Head to Head Survey: Werewolf Therapeutics (NASDAQ:HOWL) & Arbutus Biopharma (NASDAQ:ABUS)

Arbutus Biopharma (NASDAQ:ABUS) and Werewolf Therapeutics (NASDAQ:HOWL) are both small-cap healthcare companies, but which is the better business? We will compare the two businesses based on the strength of their valuation, institutional ownership, risk, dividends, analyst recommendations, profitability and earnings.

Valuation & Earnings

This table compares Arbutus Biopharma and Werewolf Therapeutics”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Arbutus Biopharma	$14.08 million	44.53	-$33.50 million	$0.79	5.18
Werewolf Therapeutics	$1.88 million	25.34	-$60.82 million	($0.76)	-1.29

Arbutus Biopharma has higher revenue and earnings than Werewolf Therapeutics. Werewolf Therapeutics is trading at a lower price-to-earnings ratio than Arbutus Biopharma, indicating that it is currently the more affordable of the two stocks.

Insider & Institutional Ownership

43.8% of Arbutus Biopharma shares are held by institutional investors. Comparatively, 64.8% of Werewolf Therapeutics shares are held by institutional investors. 19.9% of Arbutus Biopharma shares are held by company insiders. Comparatively, 23.6% of Werewolf Therapeutics shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Analyst Ratings

This is a summary of current recommendations for Arbutus Biopharma and Werewolf Therapeutics, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Arbutus Biopharma	0	1	0	0	2.00
Werewolf Therapeutics	1	4	2	0	2.14

Werewolf Therapeutics has a consensus target price of $4.00, suggesting a potential upside of 308.04%. Given Werewolf Therapeutics’ stronger consensus rating and higher probable upside, analysts clearly believe Werewolf Therapeutics is more favorable than Arbutus Biopharma.

Volatility & Risk

Arbutus Biopharma has a beta of 0.84, indicating that its share price is 16% less volatile than the S&P 500. Comparatively, Werewolf Therapeutics has a beta of 0.55, indicating that its share price is 45% less volatile than the S&P 500.

Profitability

This table compares Arbutus Biopharma and Werewolf Therapeutics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Arbutus Biopharma	121.17%	129.12%	89.26%
Werewolf Therapeutics	N/A	-166.99%	-59.88%

Summary

Arbutus Biopharma beats Werewolf Therapeutics on 9 of the 14 factors compared between the two stocks.

About Arbutus Biopharma

Arbutus Biopharma is a clinical-stage biopharmaceutical company focused on developing treatments for chronic hepatitis B virus (HBV) infection. Its research programs include RNA interference (RNAi) therapies, immune-based treatments and capsid assembly inhibitors, which target different aspects of the virus and the body’s response to infection. The company’s investigational portfolio includes imdusiran, an RNAi therapeutic designed to reduce hepatitis B surface antigen, as well as other HBV drug candidates at various stages of development.

About Werewolf Therapeutics

Werewolf Therapeutics, Inc. is a clinical-stage biotechnology company developing medicines for cancer. Its research focuses on cytokines, immune-signaling proteins that can stimulate the body’s immune response against tumors. The company’s INDUKINE platform is designed to keep cytokine therapies inactive until they reach the tumor environment, with the goal of limiting effects on healthy tissue. Its investigational programs include WTX-124, based on interleukin-2, and WTX-330, based on interleukin-12.