Financial Contrast: NewAmsterdam Pharma (NASDAQ:NAMS) versus Biogen (NASDAQ:BIIB)

Biogen (NASDAQ:BIIB) and NewAmsterdam Pharma (NASDAQ:NAMS) are both healthcare companies, but which is the superior business? We will compare the two companies based on the strength of their dividends, valuation, institutional ownership, analyst recommendations, earnings, risk and profitability.

Analyst Recommendations

This is a breakdown of current ratings and recommmendations for Biogen and NewAmsterdam Pharma, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Biogen	1	13	18	1	2.58
NewAmsterdam Pharma	1	1	9	2	2.92

Biogen presently has a consensus price target of $228.50, suggesting a potential upside of 3.47%. NewAmsterdam Pharma has a consensus price target of $49.73, suggesting a potential upside of 95.78%. Given NewAmsterdam Pharma’s stronger consensus rating and higher possible upside, analysts clearly believe NewAmsterdam Pharma is more favorable than Biogen.

Insider & Institutional Ownership

87.9% of Biogen shares are held by institutional investors. Comparatively, 89.9% of NewAmsterdam Pharma shares are held by institutional investors. 0.3% of Biogen shares are held by insiders. Comparatively, 12.7% of NewAmsterdam Pharma shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Volatility & Risk

Biogen has a beta of 0.17, suggesting that its stock price is 83% less volatile than the S&P 500. Comparatively, NewAmsterdam Pharma has a beta of 0.09, suggesting that its stock price is 91% less volatile than the S&P 500.

Earnings and Valuation

This table compares Biogen and NewAmsterdam Pharma”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Biogen	$9.89 billion	3.30	$1.29 billion	$5.65	39.08
NewAmsterdam Pharma	$22.50 million	134.95	-$203.82 million	($2.16)	-11.76

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

Profitability

This table compares Biogen and NewAmsterdam Pharma’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Biogen	8.32%	11.18%	6.88%
NewAmsterdam Pharma	-3,644.21%	-34.81%	-31.50%

Summary

Biogen beats NewAmsterdam Pharma on 9 of the 15 factors compared between the two stocks.

About Biogen

Biogen Inc. discovers, develops, manufactures, and delivers therapies for treating neurological and neurodegenerative diseases in the United States, Europe, Germany, Asia, and internationally. The company provides TECFIDERA, VUMERITY, AVONEX, PLEGRIDY, TYSABRI, and FAMPYRA for multiple sclerosis (MS); SPINRAZA for spinal muscular atrophy; ADUHELM to treat Alzheimer’s disease; FUMADERM to treat plaque psoriasis; BENEPALI, an etanercept biosimilar referencing ENBREL; IMRALDI, an adalimumab biosimilar referencing HUMIRA; FLIXABI, an infliximab biosimilar referencing REMICADE; and BYOOVIZ, a ranibizumab biosimilar referencing LUCENTIS. It offers RITUXAN for treating non-Hodgkin’s lymphoma, chronic lymphocytic leukemia (CLL), rheumatoid arthritis, two forms of ANCA-associated vasculitis, and pemphigus vulgaris; RITUXAN HYCELA for non-Hodgkin’s lymphoma and CLL; GAZYVA to treat CLL and follicular lymphoma; OCREVUS for relapsing MS and primary progressive MS; LUNSUMIO to treat relapsed or refractory follicular lymphoma; glofitamab for non-Hodgkin’s lymphoma; and other anti-CD20 therapies. In addition, the company is developing various products for the treatment of MS, Alzheimer’s disease and dementia, neuromuscular disorders, Parkinson’s disease and movement disorders, neuropsychiatry, genetic neurodevelopmental disorders, and biosimilars, which are under various stages of development. It has collaboration and license agreements with Acorda Therapeutics, Inc.; Alkermes Pharma Ireland Limited; Denali Therapeutics Inc.; Eisai Co., Ltd.; Genentech, Inc.; Neurimmune SubOne AG; Ionis Pharmaceuticals, Inc.; Samsung Bioepis Co., Ltd.; Sangamo Therapeutics, Inc.; and Sage Therapeutics, Inc., as well as collaboration with Fujirebio to potentially identify and develop blood-based biomarkers for tau pathology in the brain. The company was founded in 1978 and is headquartered in Cambridge, Massachusetts.

About NewAmsterdam Pharma

NewAmsterdam Pharma Company N.V., a late-stage biopharmaceutical company, develops therapies to enhance patient care in populations with metabolic disease. It is developing obicetrapib, an oral low-dose cholesteryl ester transfer protein (CETP) inhibitor, that is in various clinical trials as a monotherapy and a combination therapy with ezetimibe for lowering LDL-C for cardiovascular diseases. The company also develops Obicetrapib which is in Phase 2a clinical trial for Alzheimer’s disease. NewAmsterdam Pharma Company N.V. is headquartered in Naarden, the Netherlands.