta of 0.3, meaning that its stock price is 70% less volatile than the S&P 500. Comparatively, Spectrum Pharmaceuticals has a beta of 2.51, meaning that its stock price is 151% more volatile than the S&P 500.
Insider & Institutional Ownership
85.0% of Regeneron Pharmaceuticals shares are owned by institutional investors. Comparatively, 63.6% of Spectrum Pharmaceuticals shares are owned by institutional investors. 11.8% of Regeneron Pharmaceuticals shares are owned by company insiders. Comparatively, 5.0% of Spectrum Pharmaceuticals shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.
Valuation & Earnings
This table compares Regeneron Pharmaceuticals and Spectrum Pharmaceuticals' top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
---|
Regeneron Pharmaceuticals | $7.86 billion | 6.87 | $2.12 billion | $21.47 | 23.49 |
Spectrum Pharmaceuticals | $109.33 million | 4.09 | $-112,690,000.00 | ($1.14) | -2.55 |
Regeneron Pharmaceuticals has higher revenue and earnings than Spectrum Pharmaceuticals. Spectrum Pharmaceuticals 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 Spectrum Pharmaceuticals' 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% |
Spectrum Pharmaceuticals | N/A | -98.90% | -69.77% |
Summary
Regeneron Pharmaceuticals beats Spectrum Pharmaceuticals on 13 of the 15 factors compared between the two stocks.