Financial Review: Celldex Therapeutics (NASDAQ:CLDX) versus HUTCHMED (NASDAQ:HCM)

HUTCHMED (NASDAQ:HCM) and Celldex Therapeutics (NASDAQ:CLDX) are both mid-cap medical companies, but which is the better business? We will compare the two companies based on the strength of their valuation, risk, earnings, dividends, institutional ownership, profitability and analyst recommendations.

Profitability

This table compares HUTCHMED and Celldex Therapeutics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
HUTCHMED	N/A	N/A	N/A
Celldex Therapeutics	-3,446.88%	-33.22%	-31.26%

Earnings and Valuation

This table compares HUTCHMED and Celldex Therapeutics”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
HUTCHMED	$630.20 million	4.20	$37.73 million	N/A	N/A
Celldex Therapeutics	$2.60 million	787.98	-$157.86 million	($3.38)	-9.12

HUTCHMED has higher revenue and earnings than Celldex Therapeutics.

Risk & Volatility

HUTCHMED has a beta of 0.42, indicating that its share price is 58% less volatile than the S&P 500. Comparatively, Celldex Therapeutics has a beta of 1.24, indicating that its share price is 24% more volatile than the S&P 500.

Analyst Ratings

This is a summary of current ratings and price targets for HUTCHMED and Celldex Therapeutics, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
HUTCHMED	1	3	1	1	2.33
Celldex Therapeutics	2	1	6	1	2.60

HUTCHMED presently has a consensus price target of $20.88, indicating a potential upside of 37.70%. Celldex Therapeutics has a consensus price target of $41.56, indicating a potential upside of 34.83%. Given HUTCHMED’s higher probable upside, analysts clearly believe HUTCHMED is more favorable than Celldex Therapeutics.

Insider & Institutional Ownership

8.8% of HUTCHMED shares are owned by institutional investors. 3.6% of HUTCHMED shares are owned by insiders. Comparatively, 4.4% of Celldex Therapeutics shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Summary

HUTCHMED beats Celldex Therapeutics on 7 of the 12 factors compared between the two stocks.

About HUTCHMED

HUTCHMED (China) Ltd. is a holding company, which engages in the research and development, manufacture, and sale of pharmaceuticals and health-oriented consumer products. It operates through the Oncology/Immunology and Other Ventures segments. The Oncology/Immunology segment includes the discovery, development, and commercialization of targeted therapies and immunotherapies for the treatment of cancer and immunological diseases. The Other Ventures segment involves the other commercial businesses which include the sales, marketing, manufacture, and distribution of prescription drugs and healthcare products. The company was founded on December 18, 2000 and is headquartered in Hong Kong.

About Celldex Therapeutics

Celldex Therapeutics, Inc., a biopharmaceutical company, engages in developing therapeutic monoclonal and bispecific antibodies for the treatment of various diseases. Its drug candidates include antibody-based therapeutics to treat patients with inflammatory, allergic, autoimmune, and other devastating diseases. The company’s clinical development programs CDX-0159, a Phase II monoclonal antibody that binds the receptor tyrosine kinase KIT and inhibits its activity. It has research collaboration and license agreements with Yale University. The company was incorporated in 1983 and is headquartered in Hampton, New Jersey.