Critical Analysis: Neumora Therapeutics (NMRA) and The Competition

Neumora Therapeutics (NASDAQ:NMRA) is one of 287 public companies in the “Biological products, except diagnostic” industry, but how does it weigh in compared to its rivals? We will compare Neumora Therapeutics to related companies based on the strength of its profitability, valuation, earnings, analyst recommendations, dividends, risk and institutional ownership.

Earnings & Valuation

This table compares Neumora Therapeutics and its rivals revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Neumora Therapeutics	N/A	-$235.93 million	-4.77
Neumora Therapeutics Competitors	$559.66 million	-$34.37 million	-44.64

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

Profitability

This table compares Neumora Therapeutics and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Neumora Therapeutics	N/A	-61.35%	-57.85%
Neumora Therapeutics Competitors	-5,120.47%	-172.70%	-43.51%

Institutional & Insider Ownership

47.7% of Neumora Therapeutics shares are held by institutional investors. Comparatively, 49.9% of shares of all “Biological products, except diagnostic” companies are held by institutional investors. 26.4% of Neumora Therapeutics shares are held by insiders. Comparatively, 16.0% of shares of all “Biological products, except diagnostic” companies are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Analyst Ratings

This is a breakdown of current ratings for Neumora Therapeutics and its rivals, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Neumora Therapeutics	0	1	6	0	2.86
Neumora Therapeutics Competitors	1609	4813	12531	245	2.59

Neumora Therapeutics currently has a consensus target price of $22.83, indicating a potential upside of 87.01%. As a group, “Biological products, except diagnostic” companies have a potential upside of 62.54%. Given Neumora Therapeutics’ stronger consensus rating and higher probable upside, equities analysts plainly believe Neumora Therapeutics is more favorable than its rivals.

Summary

Neumora Therapeutics beats its rivals on 7 of the 12 factors compared.

Neumora Therapeutics Company Profile

Neumora Therapeutics, Inc., a clinical-stage biopharmaceutical company, engages in developing therapeutic treatments for brain diseases, neuropsychiatric disorders, and neurodegenerative diseases. The company develops navacaprant (NMRA-140), a novel once-daily oral kappa opioid receptor antagonist, which is in phase 3 clinical trials for the treatment of major depressive disorder. It also develops NMRA-511 that is in phase 1 clinical trials in patients with agitation associated with dementia due to Alzheimer’s disease; and NMRA-266, which is in the phase 1 clinical trial for the treatment of schizophrenia and other neuropsychiatric disorders. In addition, its preclinical phase product includes NMRA-NMDA for the treatment of schizophrenia; NMRA-CK1d, a CK1d inhibitor program for the treatment of amyotrophic lateral sclerosis; NMRA-NLRP3 for the treatment of certain neurodegenerative conditions; and NMRA-GCase for the treatment of Parkinson’s disease. The company was formerly known as RBNC Therapeutics, Inc. and changed its name to Neumora Therapeutics, Inc. in October 2021. Neumora Therapeutics, Inc. was incorporated in 2019 and is headquartered in Watertown, Massachusetts.