Financial Analysis: Incyte (NASDAQ:INCY) versus Sino Biopharmaceutical (OTCMKTS:SBMFF)

Incyte (NASDAQ:INCY) and Sino Biopharmaceutical (OTCMKTS:SBMFF) are both large-cap medical companies, but which is the superior stock? We will contrast the two companies based on the strength of their risk, dividends, profitability, valuation, analyst recommendations, institutional ownership and earnings.

Analyst Ratings

This is a summary of recent recommendations and price targets for Incyte and Sino Biopharmaceutical, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Incyte	0	14	8	0	2.36
Sino Biopharmaceutical	0	0	0	0	0.00

Incyte presently has a consensus target price of $107.85, suggesting a potential downside of 5.19%. Given Incyte’s stronger consensus rating and higher probable upside, equities research analysts plainly believe Incyte is more favorable than Sino Biopharmaceutical.

Profitability

This table compares Incyte and Sino Biopharmaceutical’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Incyte	26.71%	26.66%	19.77%
Sino Biopharmaceutical	N/A	N/A	N/A

Earnings & Valuation

This table compares Incyte and Sino Biopharmaceutical”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Incyte	$5.14 billion	4.42	$1.29 billion	$7.08	16.07
Sino Biopharmaceutical	$4.02 billion	2.81	$486.83 million	N/A	N/A

Incyte has higher revenue and earnings than Sino Biopharmaceutical.

Institutional and Insider Ownership

97.0% of Incyte shares are held by institutional investors. 16.2% of Incyte shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Risk & Volatility

Incyte has a beta of 0.79, suggesting that its share price is 21% less volatile than the S&P 500. Comparatively, Sino Biopharmaceutical has a beta of 0.66, suggesting that its share price is 34% less volatile than the S&P 500.

Summary

Incyte beats Sino Biopharmaceutical on 12 of the 12 factors compared between the two stocks.

About Incyte

Incyte Corporation, a biopharmaceutical company, engages in the discovery, development, and commercialization of therapeutics for hematology/oncology, and inflammation and autoimmunity areas in the United States and internationally. The company offers JAKAFI (ruxolitinib) for treatment of intermediate or high-risk myelofibrosis, polycythemia vera, and steroid-refractory acute graft-versus-host disease; MONJUVI (tafasitamab-cxix)/MINJUVI (tafasitamab) for relapsed or refractory diffuse large B-cell lymphoma; PEMAZYRE (pemigatinib), a fibroblast growth factor receptor kinase inhibitor that act as oncogenic drivers in liquid and solid tumor types; ICLUSIG (ponatinib) to treat chronic myeloid leukemia and Philadelphia-chromosome positive acute lymphoblastic leukemia; and ZYNYZ (retifanlimab-dlwr) to treat adults with metastatic or recurrent locally advanced Merkel cell carcinoma, as well as OPZELURA cream for treatment of atopic dermatitis. Its clinical stage products include retifanlimab under Phase 3 clinical trials for squamous cell carcinoma of the anal canal and non-small cell lung cancer; axatilimab, an anti-CSF-1R monoclonal antibody under Phase 2 that is being developed as a therapy for patients with chronic GVHD; INCA033989 to inhibit oncogenesis; INCB160058, which is being developed as a disease-modifying therapeutic; and INCB99280 and INCB99318 for the treatment solid tumors. The company also develops INCB123667, INCA32459, and INCA33890, as well as Ruxolitinib cream, Povorcitinib, and INCA034460. It has collaboration out-license agreements with Novartis and Lilly; in-license agreements with Agenus, Merus, MacroGenics, and Syndax; and collaboration and license agreement with China Medical System Holdings Limited for the development and commercialization of povorcitinib. The company sells its products to specialty, retail, and hospital pharmacies, distributors, and wholesalers. The company was formerly known as Incyte Genomics Inc and changed its name to Incyte Corporation in March 2003. Incyte Corporation was incorporated in 1991 and is headquartered in Wilmington, Delaware.

About Sino Biopharmaceutical

Sino Biopharmaceutical Limited, an investment holding company, operates as a research and development pharmaceutical conglomerate in the People's Republic of China. It operates through three segments: Modernised Chinese Medicines and Chemical Medicines, Investment, and Others. The company offers oncology medicines, including anlotinib hydrochloride capsules under Focus V brand, penpulimab injection under Annike brand, efbemalenograstin alfa injection under Yilishu brand, pomalidomide capsules under Anyue brand, bevacizumab injection under Anbeisi brand, rituximab injection under Delituo brand, and trastuzumab for injection under Saituo brand; liver disease medications, such as magnesium isoglycyrrhizinate injection under Tianqing Ganmei brand and entecavir dispersible tablets under Runzhong brand; and respiratory system medicines comprising budesonide suspension for inhalation under Tianqing suchang brand and colistimethate sodium for injection under Tianyun brand. It also provides surgery/analgesia medicines, including flurbiprofen cataplasms under the brand Zepolas, limaprost tablets under the brand Kailitong, and recombinant human coagulation factor VIII for injection under the brand Anhengji; cardio-cerebral vascular medicines, such as irbesartan and hydrochlorothiazide tablets under the brand Yilunping and beraprost sodium tablets under the brand Kaina; and biosimilar medicines comprising adalimumab solution for injection under the brand Taibowei. In addition, the company develops oncology drugs, include benmelstobart, D-1553, TQ-B3139, and TQ-B3101; liver disease drugs, such as Lanifibranor and TQA2225/AP025; respiratory system drugs comprising TDI01, TQC2731, TCR1672, TQC3721, and TQH2722; and surgery/analgesia drugs, including PL-5, an antimicrobial peptide. Further, it is involved in the long-term investments; and healthcare and hospital business. The company was incorporated in 2000 and is headquartered in Wan Chai, Hong Kong.