Head to Head Contrast: Revolution Medicines (NASDAQ:RVMD) vs. Fennec Pharmaceuticals (NASDAQ:FENC)

Revolution Medicines (NASDAQ:RVMD) and Fennec Pharmaceuticals (NASDAQ:FENC) are both medical companies, but which is the superior stock? We will compare the two companies based on the strength of their valuation, analyst recommendations, earnings, risk, dividends, profitability and institutional ownership.

Profitability

This table compares Revolution Medicines and Fennec Pharmaceuticals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Revolution Medicines	N/A	-33.67%	-30.08%
Fennec Pharmaceuticals	-2.30%	-53.38%	-2.08%

Risk and Volatility

Revolution Medicines has a beta of 1.11, meaning that its stock price is 11% more volatile than the S&P 500. Comparatively, Fennec Pharmaceuticals has a beta of 0.32, meaning that its stock price is 68% less volatile than the S&P 500.

Institutional & Insider Ownership

94.3% of Revolution Medicines shares are held by institutional investors. Comparatively, 55.5% of Fennec Pharmaceuticals shares are held by institutional investors. 8.2% of Revolution Medicines shares are held by company insiders. Comparatively, 11.8% of Fennec Pharmaceuticals shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Earnings & Valuation

This table compares Revolution Medicines and Fennec Pharmaceuticals”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Revolution Medicines	$742,000.00	9,925.93	-$436.37 million	($4.00)	-9.89
Fennec Pharmaceuticals	$47.54 million	3.97	-$16.05 million	($0.51)	-13.41

Fennec Pharmaceuticals has higher revenue and earnings than Revolution Medicines. Fennec Pharmaceuticals is trading at a lower price-to-earnings ratio than Revolution Medicines, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a summary of current recommendations and price targets for Revolution Medicines and Fennec Pharmaceuticals, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Revolution Medicines	0	0	12	0	3.00
Fennec Pharmaceuticals	0	0	3	1	3.25

Revolution Medicines presently has a consensus price target of $67.08, indicating a potential upside of 69.66%. Fennec Pharmaceuticals has a consensus price target of $13.00, indicating a potential upside of 90.06%. Given Fennec Pharmaceuticals’ stronger consensus rating and higher probable upside, analysts plainly believe Fennec Pharmaceuticals is more favorable than Revolution Medicines.

Summary

Fennec Pharmaceuticals beats Revolution Medicines on 8 of the 15 factors compared between the two stocks.

About Revolution Medicines

Revolution Medicines, Inc., a clinical-stage precision oncology company, develops novel targeted therapies for RAS-addicted cancers. The company’s research and development pipeline comprises RAS(ON) inhibitors designed to be used as monotherapy in combination with other RAS(ON) inhibitors and/or in combination with RAS companion inhibitors or other therapeutic agents, and RAS companion inhibitors for combination treatment strategies. Its RAS(ON) inhibitors include RMC-6236 (multi), RMC-6291 (G12C), and RMC-9805 (G12D), which are in phase 1 clinical trial; and development candidates comprise RMC-5127 (G12V), RMC-0708 (Q61H), and RMC-8839 (G13C), as well as programs focused on G12R and other targets. The company’s RAS companion inhibitors include RMC-4630 that is in phase 2 clinical trial; and RMC-5552, which is in phase 1 clinical trial. Revolution Medicines, Inc. was incorporated in 2014 and is headquartered in Redwood City, California.

About Fennec Pharmaceuticals

Fennec Pharmaceuticals Inc., a biopharmaceutical company, develops product candidates for use in the treatment of cancer in the United States. Its lead product candidate is the Sodium Thiosulfate, which has completed the Phase III clinical trial for the prevention of cisplatin induced hearing loss or ototoxicity in children. The company was formerly known as Adherex Technologies Inc. and changed its name to Fennec Pharmaceuticals Inc. in September 2014. Fennec Pharmaceuticals Inc. was founded in 1996 and is based in Research Triangle Park, North Carolina.