Critical Review: Twist Bioscience (NASDAQ:TWST) versus Bullfrog AI (NASDAQ:BFRG)

Bullfrog AI (NASDAQ:BFRG) and Twist Bioscience (NASDAQ:TWST) are both healthcare companies, but which is the superior investment? We will compare the two companies based on the strength of their valuation, institutional ownership, dividends, analyst recommendations, profitability, risk and earnings.

Insider and Institutional Ownership

1.0% of Bullfrog AI shares are held by institutional investors. 14.7% of Bullfrog AI shares are held by company insiders. Comparatively, 3.1% of Twist Bioscience shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Analyst Ratings

This is a summary of recent ratings and target prices for Bullfrog AI and Twist Bioscience, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Bullfrog AI	1	1	0	0	1.50
Twist Bioscience	2	2	8	0	2.50

Twist Bioscience has a consensus target price of $115.27, suggesting a potential downside of 43.90%. Given Twist Bioscience’s stronger consensus rating and higher possible upside, analysts clearly believe Twist Bioscience is more favorable than Bullfrog AI.

Risk and Volatility

Bullfrog AI has a beta of -2.73, meaning that its stock price is 373% less volatile than the S&P 500. Comparatively, Twist Bioscience has a beta of 2.19, meaning that its stock price is 119% more volatile than the S&P 500.

Profitability

This table compares Bullfrog AI and Twist Bioscience’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Bullfrog AI	N/A	-150.36%	-127.98%
Twist Bioscience	-31.66%	-28.64%	-19.94%

Valuation & Earnings

This table compares Bullfrog AI and Twist Bioscience”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Bullfrog AI	$120,000.00	91.93	-$6.50 million	($0.46)	-1.29
Twist Bioscience	$376.57 million	34.22	-$77.67 million	($2.22)	-92.55

Bullfrog AI has higher earnings, but lower revenue than Twist Bioscience. Twist Bioscience is trading at a lower price-to-earnings ratio than Bullfrog AI, indicating that it is currently the more affordable of the two stocks.

About Bullfrog AI

Bullfrog AI Holdings, Inc., through its subsidiaries, operates as a digital biopharmaceutical company that focuses on artificial intelligence and machine learning (AI/ML) driven analysis of data sets in medicine and healthcare in the United States. The company offers bfLEAP, an analytical AI/ML platform for the analysis of preclinical and/or clinical data. It also has licensing agreements with George Washington University for rights to use siRNA targeting Beta2-spectrin in the treatment of human diseases, including hepatocellular carcinoma, obesity, non-alcoholic fatty liver disease, and non-alcoholic steatohepatitis; and Johns Hopkins University for the use of a formulation of Mebendazole for the treatment of glioblastoma, and human cancer or neoplastic disease. The company was founded in 2017 and is based in Gaithersburg, Maryland.

About Twist Bioscience

Twist Bioscience Corporation engages in the manufacture and sale of synthetic DNA-based products. The company offers synthetic genes and gene fragments used in product development for therapeutics, diagnostics, chemicals/materials, food/agriculture, data storage, and various applications within academic research by biotech, pharma, industrial chemical, and agricultural companies, as well as academic labs; Oligo pools used in targeted NGS, CRISPR gene editing, mutagenesis experiments, DNA origami, DNA computing, data storage in DNA, and other applications; and immunoglobulin G proteins for customers focused on the pursuit of drug discovery and development. It also provides NGS tools comprising library preparation kits, human exome kits, and fixed and custom panels, as well as alliance panels, primarily used within diagnostic tests for various indications, population genetics research and biomarker discovery, translational research, microbiology, and applied markets research; and methylation detection kits for cancer, and rare and inherited disease study, as well as fast hybridization and full RNA sequencing workflow solution. In addition, the company provides synthetic SARS-CoV-2 RNA reference sequences as positive controls for the development of both NGS and reverse transcription-polymerase chain reaction assays; synthetic monkeypox controls; and various respiratory viral controls, including for influenzas, respiratory syncytial virus, rhinoviruses, SARS, MERS, and coronaviruses. Further, it offers SARS-CoV-2 Research Panels, such as the Twist Respiratory Virus Panel and the Pan-Viral Research Panel, for the detection of disease in a research setting; precision DNA libraries used for antibody engineering, affinity maturation, and humanization; and antibody optimization solution to enable simultaneous optimization of multiple characteristics of a given antibody. The company was incorporated in 2013 and is headquartered in South San Francisco, California.