Comparing SAB Biotherapeutics (NASDAQ:SABS) and bluebird bio (NASDAQ:BLUE)

When evaluating small-cap medical companies, two notable names come to mind: SAB Biotherapeutics (NASDAQ:SABS) and bluebird bio (NASDAQ:BLUE). This article will explore their performance metrics, analyst recommendations, institutional ownership, profitability, and other criteria to determine which company may be the better investment.

Earnings & Valuation

Both companies have distinct earnings and valuation characteristics. The following table summarizes their recent performances:

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SAB Biotherapeutics	$2.24 million	19.16	-$42.19 million	N/A	N/A
bluebird bio	$53.12 million	1.56	-$211.91 million	($37.40)	-0.23

From this comparison, it is clear that SAB Biotherapeutics generates lower revenue despite showcasing higher earnings.

Risk and Volatility

In terms of stock volatility, SAB Biotherapeutics boasts a beta of 0.59, suggesting its stock price is 41% less volatile than the S&P 500. bluebird bio, on the other hand, has a beta of 0.72, which means it is 28% less volatile compared to the S&P 500.

Institutional and Insider Ownership

Institutional ownership is significantly different between these two companies. Only 7.8% of SAB Biotherapeutics shares are owned by institutional investors, while a much larger 87.4% of bluebird bio shares are held by institutions. Additionally, 26.5% of SAB Biotherapeutics shares belong to company insiders, compared to a mere 1.4% for bluebird bio. High institutional ownership often indicates that investors have confidence in a company’s future performance.

Profitability

The profitability of both companies, measured through net margins, return on equity, and return on assets, is compared below:

	Net Margins	Return on Equity	Return on Assets
SAB Biotherapeutics	-1,450.14%	-94.37%	-67.26%
bluebird bio	-565.74%	-322.46%	-53.17%

Both companies show negative margins, indicating challenges in profitability; however, SAB Biotherapeutics has more severe negative metrics.

Analyst Recommendations

Analyst perspectives provide further insights into these companies. Below is a breakdown of recent recommendations:

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SAB Biotherapeutics	0	0	5	0	3.00
bluebird bio	2	6	2	0	2.00

Currently, SAB Biotherapeutics has a consensus target price of $12.40, suggesting a potential upside of 166.67%. In contrast, bluebird bio has a target price of $49.14, with a potential upside of 478.15%. This substantial difference in potential upside indicates that analysts generally find bluebird bio more attractive.

About SAB Biotherapeutics

SAB Biotherapeutics focuses on developing human polyclonal antibodies to address immune system disorders and infectious diseases. They utilize advanced genetic engineering to produce fully human antibodies from specially developed bovine herds. Their product pipeline includes SAB-142, currently in Phase 1 trials targeting type 1 diabetes, and SAB-176, which is in Phase 2a development for severe influenza. Founded in 2014, the company is based in Miami Beach, Florida.

About bluebird bio

bluebird bio is dedicated to researching and developing gene therapies for severe genetic disorders. Noteworthy products in their pipeline include ZYNTEGLO for transfusion-dependent ß-thalassemia and lovotibeglogene autotemcel for sickle cell disease. Established in 1992 and rebranded in 2010, the company operates out of Somerville, Massachusetts.

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