Reviewing SAB Biotherapeutics (NASDAQ:SABS) and Scholar Rock (NASDAQ:SRRK)

SAB Biotherapeutics (NASDAQ:SABS) and Scholar Rock (NASDAQ:SRRK) are both medical companies, but which is the better stock? We will compare the two companies based on the strength of their risk, institutional ownership, analyst recommendations, earnings, dividends, valuation and profitability.

Risk and Volatility

SAB Biotherapeutics has a beta of 0.4, suggesting that its share price is 60% less volatile than the S&P 500. Comparatively, Scholar Rock has a beta of 0.5, suggesting that its share price is 50% less volatile than the S&P 500.

Insider & Institutional Ownership

7.8% of SAB Biotherapeutics shares are owned by institutional investors. Comparatively, 91.1% of Scholar Rock shares are owned by institutional investors. 26.5% of SAB Biotherapeutics shares are owned by company insiders. Comparatively, 19.2% of Scholar Rock shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for SAB Biotherapeutics and Scholar Rock, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SAB Biotherapeutics	0	0	5	0	3.00
Scholar Rock	0	0	6	1	3.14

SAB Biotherapeutics currently has a consensus price target of $12.40, suggesting a potential upside of 694.92%. Scholar Rock has a consensus price target of $40.43, suggesting a potential upside of 9.00%. Given SAB Biotherapeutics’ higher probable upside, equities research analysts clearly believe SAB Biotherapeutics is more favorable than Scholar Rock.

Profitability

This table compares SAB Biotherapeutics and Scholar Rock’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SAB Biotherapeutics	-1,450.14%	-94.37%	-67.26%
Scholar Rock	N/A	-145.60%	-91.83%

Valuation & Earnings

This table compares SAB Biotherapeutics and Scholar Rock”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SAB Biotherapeutics	$2.24 million	6.43	-$42.19 million	N/A	N/A
Scholar Rock	$33.19 million	104.62	-$165.79 million	($2.45)	-15.14

SAB Biotherapeutics has higher earnings, but lower revenue than Scholar Rock.

Summary

Scholar Rock beats SAB Biotherapeutics on 8 of the 13 factors compared between the two stocks.

About SAB Biotherapeutics

SAB Biotherapeutics, Inc., a clinical-stage biopharmaceutical company, focuses on the development of human polyclonal immunotherapeutic antibodies to address immune system disorders and infectious diseases. It has applied advanced genetic engineering and antibody science to develop transchromosomic bovine herds that produce fully human antibodies targeted at infectious diseases and immune and autoimmune disorders, including infectious diseases, influenza, CDI, type 1 diabetes, organ transplantation, and oncology, as well as immunology, gastroenterology, and respiratory diseases. The company also uses its DiversitAb immunotherapy platform to produce fully-human polyclonal antibodies without the need for human donors or plasma. In addition, its lead product candidate SAB-142, a human, multi-target anti-thymocyte globulin treatment, currently under Phase 1 trials in delaying the onset or progression of type 1 diabetes. Further, the company develops SAB-176, a multivalent, broadly neutralizing – human polyclonal immunoglobulin therapeutic candidate, currently in Phase 2a development for the treatment or prevention of severe influenza. SAB Biotherapeutics, Inc. was founded in 2014 and is headquartered in Miami Beach, Florida.

About Scholar Rock

Scholar Rock Holding Corporation, a biopharmaceutical company, focuses on the discovery, development, and delivery of medicines for the treatment of serious diseases in which signaling by protein growth factors plays a fundamental role. The company develops Apitegromab, an inhibitor of the activation of myostatin that is in Phase 3 clinical trial for the treatment of spinal muscular atrophy; and SRK-181, which has completed Phase 1 clinical trials for the treatment of cancers that are resistant to checkpoint inhibitor therapies, such as anti-PD-1 or anti-PD-L1 antibody therapies. It is developing a pipeline of product candidates to deliver novel therapies to treat a range of serious diseases, including neuromuscular disorders, cardiometabolic disorders, cancer, fibrosis, and iron-restricted anemia. Scholar Rock Holding Corporation was founded in 2012 and is headquartered in Cambridge, Massachusetts.