Head to Head Contrast: Beam Therapeutics (BEAM) and Its Rivals

Beam Therapeutics (NASDAQ:BEAM) is one of 844 publicly-traded companies in the “Biotechnology” industry, but how does it compare to its peers? We will compare Beam Therapeutics to similar companies based on the strength of its valuation, profitability, risk, institutional ownership, analyst recommendations, earnings and dividends.

Analyst Ratings

This is a breakdown of current ratings and target prices for Beam Therapeutics and its peers, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Beam Therapeutics	1	2	9	1	2.77
Beam Therapeutics Competitors	9834	15121	45433	1587	2.54

Beam Therapeutics presently has a consensus price target of $47.36, suggesting a potential upside of 79.34%. As a group, “Biotechnology” companies have a potential upside of 102.66%. Given Beam Therapeutics’ peers higher probable upside, analysts clearly believe Beam Therapeutics has less favorable growth aspects than its peers.

Profitability

This table compares Beam Therapeutics and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Beam Therapeutics	-73.04%	-32.76%	-25.80%
Beam Therapeutics Competitors	-12,357.18%	-197.96%	-30.56%

Earnings & Valuation

This table compares Beam Therapeutics and its peers revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Beam Therapeutics	$139.74 million	-$79.99 million	-25.39
Beam Therapeutics Competitors	$719.20 million	$12.16 million	-15.01

Beam Therapeutics’ peers have higher revenue and earnings than Beam Therapeutics. Beam Therapeutics is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Institutional and Insider Ownership

99.7% of Beam Therapeutics shares are owned by institutional investors. Comparatively, 47.9% of shares of all “Biotechnology” companies are owned by institutional investors. 3.8% of Beam Therapeutics shares are owned by company insiders. Comparatively, 13.1% of shares of all “Biotechnology” companies are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Volatility & Risk

Beam Therapeutics has a beta of 2.23, suggesting that its stock price is 123% more volatile than the S&P 500. Comparatively, Beam Therapeutics’ peers have a beta of 1.15, suggesting that their average stock price is 15% more volatile than the S&P 500.

Summary

Beam Therapeutics beats its peers on 8 of the 13 factors compared.

Beam Therapeutics Company Profile

Beam Therapeutics Inc., a biotechnology company, engages in the development of precision genetic medicines for patients suffering from serious diseases in the United States. It develops BEAM-101 for the treatment of sickle cell disease or beta-thalassemia; and BEAM-302, a liver-targeting LNP formulation to treat severe alpha-1 antitrypsin deficiency; BEAM-201, an anti-CD7 CAR-T product candidate, which is in Phase 1/2 clinical trials for the treatment of refractory T-cell acute lymphoblastic leukemia/T cell lymphoblastic lymphoma; and BEAM-301, a liver-targeting LNP formulation for the treatment of glycogen storage disease 1a. The company has research collaboration agreement with Pfizer Inc., focus on in vivo base editing programs for targets rare genetic diseases of the liver, muscle, and central nervous system; Apellis Pharmaceuticals to conduct preclinical research on target specific genes within the complement system in various organs, including the eye, liver, and brain; Verve Therapeutics, Inc., for cardiovascular disease treatments; Sana Biotechnology, Inc., to research, develop, and commercialize rights to CRISPR Cas12b for cell therapy programs; and Orbital Therapeutics design RNA for the prevention, treatment or diagnosis of human disease. Beam Therapeutics Inc. was incorporated in 2017 and is based in Cambridge, Massachusetts.