CytomX Therapeutics (NASDAQ:CTMX) & Adagene (NASDAQ:ADAG) Head-To-Head Analysis

CytomX Therapeutics (NASDAQ:CTMX) and Adagene (NASDAQ:ADAG) are both small-cap medical companies, but which is the better investment? We will contrast the two businesses based on the strength of their earnings, valuation, dividends, profitability, risk, analyst recommendations and institutional ownership.

Profitability

This table compares CytomX Therapeutics and Adagene’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CytomX Therapeutics	-22.79%	-19.77%	-11.91%
Adagene	N/A	N/A	N/A

Valuation & Earnings

This table compares CytomX Therapeutics and Adagene”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CytomX Therapeutics	$76.20 million	9.60	-$17.37 million	($0.04)	-107.50
Adagene	$7.67 million	27.22	-$33.42 million	N/A	N/A

CytomX Therapeutics has higher revenue and earnings than Adagene.

Analyst Ratings

This is a summary of recent ratings and target prices for CytomX Therapeutics and Adagene, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CytomX Therapeutics	1	0	9	0	2.80
Adagene	1	0	2	2	3.00

CytomX Therapeutics currently has a consensus price target of $13.44, indicating a potential upside of 212.66%. Adagene has a consensus price target of $8.00, indicating a potential upside of 80.59%. Given CytomX Therapeutics’ higher possible upside, equities analysts plainly believe CytomX Therapeutics is more favorable than Adagene.

Risk and Volatility

CytomX Therapeutics has a beta of 2.49, meaning that its stock price is 149% more volatile than the S&P 500. Comparatively, Adagene has a beta of 0.58, meaning that its stock price is 42% less volatile than the S&P 500.

Institutional and Insider Ownership

67.8% of CytomX Therapeutics shares are held by institutional investors. Comparatively, 9.5% of Adagene shares are held by institutional investors. 6.6% of CytomX Therapeutics shares are held by company insiders. Comparatively, 21.2% of Adagene shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Summary

Adagene beats CytomX Therapeutics on 7 of the 13 factors compared between the two stocks.

About CytomX Therapeutics

CytomX Therapeutics, Inc., an oncology-focused biopharmaceutical company, focuses on developing novel conditionally activated biologics localized to the tumor microenvironment. The company utilizes conditional activation platform technology for oncology biologics research and development comprising the validation of targets for antibody-drug conjugates (ADCs), opening therapeutic window for novel T-cell engagers (TCEs) targeting solid tumors, and increasing the therapeutic index for immune modulators, such as cytokines; and PROBODY platform in preclinical research in areas outside of oncology. It also develops CX-904, a T-cell-engaging bispecific antibody targeting the epidermal growth factor receptor (EGFR) on tumor cells and the CD3 receptor on T cells; CX-2051, a conditionally activated ADC for optimizing the therapeutic index for EpCAM-expressing epithelial cancers, including colorectal cancer; and CX-801, an interferon alpha-2b PROBODY cytokine. In addition, the company's development pipeline comprises CX-2029, a conditional activated ADC targeting CD71; and BMS-986288, a PROBODY version of non-fucosylated ipilimumab. It has strategic collaborations with Amgen, Astellas, Bristol Myers Squibb, Regeneron, and Moderna. CytomX Therapeutics, Inc. was founded in 2008 and is headquartered in South San Francisco, California.

About Adagene

Adagene Inc., a clinical stage biotechnology company, engages in the research, development, and production of monoclonal antibody drugs for cancers. The company's product candidates include ADG106, a human ligand-blocking agonistic anti- CD137 IgG4 monoclonal antibodies (mAbs) that is in Phase 1b/2 clinical trials for the treatment advanced solid tumors and non-Hodgkin's lymphoma; ADG126, a masked fully-human anti-CTLA-4 mAb that is in Phase 1 clinical trial for the treatment advanced/metastatic solid tumors; and ADG116, a human ligand-blocking anti-CTLA-4 mAb, which is in Phase 1b/2 clinical development for the treatment of advanced/metastatic solid tumors. It also offers ADG104, an anti-PD-L1 mAb that is in Phase 2 clinical development; ADG125, a novel anti-CSF-1R mAb, which is in Phase I clinical trial; ADG206, a masked, Fc engineered anti-CD137 agonistic POWERbody; ADG153, a masked anti-CD47 IgG1 SAFEbody, which is in preclinical for the treatment hematologic and solid tumors; ADG138, novel HER2xCD3 POWERbody, which is in preclinical for the treatment HER2-expressing solid tumors; and ADG152, a v POWERbody, which is in preclinical stage for the treatment off-tumor toxicities, as well as develops anti-CD28 bispecific POWERbody TCEs. The company was incorporated in 2011 and is headquartered in Suzhou, China.