Fortress Biotech (NASDAQ:FBIO) & Humacyte (NASDAQ:HUMA) Financial Contrast

Fortress Biotech (NASDAQ:FBIO) and Humacyte (NASDAQ:HUMA) are both small-cap medical companies, but which is the superior stock? We will compare the two businesses based on the strength of their institutional ownership, earnings, valuation, analyst recommendations, dividends, profitability and risk.

Profitability

This table compares Fortress Biotech and Humacyte’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Fortress Biotech	6.40%	-69.39%	-13.95%
Humacyte	N/A	N/A	-68.85%

Risk & Volatility

Fortress Biotech has a beta of 1.42, suggesting that its stock price is 42% more volatile than the S&P 500. Comparatively, Humacyte has a beta of 1.93, suggesting that its stock price is 93% more volatile than the S&P 500.

Insider & Institutional Ownership

96.5% of Fortress Biotech shares are held by institutional investors. Comparatively, 44.7% of Humacyte shares are held by institutional investors. 27.9% of Fortress Biotech shares are held by company insiders. Comparatively, 5.1% of Humacyte shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Valuation and Earnings

This table compares Fortress Biotech and Humacyte”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Fortress Biotech	$57.67 million	2.00	-$46.00 million	($0.18)	-20.67
Humacyte	N/A	N/A	-$148.70 million	($0.23)	-4.83

Fortress Biotech has higher revenue and earnings than Humacyte. Fortress Biotech is trading at a lower price-to-earnings ratio than Humacyte, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Fortress Biotech and Humacyte, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Fortress Biotech	1	0	2	1	2.75
Humacyte	1	0	7	0	2.75

Fortress Biotech presently has a consensus price target of $16.50, indicating a potential upside of 343.55%. Humacyte has a consensus price target of $8.29, indicating a potential upside of 646.46%. Given Humacyte’s higher probable upside, analysts clearly believe Humacyte is more favorable than Fortress Biotech.

Summary

Fortress Biotech beats Humacyte on 8 of the 13 factors compared between the two stocks.

About Fortress Biotech

Fortress Biotech, Inc., a biopharmaceutical company, develops dermatology, pharmaceutical, and biotechnology products in the United States. The company markets dermatology products, such as Qbrexza a medicated cloth towelette for the treatment of primary axillary hyperhidrosis; Accutane capsules for severe recalcitrant nodular acne; Amzeeq for severe acne vulgaris; Zilxi, a topical foam; Exelderm cream and solution for topical use; Targadox an oral doxycycline drug for adjunctive therapy for severe acne; Luxamend; sulconazole nitrate cream and solution for tinea cruris and tinea corporis; and doxycycline hyclate tablet. It also develops late stage product candidates, such as intravenous Tramadol for the treatment of post-operative acute pain; CUTX-101, an injection for the treatment of Menkes disease; Cosibelimab for metastatic cancers; Olafertinib for the treatment of patients with EGFR mutation-positive NSCLC; CAEL-101 for the treatment of amyloid light chain amyloidosis; Triplex vaccine for cytomegalovirus; and DFD-29 for the treatment of rosacea. The company’s early stage product candidates include Dotinurad for gout; MB-106 for B-cell non-hodgkin lymphoma; MB-101 for glioblastoma; MB-108 for recurrent GBM; MB-109 for refractory glioblastoma; AJ201, an androgen receptor degradation enhancer; BAER-101, a positive allosteric modulator; MB-117 for newly diagnosed x-linked severe combined immunodeficiency; and MB217 for previously transplanted; and MB-110 for RAG1 severe combined immunodeficiency. Its preclinical product candidates comprise Mayo Clinic In Vivo CAR T Platform Technology; AAV-ATP7A gene therapy; AVTS-001 gene therapy; CK-103 BET inhibitor; CEVA-D and CEVA-102; CK-302, an anti-GITR; CK-303, an anti-CAIX; and oligonucleotide platform. The company was formerly known as Coronado Biosciences, Inc. and changed its name to Fortress Biotech, Inc. in April 2015. Fortress Biotech, Inc. was incorporated in 2006 and is based in Bay Harbor Islands, Florida.

About Humacyte

Humacyte, Inc. engages in the development and manufacture of off-the-shelf, implantable, and bioengineered human tissues for the treatment of diseases and conditions across a range of anatomic locations in multiple therapeutic areas. The company using its proprietary and scientific technology platform to engineer and manufacture human acellular vessels (HAVs) to be implanted into patient without inducing a foreign body response or leading to immune rejection. It is developing a portfolio of HAVs, which would target the vascular repair, reconstruction, and replacement market, including vascular trauma; arteriovenous access for hemodialysis; peripheral arterial disease; pediatric heart surgery; and coronary artery bypass grafting, as well as for the delivery of cellular therapy, including pancreatic islet cell transplantation to treat Type 1 diabetes. The company was founded in 2004 and is headquartered in Durham, North Carolina.