Comparing C4 Therapeutics (NASDAQ:CCCC) and Fennec Pharmaceuticals (NASDAQ:FENC)

C4 Therapeutics (NASDAQ:CCCC) and Fennec Pharmaceuticals (NASDAQ:FENC) are both small-cap medical companies, but which is the superior investment? We will contrast the two companies based on the strength of their valuation, earnings, analyst recommendations, dividends, risk, profitability and institutional ownership.

Profitability

This table compares C4 Therapeutics and Fennec Pharmaceuticals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
C4 Therapeutics	-313.35%	-42.45%	-27.55%
Fennec Pharmaceuticals	-2.30%	-53.38%	-2.08%

Insider & Institutional Ownership

78.8% of C4 Therapeutics shares are owned by institutional investors. Comparatively, 55.5% of Fennec Pharmaceuticals shares are owned by institutional investors. 8.6% of C4 Therapeutics shares are owned by company insiders. Comparatively, 11.0% of Fennec Pharmaceuticals shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Risk & Volatility

C4 Therapeutics has a beta of 2.95, meaning that its share price is 195% more volatile than the S&P 500. Comparatively, Fennec Pharmaceuticals has a beta of 0.34, meaning that its share price is 66% less volatile than the S&P 500.

Analyst Ratings

This is a summary of recent recommendations for C4 Therapeutics and Fennec Pharmaceuticals, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
C4 Therapeutics	0	3	3	0	2.50
Fennec Pharmaceuticals	0	0	3	1	3.25

C4 Therapeutics currently has a consensus price target of $11.60, suggesting a potential upside of 285.38%. Fennec Pharmaceuticals has a consensus price target of $13.67, suggesting a potential upside of 105.82%. Given C4 Therapeutics’ higher probable upside, equities research analysts plainly believe C4 Therapeutics is more favorable than Fennec Pharmaceuticals.

Earnings & Valuation

This table compares C4 Therapeutics and Fennec Pharmaceuticals”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
C4 Therapeutics	$20.76 million	10.23	-$132.49 million	($1.70)	-1.77
Fennec Pharmaceuticals	$21.25 million	8.61	-$16.05 million	($0.10)	-66.39

Fennec Pharmaceuticals has higher revenue and earnings than C4 Therapeutics. Fennec Pharmaceuticals is trading at a lower price-to-earnings ratio than C4 Therapeutics, indicating that it is currently the more affordable of the two stocks.

Summary

Fennec Pharmaceuticals beats C4 Therapeutics on 8 of the 14 factors compared between the two stocks.

About C4 Therapeutics

C4 Therapeutics, Inc., a clinical-stage biopharmaceutical company, develops novel therapeutic candidates to degrade disease-causing proteins for the treatment of cancer, neurodegenerative conditions, and other diseases. Its lead product candidate is CFT7455, an orally bioavailable MonoDAC degrader of protein that is in Phase 1/2 trial targeting IKZF1 and IKZF3 for multiple myeloma and non-Hodgkin lymphomas, including peripheral T-cell lymphoma and mantle cell lymphoma, currently under Phase 1/2 clinical trials. The company is also developing CFT1946, an orally bioavailable BiDAC degrader targeting V600X mutant BRAF to treat melanoma, non-small cell lung cancer (NSCLC), colorectal cancer, and other solid malignancies, currently under Phase 1/2 clinical trials; and CFT8919, an orally bioavailable, allosteric, and mutant-selective BiDAC degrader of epidermal growth factor receptor, or EGFR, with an L858R mutation in NSCLC. It has strategic collaborations with F. Hoffmann-La Roche Ltd and Hoffmann-La Roche Inc.; Biogen MA, Inc.; Betta Pharmaceuticals, Co., Ltd.; and Merck Sharp & Dohme, LLC, as well as Calico Life Sciences LLC. The company was incorporated in 2015 and is headquartered in Watertown, Massachusetts.

About Fennec Pharmaceuticals

Fennec Pharmaceuticals Inc., a biopharmaceutical company, develops product candidates for use in the treatment of cancer in the United States. Its lead product candidate is the Sodium Thiosulfate, which has completed the Phase III clinical trial for the prevention of cisplatin induced hearing loss or ototoxicity in children. The company was formerly known as Adherex Technologies Inc. and changed its name to Fennec Pharmaceuticals Inc. in September 2014. Fennec Pharmaceuticals Inc. was founded in 1996 and is based in Research Triangle Park, North Carolina.