Contrasting AbCellera Biologics (NASDAQ:ABCL) and Corvus Pharmaceuticals (NASDAQ:CRVS)

AbCellera Biologics (NASDAQ:ABCL) and Corvus Pharmaceuticals (NASDAQ:CRVS) are both small-cap medical companies, but which is the superior stock? We will contrast the two companies based on the strength of their earnings, risk, profitability, dividends, valuation, analyst recommendations and institutional ownership.

Analyst Ratings

This is a summary of recent recommendations for AbCellera Biologics and Corvus Pharmaceuticals, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
AbCellera Biologics	1	3	3	0	2.29
Corvus Pharmaceuticals	1	0	5	0	2.67

AbCellera Biologics presently has a consensus price target of $7.75, suggesting a potential upside of 127.61%. Corvus Pharmaceuticals has a consensus price target of $14.25, suggesting a potential upside of 107.79%. Given AbCellera Biologics’ higher probable upside, equities research analysts clearly believe AbCellera Biologics is more favorable than Corvus Pharmaceuticals.

Institutional and Insider Ownership

61.4% of AbCellera Biologics shares are owned by institutional investors. Comparatively, 46.6% of Corvus Pharmaceuticals shares are owned by institutional investors. 28.9% of AbCellera Biologics shares are owned by company insiders. Comparatively, 31.3% of Corvus Pharmaceuticals shares are owned by company 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.

Risk and Volatility

AbCellera Biologics has a beta of 0.73, indicating that its stock price is 27% less volatile than the S&P 500. Comparatively, Corvus Pharmaceuticals has a beta of 0.7, indicating that its stock price is 30% less volatile than the S&P 500.

Earnings and Valuation

This table compares AbCellera Biologics and Corvus Pharmaceuticals”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
AbCellera Biologics	$28.83 million	35.35	-$162.86 million	($0.57)	-5.97
Corvus Pharmaceuticals	N/A	N/A	-$62.29 million	($0.53)	-12.94

Corvus Pharmaceuticals has lower revenue, but higher earnings than AbCellera Biologics. Corvus Pharmaceuticals is trading at a lower price-to-earnings ratio than AbCellera Biologics, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares AbCellera Biologics and Corvus Pharmaceuticals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
AbCellera Biologics	-493.42%	-17.21%	-12.76%
Corvus Pharmaceuticals	N/A	-26.11%	-20.48%

Summary

AbCellera Biologics beats Corvus Pharmaceuticals on 7 of the 13 factors compared between the two stocks.

About AbCellera Biologics

AbCellera Biologics Inc. builds an engine for antibody drug discovery and development. Its engine discovers antibodies from natural immune responses, which are pre-enriched for antibodies. The company’s preclinical products are ABCL635 for metabolic and endocrine conditions; and ABCL575 for atopic dermatitis. It has a research collaboration and license agreement with Eli Lilly and Company; a research collaboration with Confo Therapeutics for the discovery of therapeutic antibody candidates targeting two undisclosed GPCR targets; and strategic collaboration with Biogen Inc. to discover therapeutic antibodies for neurological conditions, as well as collaboration with Viking Global Investors and ArrowMark Partners. The company was incorporated in 2012 and is headquartered in Vancouver, Canada.

About Corvus Pharmaceuticals

Corvus Pharmaceuticals, Inc., a clinical stage biopharmaceutical company, focuses on the development and commercialization of immune modulator product candidates to treat solid cancers, T cell lymphomas, autoimmune, allergic, and infectious diseases. Its lead product candidate is soquelitinib (CPI-818), a selective covalent inhibitor of interleukin 2 inducible T cell kinase (ITK), which is in a multi-center Phase 1/1b clinical trial for the treatment of peripheral T cell lymphoma, solid tumors, and atopic dermatitis. The company is also developing ciforadenant (CPI-444), an oral small molecule antagonist of the A2A receptor that is in Phase 2 clinical trial for the treatment of metastatic renal cell cancer; and mupadolimab (CPI-006), a humanized monoclonal antibody, which is in Phase 1b clinical trial for the treatment of non-small cell lung cancer and head and neck cancer. In addition, it is developing CPI-182, an antibody designed to block inflammation and myeloid suppression that is in investigational new drug application-enabling studies, as well as CPI-935, an adenosine A2B receptor antagonist to prevent fibrosis. Corvus Pharmaceuticals, Inc. has a license afreemnt with Monash University to research, develop, and commercialize certain antibodies directed to CXCR2 for the treatment of human diseases; and Vernalis (R&D) Limited to develop, manufacture, and commercialize products containing certain adenosine receptor antagonists, including ciforadenant, as well as strategic collaboration with Angel Pharmaceuticals Co. Ltd. for the development and commercialization of mupadolimab. Corvus Pharmaceuticals, Inc. was incorporated in 2014 and is based in Burlingame, California.