Financial Review: Metagenomi (NASDAQ:MGX) & TRACON Pharmaceuticals (NASDAQ:TCON)

TRACON Pharmaceuticals (NASDAQ:TCON) and Metagenomi (NASDAQ:MGX) are both small-cap medical companies, but which is the superior stock? We will compare the two businesses based on the strength of their profitability, institutional ownership, earnings, risk, dividends, valuation and analyst recommendations.

Institutional & Insider Ownership

11.6% of TRACON Pharmaceuticals shares are held by institutional investors. 5.3% of TRACON Pharmaceuticals shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Earnings & Valuation

This table compares TRACON Pharmaceuticals and Metagenomi”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
TRACON Pharmaceuticals	$12.05 million	0.01	-$3.59 million	$3.73	0.01
Metagenomi	$44.76 million	1.55	-$68.25 million	N/A	N/A

TRACON Pharmaceuticals has higher earnings, but lower revenue than Metagenomi.

Profitability

This table compares TRACON Pharmaceuticals and Metagenomi’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
TRACON Pharmaceuticals	N/A	-237.65%	57.29%
Metagenomi	-134.27%	-43.23%	-18.86%

Analyst Recommendations

This is a summary of recent recommendations for TRACON Pharmaceuticals and Metagenomi, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TRACON Pharmaceuticals	0	1	0	0	2.00
Metagenomi	0	1	6	0	2.86

TRACON Pharmaceuticals currently has a consensus price target of $60.00, indicating a potential upside of 186,235.40%. Metagenomi has a consensus price target of $15.50, indicating a potential upside of 733.33%. Given TRACON Pharmaceuticals’ higher probable upside, equities research analysts plainly believe TRACON Pharmaceuticals is more favorable than Metagenomi.

Summary

TRACON Pharmaceuticals beats Metagenomi on 6 of the 11 factors compared between the two stocks.

About TRACON Pharmaceuticals

TRACON Pharmaceuticals, Inc., a biopharmaceutical company, focuses on the development and commercialization of novel targeted therapeutics for cancer in the United States. Its clinical stage products include envafolimab (KN035), a PD-L1 single-domain antibody for the treatment of refractory soft tissue sarcoma; and YH001, an investigational humanized cytotoxic T-lymphocyte-associated protein 4 IgG1 monoclonal antibody that is in Phase I clinical trial for the treatment of various cancer indications. The company's clinical stage products also include TRC102, a small molecule that is in Phase II clinical trial for the treatment of mesothelioma, and in Phase I clinical trial to treat solid tumors, lung cancer, and glioblastoma; and TJ004309, a CD73 antibody that is in Phase I clinical development for the treatment of solid tumors. In addition, it is developing bispecific antibodies, which are in preclinical stage. It has collaboration and license agreements with 3D Medicines Co., Ltd. and Jiangsu Alphamab Biopharmaceuticals Co., Ltd. for the development of envafolimab; I-Mab Biopharma for the development of CD73 antibody TJ004309 and bispecific antibodies; and cooperative research and development agreement with National Cancer Institute. The company was formerly known as Lexington Pharmaceuticals, Inc. and changed its name to TRACON Pharmaceuticals, Inc. in March 2005. TRACON Pharmaceuticals, Inc. was incorporated in 2004 and is headquartered in San Diego, California.

About Metagenomi

Metagenomi, Inc., a genetic medicines company, develops therapeutics for patients using metagenomics-derived genome editing toolbox in the United States. The company's genome editing toolbox includes programmable nucleases, base editors, and RNA and DNA-mediated integration systems, such as prime editing systems and clustered regularly interspaced short palindromic repeat-associated transposases. It has a strategic collaboration and license agreement with ModernaTX, Inc. focusing on new genome editing system for in vivo human therapeutic applications; a development, option, and license agreement with Affini-T Therapeutics, Inc. to develop and commercialize gene edited T-cell receptor-based therapeutic products in the field of treatment, prevention, or diagnosis of human cancer; and a collaboration and license agreement with Ionis Pharmaceuticals, Inc. to research, develop, and commercialize investigational medicines using genome editing technologies. The company was incorporated in 2016 and is based in Emeryville, California.