Comparing Recursion Pharmaceuticals (NASDAQ:RXRX) & Evaxion A/S (NASDAQ:EVAX)

Evaxion A/S (NASDAQ:EVAX) and Recursion Pharmaceuticals (NASDAQ:RXRX) are both small-cap healthcare companies, but which is the better business? We will contrast the two companies based on the strength of their analyst recommendations, earnings, risk, valuation, profitability, institutional ownership and dividends.

Valuation & Earnings

This table compares Evaxion A/S and Recursion Pharmaceuticals”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Evaxion A/S	$7.53 million	3.59	-$7.71 million	($1.21)	-2.48
Recursion Pharmaceuticals	$74.68 million	25.23	-$644.76 million	($0.90)	-3.91

Evaxion A/S has higher earnings, but lower revenue than Recursion Pharmaceuticals. Recursion Pharmaceuticals is trading at a lower price-to-earnings ratio than Evaxion A/S, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of recent recommendations and price targets for Evaxion A/S and Recursion Pharmaceuticals, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Evaxion A/S	1	0	4	0	2.60
Recursion Pharmaceuticals	1	2	2	0	2.20

Evaxion A/S currently has a consensus price target of $11.25, indicating a potential upside of 275.00%. Recursion Pharmaceuticals has a consensus price target of $8.18, indicating a potential upside of 132.39%. Given Evaxion A/S’s stronger consensus rating and higher possible upside, equities research analysts plainly believe Evaxion A/S is more favorable than Recursion Pharmaceuticals.

Profitability

This table compares Evaxion A/S and Recursion Pharmaceuticals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Evaxion A/S	N/A	-61.43%	-34.23%
Recursion Pharmaceuticals	-697.15%	-47.85%	-36.26%

Institutional & Insider Ownership

11.0% of Evaxion A/S shares are held by institutional investors. Comparatively, 89.1% of Recursion Pharmaceuticals shares are held by institutional investors. 41.6% of Evaxion A/S shares are held by company insiders. Comparatively, 6.7% of Recursion Pharmaceuticals shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Volatility and Risk

Evaxion A/S has a beta of 0.6, suggesting that its stock price is 40% less volatile than the S&P 500. Comparatively, Recursion Pharmaceuticals has a beta of 1.15, suggesting that its stock price is 15% more volatile than the S&P 500.

Summary

Evaxion A/S beats Recursion Pharmaceuticals on 8 of the 14 factors compared between the two stocks.

About Evaxion A/S

Evaxion Biotech A/S, a clinical-stage biotech company, engages in developing artificial intelligence-powered immunotherapies. The company develops EVX-01, which is in phase 2 global multi-center clinical trial for the treatment of metastatic melanoma; EVX-02, a DNA-based vaccine that is in Phase 1/2a trial designed to induce a therapeutic immune response in the adjuvant setting in patients with resected melanoma; and EVX-03, DNA-based cancer vaccine for the treatment of various cancers. Its programs also include some vaccines that are in pre-clinical stage, which includes EVX-B1 for the prevention of S. aureus-induced skin and soft tissue infections in patients undergoing elective abdominal hernia surgery; EVX-B2 to target diseases caused by N. gonorrhoeae; EVX-B3 for eliciting strong humoral antibody and cellular immune response to the bacterial pathogen; and EVX-V1, viral vaccine product candidate for targeting Cytomegalovirus. Evaxion Biotech A/S was incorporated in 2008 and is based in Horsholm, Denmark.

About Recursion Pharmaceuticals

Recursion Pharmaceuticals, Inc. operates as a clinical-stage biotechnology company, engages in the decoding biology by integrating technological innovations across biology, chemistry, automation, data science, and engineering to industrialize drug discovery. The company develops REC-994, which is in Phase 2 clinical trial to treat cerebral cavernous malformation; REC-2282, which is in Phase 2/3 clinical trial for the treatment of neurofibromatosis type 2; REC-4881, which is in Phase 1b/2 clinical trial to treat familial adenomatous polyposis; REC-3964, which is in Phase 1 clinical trial to treat Clostridioides difficile infection; and REC-4881, which is in Phase 2 clinical trial to treat AXIN1 or APC mutant cancers. Its preclinical stage product includes RBM39 to treat HR-proficient ovarian cancer. The company has collaboration and agreement with Bayer AG; the University of Utah Research Foundation; Ohio State Innovation Foundation; Roche & Genentech; and Takeda Pharmaceutical Company Limited. Recursion Pharmaceuticals, Inc. was incorporated in 2013 and is headquartered in Salt Lake City, Utah.