Analyzing Beam Therapeutics (NASDAQ:BEAM) and ProQR Therapeutics (NASDAQ:PRQR)

Beam Therapeutics (NASDAQ:BEAM) and ProQR Therapeutics (NASDAQ:PRQR) are both healthcare companies, but which is the better investment? We will contrast the two businesses based on the strength of their valuation, profitability, risk, analyst recommendations, institutional ownership, dividends and earnings.

Valuation & Earnings

This table compares Beam Therapeutics and ProQR Therapeutics”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Beam Therapeutics	$139.74 million	19.24	-$79.99 million	($0.86)	-30.27
ProQR Therapeutics	$17.99 million	12.15	-$47.73 million	($0.46)	-4.51

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

Volatility and Risk

Beam Therapeutics has a beta of 2.22, indicating that its stock price is 122% more volatile than the S&P 500. Comparatively, ProQR Therapeutics has a beta of 0.06, indicating that its stock price is 94% less volatile than the S&P 500.

Profitability

This table compares Beam Therapeutics and ProQR Therapeutics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Beam Therapeutics	-54.75%	-30.71%	-24.07%
ProQR Therapeutics	-223.51%	-73.83%	-35.14%

Institutional and Insider Ownership

99.7% of Beam Therapeutics shares are owned by institutional investors. Comparatively, 32.7% of ProQR Therapeutics shares are owned by institutional investors. 3.8% of Beam Therapeutics shares are owned by insiders. Comparatively, 8.4% of ProQR Therapeutics shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Beam Therapeutics and ProQR Therapeutics, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Beam Therapeutics	1	2	10	0	2.69
ProQR Therapeutics	1	1	6	0	2.62

Beam Therapeutics presently has a consensus target price of $49.00, indicating a potential upside of 88.24%. ProQR Therapeutics has a consensus target price of $7.50, indicating a potential upside of 261.45%. Given ProQR Therapeutics’ higher probable upside, analysts plainly believe ProQR Therapeutics is more favorable than Beam Therapeutics.

Summary

Beam Therapeutics beats ProQR Therapeutics on 9 of the 14 factors compared between the two stocks.

About Beam Therapeutics

Beam Therapeutics Inc., a biotechnology company, engages in the development of precision genetic medicines for patients suffering from serious diseases in the United States. It develops BEAM-101 for the treatment of sickle cell disease or beta-thalassemia; and BEAM-302, a liver-targeting LNP formulation to treat severe alpha-1 antitrypsin deficiency; BEAM-201, an anti-CD7 CAR-T product candidate, which is in Phase 1/2 clinical trials for the treatment of refractory T-cell acute lymphoblastic leukemia/T cell lymphoblastic lymphoma; and BEAM-301, a liver-targeting LNP formulation for the treatment of glycogen storage disease 1a. The company has research collaboration agreement with Pfizer Inc., focus on in vivo base editing programs for targets rare genetic diseases of the liver, muscle, and central nervous system; Apellis Pharmaceuticals to conduct preclinical research on target specific genes within the complement system in various organs, including the eye, liver, and brain; Verve Therapeutics, Inc., for cardiovascular disease treatments; Sana Biotechnology, Inc., to research, develop, and commercialize rights to CRISPR Cas12b for cell therapy programs; and Orbital Therapeutics design RNA for the prevention, treatment or diagnosis of human disease. Beam Therapeutics Inc. was incorporated in 2017 and is based in Cambridge, Massachusetts.

About ProQR Therapeutics

ProQR Therapeutics N.V., a biotechnology company, focuses on the discovery and development of novel therapeutic medicines. The company's products pipeline includes AX-0810 for cholestatic diseases targeting Na-taurocholate cotransporting polypeptide (NTCP); and AX-1412 for cardiovascular diseases (CVDs) targeting Beta-1,4-galactosyltransferase 1 (B4GALT1). It also develops various other early-stage research programs, including AX-1005 for undisclosed targets in CVDs; AX-2402, which focuses on Rett syndrome; AX-2911 for nonalcoholic steatohepatitis (NASH); AX-0601 for obesity and Type 2 diabetes; and AX-9115 for rare metabolic condition, as well as various other targets. In addition, the company develops Axiomer RNA base-editing platform technology. It has a license agreement with Radboud University Medical Center; Inserm Transfert SA; Ionis Pharmaceuticals, Inc.; Vico Therapeutics B.V.; University of Rochester; and Leiden University Medical Center, as well as license and research collaboration with Eli Lilly and Company for the discovery, development, and commercialization of potential new medicines for genetic disorders in the liver and nervous system. The company was incorporated in 2012 and is headquartered in Leiden, the Netherlands.