Agios Pharmaceuticals (NASDAQ:AGIO – Get Free Report) and Revolution Medicines (NASDAQ:RVMD – Get Free Report) are both healthcare companies, but which is the better business? We will compare the two businesses based on the strength of their risk, analyst recommendations, dividends, institutional ownership, profitability, valuation and earnings.
Insider and Institutional Ownership
94.3% of Revolution Medicines shares are held by institutional investors. 5.4% of Agios Pharmaceuticals shares are held by company insiders. Comparatively, 7.6% of Revolution Medicines shares are held 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.
Profitability
This table compares Agios Pharmaceuticals and Revolution Medicines’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Agios Pharmaceuticals | -418.24% | -35.67% | -33.06% |
| Revolution Medicines | N/A | -88.20% | -57.85% |
Analyst Ratings
This is a breakdown of recent recommendations and price targets for Agios Pharmaceuticals and Revolution Medicines, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Agios Pharmaceuticals | 1 | 4 | 5 | 1 | 2.55 |
| Revolution Medicines | 1 | 1 | 22 | 1 | 2.92 |
Agios Pharmaceuticals presently has a consensus price target of $41.50, suggesting a potential upside of 14.04%. Revolution Medicines has a consensus price target of $242.95, suggesting a potential upside of 29.30%. Given Revolution Medicines’ stronger consensus rating and higher probable upside, analysts clearly believe Revolution Medicines is more favorable than Agios Pharmaceuticals.
Risk & Volatility
Agios Pharmaceuticals has a beta of 0.63, indicating that its share price is 37% less volatile than the S&P 500. Comparatively, Revolution Medicines has a beta of 1.4, indicating that its share price is 40% more volatile than the S&P 500.
Earnings & Valuation
This table compares Agios Pharmaceuticals and Revolution Medicines”s top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Agios Pharmaceuticals | $98.34 million | 22.09 | -$412.78 million | ($7.01) | -5.19 |
| Revolution Medicines | $11.58 million | 3,477.92 | -$1.13 billion | ($8.82) | -21.30 |
Agios Pharmaceuticals has higher revenue and earnings than Revolution Medicines. Revolution Medicines is trading at a lower price-to-earnings ratio than Agios Pharmaceuticals, indicating that it is currently the more affordable of the two stocks.
Summary
Revolution Medicines beats Agios Pharmaceuticals on 8 of the 14 factors compared between the two stocks.
About Agios Pharmaceuticals
Agios Pharmaceuticals, Inc., a biopharmaceutical company, discovers and develops medicines in the field of cellular metabolism in the United States. Its lead product includes PYRUKYND (mitapivat), an activator of wild-type and mutant pyruvate kinase (PK), enzymes for the treatment of hemolytic anemias. The company develops AG-946, a PK activator for treating lower-risk myelodysplastic syndrome and hemolytic anemias; and AG-181, a phenylalanine hydroxylase stabilizer for the treatment of phenylketonuria. Its preclinical product is siRNA for the treatment of polycythemia vera, a rare blood disorder. Agios Pharmaceuticals, Inc. was incorporated in 2007 and is headquartered in Cambridge, Massachusetts.
About Revolution Medicines
Revolution Medicines, Inc., a clinical-stage precision oncology company, develops novel targeted therapies for RAS-addicted cancers. The company’s research and development pipeline comprises RAS(ON) inhibitors designed to be used as monotherapy in combination with other RAS(ON) inhibitors and/or in combination with RAS companion inhibitors or other therapeutic agents, and RAS companion inhibitors for combination treatment strategies. Its RAS(ON) inhibitors include RMC-6236 (multi), RMC-6291 (G12C), and RMC-9805 (G12D), which are in phase 1 clinical trial; and development candidates comprise RMC-5127 (G12V), RMC-0708 (Q61H), and RMC-8839 (G13C), as well as programs focused on G12R and other targets. The company’s RAS companion inhibitors include RMC-4630 that is in phase 2 clinical trial; and RMC-5552, which is in phase 1 clinical trial. Revolution Medicines, Inc. was incorporated in 2014 and is headquartered in Redwood City, California.
Receive News & Ratings for Agios Pharmaceuticals Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Agios Pharmaceuticals and related companies with MarketBeat.com's FREE daily email newsletter.
