Head-To-Head Analysis: Tourmaline Bio (NASDAQ:TRML) and Caribou Biosciences (NASDAQ:CRBU)

Tourmaline Bio (NASDAQ:TRML) and Caribou Biosciences (NASDAQ:CRBU) 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, analyst recommendations, valuation, dividends, risk, profitability and institutional ownership.

Profitability

This table compares Tourmaline Bio and Caribou Biosciences’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Tourmaline Bio	N/A	-30.86%	-29.30%
Caribou Biosciences	-296.05%	-31.06%	-25.73%

Earnings & Valuation

This table compares Tourmaline Bio and Caribou Biosciences’ revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Tourmaline Bio	N/A	N/A	-$42.12 million	($11.35)	-1.57
Caribou Biosciences	$34.48 million	10.50	-$102.07 million	($1.45)	-2.77

Tourmaline Bio has higher earnings, but lower revenue than Caribou Biosciences. Caribou Biosciences is trading at a lower price-to-earnings ratio than Tourmaline Bio, indicating that it is currently the more affordable of the two stocks.

Risk & Volatility

Tourmaline Bio has a beta of 2.33, suggesting that its share price is 133% more volatile than the S&P 500. Comparatively, Caribou Biosciences has a beta of 2.48, suggesting that its share price is 148% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent ratings for Tourmaline Bio and Caribou Biosciences, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Tourmaline Bio	0	0	6	0	3.00
Caribou Biosciences	0	1	3	0	2.75

Tourmaline Bio presently has a consensus target price of $61.80, indicating a potential upside of 246.02%. Caribou Biosciences has a consensus target price of $22.50, indicating a potential upside of 461.10%. Given Caribou Biosciences’ higher possible upside, analysts clearly believe Caribou Biosciences is more favorable than Tourmaline Bio.

Institutional & Insider Ownership

91.9% of Tourmaline Bio shares are held by institutional investors. Comparatively, 77.5% of Caribou Biosciences shares are held by institutional investors. 16.5% of Tourmaline Bio shares are held by company insiders. Comparatively, 9.5% of Caribou Biosciences shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Summary

Tourmaline Bio beats Caribou Biosciences on 8 of the 13 factors compared between the two stocks.

About Tourmaline Bio

Tourmaline Bio, Inc. operates as a clinical biotechnology company that develops medicines for patients with life-altering immune and inflammatory diseases. It develops TOUR006, a human anti-IL-6 monoclonal antibody that selectively binds to interleukin-6, a key proinflammatory cytokine involved in the pathogenesis of many autoimmune and inflammatory disorders. The company's development pipeline comprises medicines and therapies for the atherosclerotic cardiovascular disease (ASCVD) and thyroid eye disease (TED). The company was formerly known as Tourmaline Bio, LLC and changed its name to Tourmaline Bio, Inc. in September 2022. Tourmaline Bio, Inc. was founded in 2021 and is headquartered in New York, New York.

About Caribou Biosciences

Caribou Biosciences, Inc., a clinical-stage biopharmaceutical company, engages in the development of genome-edited allogeneic cell therapies for the treatment of hematologic malignancies in the United States and internationally. Its lead product candidate is CB-010, an allogeneic anti-CD19 CAR-T cell therapy that is in phase 1 clinical trial to treat relapsed or refractory B cell non-Hodgkin lymphoma. The company also develops CB-011, an allogeneic anti-BCMA CAR-T cell therapy that is in phase 1 clinical trial for the treatment of relapsed or refractory multiple myeloma; and CB-012, an allogeneic anti-CD371 CAR-T cell therapy that is in phase 1 clinical trial for the treatment of relapsed or refractory acute myeloid leukemia. Caribou Biosciences, Inc. was incorporated in 2011 and is headquartered in Berkeley, California.