Head-To-Head Review: Novozymes A/S (OTCMKTS:NVZMY) vs. Ginkgo Bioworks (NYSE:DNA)

Ginkgo Bioworks (NYSE:DNA) and Novozymes A/S (OTCMKTS:NVZMY) are both medical companies, but which is the superior business? We will compare the two businesses based on the strength of their analyst recommendations, earnings, institutional ownership, profitability, dividends, valuation and risk.

Insider & Institutional Ownership

78.6% of Ginkgo Bioworks shares are owned by institutional investors. Comparatively, 0.0% of Novozymes A/S shares are owned by institutional investors. 15.1% of Ginkgo Bioworks 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.

Risk and Volatility

Ginkgo Bioworks has a beta of 1.14, indicating that its stock price is 14% more volatile than the S&P 500. Comparatively, Novozymes A/S has a beta of 0.89, indicating that its stock price is 11% less volatile than the S&P 500.

Earnings and Valuation

This table compares Ginkgo Bioworks and Novozymes A/S’s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Ginkgo Bioworks	$184.34 million	2.57	-$892.87 million	($0.44)	-0.49
Novozymes A/S	$2.60 billion	11.56	$439.08 million	$1.58	40.58

Novozymes A/S has higher revenue and earnings than Ginkgo Bioworks. Ginkgo Bioworks is trading at a lower price-to-earnings ratio than Novozymes A/S, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Ginkgo Bioworks and Novozymes A/S’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Ginkgo Bioworks	-486.98%	-59.13%	-37.42%
Novozymes A/S	16.88%	21.42%	10.64%

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for Ginkgo Bioworks and Novozymes A/S, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ginkgo Bioworks	3	2	1	0	1.67
Novozymes A/S	0	1	2	0	2.67

Ginkgo Bioworks currently has a consensus target price of $1.40, suggesting a potential upside of 566.03%. Given Ginkgo Bioworks’ higher possible upside, research analysts clearly believe Ginkgo Bioworks is more favorable than Novozymes A/S.

Summary

Novozymes A/S beats Ginkgo Bioworks on 10 of the 14 factors compared between the two stocks.

About Ginkgo Bioworks

Ginkgo Bioworks Holdings, Inc., together with its subsidiaries, develops platform for cell programming in the United States. Its platform is used to program cells to enable biological production of products, such as novel therapeutics, food ingredients, and chemicals derived from petroleum. It serves pharma and biotech, agriculture, industrial and environment, food and nutrition, consumer and technology, and government and defense industries. Ginkgo Bioworks Holdings, Inc. was founded in 2008 and is headquartered in Boston, Massachusetts.

About Novozymes A/S

Novozymes A/S produces and sells industrial enzymes, microorganisms, and probiotics in Denmark, rest of Europe, North America, Asia Pacific, the Middle East, Africa, Latin America, and internationally. The company offers protein solutions for the food and beverage industry. It also offers industrial hygiene, drain openers, hard surface, medical cleaning, septic tanks, ware washing, and professional laundry services. In addition, the company provides dishwashing, softener, microbial and medical cleaning services. Further, it provides corn, cotton, forages, peanuts, pulses, soybeans, wheat, small grains, bioyield, and biocontrol solutions; warm water species, recirculating aquaculture system; animal health and nutrition solutions; fiber modification, bleach boosting, deposit control, and starch modification solutions. Additionally, the company provides carbon capture, leather and textiles solutions; enzyme solutions, including corn and wheat separation, liquefaction, saccharification, filtration, isomerization, maltose, and specialties solutions; warm water species and recirculating aquaculture system solutions; human health solutions, comprising brain, oral, protective and immune, and gastrointestinal health solutions; ethanol, biodiesel, renewable diesel, education, wastewater, and sewage sludge, and renewable diesel solutions; agriculture and industry, biogas food waste, food waste, biocatalysis, cell culture, diagnostics, enzyme, and biogas solutions. Furthermore, it provides lipases, proteases, oxidoreductases, and carbohydrases. Novozymes A/S was founded in 1925 and is based in Bagsvaerd, Denmark.