Head to Head Comparison: Arcus Biosciences (NYSE:RCUS) versus Anika Therapeutics (NASDAQ:ANIK)

Anika Therapeutics (NASDAQ:ANIK) and Arcus Biosciences (NYSE:RCUS) are both healthcare companies, but which is the better stock? We will contrast the two companies based on the strength of their analyst recommendations, institutional ownership, valuation, profitability, risk, earnings and dividends.

Valuation and Earnings

This table compares Anika Therapeutics and Arcus Biosciences”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Anika Therapeutics	$112.82 million	1.66	-$10.88 million	($0.13)	-107.31
Arcus Biosciences	$247.00 million	10.97	-$353.00 million	($3.63)	-5.18

Anika Therapeutics has higher earnings, but lower revenue than Arcus Biosciences. Anika Therapeutics is trading at a lower price-to-earnings ratio than Arcus Biosciences, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Anika Therapeutics and Arcus Biosciences, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Anika Therapeutics	1	1	2	0	2.25
Arcus Biosciences	1	3	12	0	2.69

Anika Therapeutics currently has a consensus price target of $22.00, suggesting a potential upside of 57.71%. Arcus Biosciences has a consensus price target of $39.36, suggesting a potential upside of 109.19%. Given Arcus Biosciences’ stronger consensus rating and higher possible upside, analysts clearly believe Arcus Biosciences is more favorable than Anika Therapeutics.

Institutional & Insider Ownership

91.5% of Anika Therapeutics shares are held by institutional investors. Comparatively, 92.9% of Arcus Biosciences shares are held by institutional investors. 12.1% of Anika Therapeutics shares are held by insiders. Comparatively, 7.6% of Arcus Biosciences 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.

Profitability

This table compares Anika Therapeutics and Arcus Biosciences’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Anika Therapeutics	-1.43%	1.87%	1.39%
Arcus Biosciences	-453.00%	-91.65%	-46.72%

Volatility and Risk

Anika Therapeutics has a beta of 0.21, indicating that its share price is 79% less volatile than the S&P 500. Comparatively, Arcus Biosciences has a beta of 1.04, indicating that its share price is 4% more volatile than the S&P 500.

Summary

Arcus Biosciences beats Anika Therapeutics on 8 of the 14 factors compared between the two stocks.

About Anika Therapeutics

Anika Therapeutics is a medical technology company focused on orthopedic care and regenerative medicine. Founded in 1992 and headquartered in Bedford, Massachusetts, the company develops products using hyaluronic acid, a substance found naturally in the body and used in treatments for joint and tissue conditions. Its products include Orthovisc and Monovisc, injectable hyaluronic acid treatments for knee osteoarthritis. Anika also offers orthopedic products for areas such as sports medicine, joint preservation, and bone repair, including its Tactoset bone-void filler.

About Arcus Biosciences

Arcus Biosciences is a clinical-stage biopharmaceutical company focused on developing medicines for cancer. Founded in 2015 and headquartered in Hayward, California, the company researches therapies that target immune pathways and other processes involved in tumor growth. Its pipeline consists of investigational medicines, including antibody and small-molecule candidates designed to be used alone or in combination. Arcus’s research has focused on areas such as checkpoint inhibition and the adenosine pathway; its candidates are under clinical development and are not established treatments.