Zenas BioPharma (NASDAQ:ZBIO) and Twist Bioscience (NASDAQ:TWST) Financial Survey

Twist Bioscience (NASDAQ:TWST) and Zenas BioPharma (NASDAQ:ZBIO) are both medical companies, but which is the superior investment? We will compare the two businesses based on the strength of their dividends, risk, analyst recommendations, earnings, valuation, profitability and institutional ownership.

Profitability

This table compares Twist Bioscience and Zenas BioPharma’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Twist Bioscience	-19.56%	-27.16%	-19.92%
Zenas BioPharma	N/A	-156.98%	-113.39%

Volatility & Risk

Twist Bioscience has a beta of 2.23, indicating that its stock price is 123% more volatile than the S&P 500. Comparatively, Zenas BioPharma has a beta of -1.94, indicating that its stock price is 294% less volatile than the S&P 500.

Earnings and Valuation

This table compares Twist Bioscience and Zenas BioPharma”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Twist Bioscience	$376.57 million	7.92	-$77.67 million	($1.28)	-38.00
Zenas BioPharma	$10.00 million	127.30	-$377.74 million	($7.81)	-2.84

Twist Bioscience has higher revenue and earnings than Zenas BioPharma. Twist Bioscience is trading at a lower price-to-earnings ratio than Zenas BioPharma, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of current ratings and recommmendations for Twist Bioscience and Zenas BioPharma, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Twist Bioscience	2	0	7	0	2.56
Zenas BioPharma	2	1	6	0	2.44

Twist Bioscience currently has a consensus target price of $45.88, suggesting a potential downside of 5.68%. Zenas BioPharma has a consensus target price of $44.14, suggesting a potential upside of 98.93%. Given Zenas BioPharma’s higher possible upside, analysts clearly believe Zenas BioPharma is more favorable than Twist Bioscience.

Summary

Twist Bioscience beats Zenas BioPharma on 8 of the 11 factors compared between the two stocks.

About Twist Bioscience

Twist Bioscience Corporation engages in the manufacture and sale of synthetic DNA-based products. The company offers synthetic genes and gene fragments used in product development for therapeutics, diagnostics, chemicals/materials, food/agriculture, data storage, and various applications within academic research by biotech, pharma, industrial chemical, and agricultural companies, as well as academic labs; Oligo pools used in targeted NGS, CRISPR gene editing, mutagenesis experiments, DNA origami, DNA computing, data storage in DNA, and other applications; and immunoglobulin G proteins for customers focused on the pursuit of drug discovery and development. It also provides NGS tools comprising library preparation kits, human exome kits, and fixed and custom panels, as well as alliance panels, primarily used within diagnostic tests for various indications, population genetics research and biomarker discovery, translational research, microbiology, and applied markets research; and methylation detection kits for cancer, and rare and inherited disease study, as well as fast hybridization and full RNA sequencing workflow solution. In addition, the company provides synthetic SARS-CoV-2 RNA reference sequences as positive controls for the development of both NGS and reverse transcription-polymerase chain reaction assays; synthetic monkeypox controls; and various respiratory viral controls, including for influenzas, respiratory syncytial virus, rhinoviruses, SARS, MERS, and coronaviruses. Further, it offers SARS-CoV-2 Research Panels, such as the Twist Respiratory Virus Panel and the Pan-Viral Research Panel, for the detection of disease in a research setting; precision DNA libraries used for antibody engineering, affinity maturation, and humanization; and antibody optimization solution to enable simultaneous optimization of multiple characteristics of a given antibody. The company was incorporated in 2013 and is headquartered in South San Francisco, California.

About Zenas BioPharma

Zenas BioPharma, Inc. is a clinical-stage global biopharmaceutical company, which engages in the development and commercialization of transformative immunology-based therapies for patients. The company was founded by Lonnie O. Moulder Jr on November 12, 2019 and is headquartered in Waltham, MA.