Head to Head Contrast: SpringWorks Therapeutics (NASDAQ:SWTX) & enGene (NASDAQ:ENGN)

SpringWorks Therapeutics (NASDAQ:SWTX) and enGene (NASDAQ:ENGN) are both medical companies, but which is the better investment? We will compare the two businesses based on the strength of their profitability, valuation, institutional ownership, risk, dividends, earnings and analyst recommendations.

Risk and Volatility

SpringWorks Therapeutics has a beta of 0.82, suggesting that its share price is 18% less volatile than the S&P 500. Comparatively, enGene has a beta of -0.65, suggesting that its share price is 165% less volatile than the S&P 500.

Profitability

This table compares SpringWorks Therapeutics and enGene’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SpringWorks Therapeutics	-203.09%	-48.21%	-42.19%
enGene	N/A	-66.38%	-56.00%

Insider and Institutional Ownership

64.2% of enGene shares are held by institutional investors. 7.6% of SpringWorks Therapeutics shares are held by insiders. Comparatively, 13.7% of enGene 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.

Valuation and Earnings

This table compares SpringWorks Therapeutics and enGene”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SpringWorks Therapeutics	$135.49 million	17.84	-$325.10 million	($3.88)	-8.38
enGene	N/A	N/A	-$99.92 million	($0.58)	-13.07

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

Analyst Ratings

This is a summary of current ratings and recommmendations for SpringWorks Therapeutics and enGene, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SpringWorks Therapeutics	0	0	6	0	3.00
enGene	0	0	10	1	3.09

SpringWorks Therapeutics presently has a consensus price target of $70.00, indicating a potential upside of 115.38%. enGene has a consensus price target of $29.78, indicating a potential upside of 292.85%. Given enGene’s stronger consensus rating and higher possible upside, analysts clearly believe enGene is more favorable than SpringWorks Therapeutics.

Summary

enGene beats SpringWorks Therapeutics on 9 of the 14 factors compared between the two stocks.

About SpringWorks Therapeutics

SpringWorks Therapeutics, Inc., a commercial-stage biopharmaceutical company, engages in the development and commercialization of medicines for underserved patient populations suffering from rare diseases and cancer. Its lead product candidate is OGSIVEO (nirogacestat), an oral small molecule gamma secretase inhibitor that is in Phase III DeFi trial for the treatment of desmoid tumors; and Nirogacestat, is also in Phase 2 clinical development as a monotherapy for the treatment of ovarian granulosa cell tumors (GCT), a subtype of ovarian cancer. The company is also involved in the development of mirdametinib, an oral small molecule MEK inhibitor that is in Phase 2b clinical trials for the treatment of neurofibromatosis type 1-associated plexiform neurofibromas (NF1-PN); mirdametinib + lifirafenib, a combination therapy that is in Phase 1b clinical trial in patients with advanced or refractory solid tumors; and mirdametinib in monotherapy and combination approaches to treat other genetically defined solid tumors, including Phase 1/2 clinical trial for the treatment of pediatric and young adult patients with low-grade gliomas. In addition, it develops Brimarafenib (BGB-3245), an oral selective small molecule inhibitor of monomeric and dimeric forms of activating BRAF mutations. The company has collaborations with BeiGene, Ltd. and GlaxoSmithKline LLC; and license agreements with Pfizer Inc. for nirogacestat and mirdametinib. It also has a license agreement with Katholieke Universiteit Leuven and the Flanders Institute for Biotechnology for a portfolio of novel small molecule inhibitors of the TEA Domain; and Dana-Farber Cancer Institute for a portfolio of novel small molecule inhibitors of Epidermal Growth Factor Receptor. The company was founded in 2017 and is headquartered in Stamford, Connecticut.

About enGene

enGene Holdings Inc., through its subsidiary enGene, Inc., operates as a clinical-stage biotechnology company that develops genetic medicines through the delivery of therapeutics to mucosal tissues and other organs. Its lead product candidate is EG-70 (detalimogene voraplasmid), which is a non-viral immunotherapy to treat non-muscle invasive bladder cancer patients with carcinoma-in-situ (Cis), who are unresponsive to treatment with Bacillus Calmette-Guérin. The company was founded in 2023 and is based in Saint-Laurent, Canada.