Critical Contrast: Intellia Therapeutics (NASDAQ:NTLA) & MacroGenics (NASDAQ:MGNX)

Intellia Therapeutics (NASDAQ:NTLA) and MacroGenics (NASDAQ:MGNX) 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, risk, analyst recommendations, earnings, dividends, institutional ownership and profitability.

Volatility and Risk

Intellia Therapeutics has a beta of 1.83, meaning that its stock price is 83% more volatile than the S&P 500. Comparatively, MacroGenics has a beta of 1.33, meaning that its stock price is 33% more volatile than the S&P 500.

Earnings & Valuation

This table compares Intellia Therapeutics and MacroGenics”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Intellia Therapeutics	$67.67 million	23.50	-$412.69 million	($3.36)	-3.38
MacroGenics	$175.14 million	0.85	-$74.62 million	($0.22)	-10.59

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

Institutional & Insider Ownership

88.8% of Intellia Therapeutics shares are owned by institutional investors. Comparatively, 96.9% of MacroGenics shares are owned by institutional investors. 3.5% of Intellia Therapeutics shares are owned by insiders. Comparatively, 13.6% of MacroGenics shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Profitability

This table compares Intellia Therapeutics and MacroGenics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Intellia Therapeutics	-672.16%	-57.79%	-47.29%
MacroGenics	-8.70%	-109.26%	-18.70%

Analyst Ratings

This is a summary of recent ratings for Intellia Therapeutics and MacroGenics, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Intellia Therapeutics	5	7	9	1	2.27
MacroGenics	1	1	3	0	2.40

Intellia Therapeutics presently has a consensus target price of $20.57, indicating a potential upside of 81.25%. MacroGenics has a consensus target price of $8.50, indicating a potential upside of 264.81%. Given MacroGenics’ stronger consensus rating and higher probable upside, analysts clearly believe MacroGenics is more favorable than Intellia Therapeutics.

Summary

MacroGenics beats Intellia Therapeutics on 9 of the 15 factors compared between the two stocks.

About Intellia Therapeutics

Intellia Therapeutics, Inc., a genome editing company, focuses on the development of curative therapeutics. The company's in vivo programs include NTLA-2001, which is in Phase 1 clinical trial for the treatment of transthyretin amyloidosis; NTLA-2002 for the treatment of hereditary angioedema; and NTLA-3001 for alpha-1 antitrypsin deficiency associated lung disease. It also focusses on programs comprising hemophilia A and hemophilia B; and research of proprietary programs focused on developing engineered cell therapies to treat various cancers and autoimmune diseases. In addition, the company offers tools comprising of Clustered, Regularly Interspaced Short Palindromic Repeats/CRISPR associated 9 (CRISPR/Cas9) system. It has license and collaboration agreement with Regeneron Pharmaceuticals, Inc. to co-develop potential products for the treatment of hemophilia A and hemophilia B; AvenCell Therapeutics, Inc. to develop allogeneic universal CAR-T cell therapies, and co-develop and co-commercialize allogeneic universal CAR-T cell products for an immuno-oncology indication; SparingVision SAS to develop novel genomic medicines utilizing CRISPR/Cas9 technology for the treatment of ocular diseases; Kyverna Therapeutics, Inc. for the development of an allogeneic CD19 CAR-T cell therapy for the treatment of a variety of B cell-mediated autoimmune diseases; and ONK Therapeutics, Ltd. for the development of engineered NK cell therapies to cure patients with cancer. Intellia Therapeutics, Inc. was incorporated in 2014 and is headquartered in Cambridge, Massachusetts.

About MacroGenics

MacroGenics, Inc., a biopharmaceutical company, develops, manufactures, and commercializes antibody-based therapeutics to treat cancer in the United States. Its approved product is MARGENZA (margetuximab-cmkb), a human epidermal growth factor receptor 2 (HER2) receptor antagonist indicated, in combination with chemotherapy, for the treatment of adult patients with metastatic HER2-positive breast cancer who have received two or more prior anti-HER2 regimens. The company's pipeline of immuno-oncology product candidates includes MGC018, an antibody drug conjugate (ADC), which targets solid tumors expressing B7-H3; Enoblituzumab, a monoclonal antibody that targets B7-H3; and MGD024, an investigational bispecific CD123 × CD3 DART molecule to minimize cytokine-release syndrome for patients with hematologic malignancies. In addition, it develops Lorigerlimab, a monoclonal antibody that targets the immune checkpoints PD-1 and cytotoxic T-lymphocyte-associated protein 4; Tebotelimab, an investigational tetravalent DART molecule for PD-1 and lymphocyte-activation gene 3; Retifanlimab, a humanized monoclonal antibody targeting programmed death receptor-1; and IMGC936, an ADC that targets ADAM9, a cell surface protein over-expressed in various solid tumor types. Further, the company develops MGD014 and MGD020, a DART molecule to target the envelope protein of human immunodeficiency virus infected cells and CD3 on T cells; Teplizumab for the treatment of type 1 diabetes; and PRV-3279, a CD32B × CD79B DART molecule for the treatment of autoimmune indications. It has collaborations with Incyte Corporation; Zai Lab Limited; I-Mab Biopharma; and Janssen Biotech, Inc. The company was incorporated in 2000 and is headquartered in Rockville, Maryland.