Analyzing PhaseBio Pharmaceuticals (NASDAQ:PHAS) & Q32 Bio (NASDAQ:QTTB)

Q32 Bio (NASDAQ:QTTB) and PhaseBio Pharmaceuticals (NASDAQ:PHAS) are both small-cap medical companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, institutional ownership, dividends, risk, valuation, profitability and analyst recommendations.

Analyst Ratings

This is a breakdown of current ratings and target prices for Q32 Bio and PhaseBio Pharmaceuticals, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Q32 Bio	0	0	2	0	3.00
PhaseBio Pharmaceuticals	0	0	0	0	N/A

Q32 Bio currently has a consensus price target of $47.50, suggesting a potential upside of 75.08%.

Profitability

This table compares Q32 Bio and PhaseBio Pharmaceuticals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Q32 Bio	N/A	-103.56%	-73.75%
PhaseBio Pharmaceuticals	-12,572.13%	N/A	-174.38%

Insider and Institutional Ownership

31.3% of Q32 Bio shares are held by institutional investors. Comparatively, 49.0% of PhaseBio Pharmaceuticals shares are held by institutional investors. 16.1% of Q32 Bio shares are held by company insiders. Comparatively, 9.9% of PhaseBio Pharmaceuticals shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Earnings and Valuation

This table compares Q32 Bio and PhaseBio Pharmaceuticals’ top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Q32 Bio	$1.16 million	76.24	-$112.96 million	($32.59)	-0.83
PhaseBio Pharmaceuticals	$818,000.00	0.00	-$131.07 million	($2.13)	N/A

Q32 Bio has higher revenue and earnings than PhaseBio Pharmaceuticals. Q32 Bio is trading at a lower price-to-earnings ratio than PhaseBio Pharmaceuticals, indicating that it is currently the more affordable of the two stocks.

Risk and Volatility

Q32 Bio has a beta of -0.26, meaning that its share price is 126% less volatile than the S&P 500. Comparatively, PhaseBio Pharmaceuticals has a beta of 2.57, meaning that its share price is 157% more volatile than the S&P 500.

Summary

Q32 Bio beats PhaseBio Pharmaceuticals on 6 of the 11 factors compared between the two stocks.

About Q32 Bio

Q32 Bio Inc., a clinical-stage biotechnology company, develops biologic therapeutics targeting powerful regulators of the innate and adaptive immune systems to rebalance immunity in autoimmune and inflammatory diseases. Its products in the pipeline include ADX-914, a human anti-IL-7R antibody that re-regulates adaptive immune function, and ADX-097, which has in vivo biodistribution to affected tissues and organs, durable tissue pharmacokinetics and pharmacodynamics, and robust in vivo efficacy. Q32 Bio Inc. was formerly known as AdMIRx Inc. and changed its name to Q32 Bio Inc. in April 2020. The company was incorporated in 2017 and is based in Waltham, Massachusetts.

About PhaseBio Pharmaceuticals

PhaseBio Pharmaceuticals, Inc. is a clinical-stage biopharmaceutical company, which engages in the development and commercialization of novel therapies for cardiovascular diseases. The firm’s pipeline includes: bentracimab (PB2452), a novel reversal agent for the antiplatelet therapy ticagrelor, pemziviptadil (PB1046), a once-weekly vasoactive intestinal peptide receptor agonist for the treatment of pulmonary arterial hypertension, and PB6440, an oral agent for the treatment of resistant hypertension. The company was founded by Ashutosh Chilkoti and Clay Bernardin Thorp in January 2002 and is headquartered in Malvern, PA.