Head to Head Review: Surrozen (NASDAQ:SRZN) vs. AbCellera Biologics (NASDAQ:ABCL)

AbCellera Biologics (NASDAQ:ABCL) and Surrozen (NASDAQ:SRZN) are both healthcare companies, but which is the better stock? We will compare the two companies based on the strength of their profitability, analyst recommendations, dividends, institutional ownership, earnings, risk and valuation.

Analyst Recommendations

This is a breakdown of current ratings for AbCellera Biologics and Surrozen, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
AbCellera Biologics	1	2	5	2	2.80
Surrozen	1	1	4	1	2.71

AbCellera Biologics currently has a consensus target price of $13.89, indicating a potential upside of 10.14%. Surrozen has a consensus target price of $48.33, indicating a potential upside of 105.59%. Given Surrozen’s higher possible upside, analysts clearly believe Surrozen is more favorable than AbCellera Biologics.

Volatility and Risk

AbCellera Biologics has a beta of 1.41, meaning that its share price is 41% more volatile than the S&P 500. Comparatively, Surrozen has a beta of 0.47, meaning that its share price is 53% less volatile than the S&P 500.

Valuation & Earnings

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
AbCellera Biologics	$75.13 million	51.46	-$146.41 million	($0.54)	-23.35
Surrozen	$3.48 million	78.43	-$242.03 million	($40.55)	-0.58

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

Institutional & Insider Ownership

61.4% of AbCellera Biologics shares are held by institutional investors. Comparatively, 66.6% of Surrozen shares are held by institutional investors. 28.4% of AbCellera Biologics shares are held by company insiders. Comparatively, 31.7% of Surrozen shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Profitability

This table compares AbCellera Biologics and Surrozen’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
AbCellera Biologics	-248.83%	-17.49%	-12.36%
Surrozen	-2,885.33%	N/A	-93.62%

Summary

AbCellera Biologics beats Surrozen on 9 of the 14 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 Surrozen

Surrozen, Inc., a clinical stage biotechnology company, discovers and develops drug candidates to selectively modulate the Wnt pathway for tissue repair. The company is developing antibody-based therapeutics which targets various disease areas, including diseases of the intestine, liver, retina, cornea, lung, kidney, cochlea, skin, pancreas, and central nervous system. Its products in pipeline include SZN-043, a hepatocyte-specific R-spondin mimetic bispecific fusion protein, which is in Phase 1b clinical trial for the treatment of severe liver diseases, including alcohol-associated hepatitis. The company develops SZN-413, a Fzd4 targeted bi-specific antibody for the treatment of retinal vascular associated diseases. Surrozen, Inc. has collaboration and license agreement with Boehringer Ingelheim International GmbH to research, develop, and commercialize Fzd4 bi-specific antibodies. Surrozen, Inc. is based in South San Francisco, California.