Financial Contrast: RenovoRx (NASDAQ:RNXT) vs. Beta Bionics (NASDAQ:BBNX)

RenovoRx (NASDAQ:RNXT) and Beta Bionics (NASDAQ:BBNX) are both small-cap healthcare companies, but which is the superior investment? We will compare the two companies based on the strength of their risk, analyst recommendations, earnings, valuation, profitability, dividends and institutional ownership.

Analyst Recommendations

This is a breakdown of recent recommendations for RenovoRx and Beta Bionics, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
RenovoRx	1	0	2	1	2.75
Beta Bionics	1	4	9	1	2.67

RenovoRx currently has a consensus price target of $8.50, suggesting a potential upside of 496.49%. Beta Bionics has a consensus price target of $23.69, suggesting a potential upside of 32.73%. Given RenovoRx’s stronger consensus rating and higher possible upside, equities analysts clearly believe RenovoRx is more favorable than Beta Bionics.

Profitability

This table compares RenovoRx and Beta Bionics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
RenovoRx	-621.71%	-135.11%	-101.91%
Beta Bionics	-61.31%	-26.30%	-23.25%

Earnings and Valuation

This table compares RenovoRx and Beta Bionics”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
RenovoRx	$1.98 million	32.55	-$11.17 million	($0.31)	-4.60
Beta Bionics	$119.01 million	6.75	-$73.20 million	($1.65)	-10.82

RenovoRx has higher earnings, but lower revenue than Beta Bionics. Beta Bionics is trading at a lower price-to-earnings ratio than RenovoRx, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

3.1% of RenovoRx shares are owned by institutional investors. 9.4% of RenovoRx shares are owned by insiders. Comparatively, 5.3% of Beta Bionics shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Volatility and Risk

RenovoRx has a beta of 0.98, indicating that its share price is 2% less volatile than the S&P 500. Comparatively, Beta Bionics has a beta of 3.39, indicating that its share price is 239% more volatile than the S&P 500.

Summary

RenovoRx beats Beta Bionics on 8 of the 14 factors compared between the two stocks.

About RenovoRx

RenovoRx, Inc., a clinical-stage biopharmaceutical company, focuses on developing proprietary targeted combination therapies to improve therapeutic outcomes for cancer patients undergoing treatment. Its lead product candidate is RenovoGem, an oncology drug-device combination product, consisting of intra-arterial gemcitabine and RenovoCath that is in Phase III clinical trials for the locally advanced pancreatic cancer. The company has a research collaboration with Imugene Limited to deliver oncolytic virus therapy for the treatment of difficult-to-access tumors. RenovoRx, Inc. was founded in 2009 and is headquartered in Los Altos, California.

About Beta Bionics

Beta Bionics, Inc. is a commercial-stage medical device company. It engages in the design, development, and commercialization of solutions for insulin-requiring people with diabetes. The company was founded by Edward R. Damiano on October 21, 2015 and is headquartered in Irvine, CA.