Acumen Pharmaceuticals (NASDAQ:ABOS) vs. Ginkgo Bioworks (NYSE:DNA) Financial Contrast

Ginkgo Bioworks (NYSE:DNA) and Acumen Pharmaceuticals (NASDAQ:ABOS) are both small-cap medical companies, but which is the superior investment? We will contrast the two businesses based on the strength of their dividends, risk, earnings, institutional ownership, profitability, valuation and analyst recommendations.

Volatility & Risk

Ginkgo Bioworks has a beta of 1.09, meaning that its share price is 9% more volatile than the S&P 500. Comparatively, Acumen Pharmaceuticals has a beta of 0.04, meaning that its share price is 96% less volatile than the S&P 500.

Profitability

This table compares Ginkgo Bioworks and Acumen Pharmaceuticals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Ginkgo Bioworks	-298.78%	-58.54%	-34.24%
Acumen Pharmaceuticals	N/A	-32.99%	-27.99%

Institutional & Insider Ownership

78.6% of Ginkgo Bioworks shares are owned by institutional investors. Comparatively, 71.0% of Acumen Pharmaceuticals shares are owned by institutional investors. 9.7% of Ginkgo Bioworks shares are owned by insiders. Comparatively, 7.1% of Acumen Pharmaceuticals shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Valuation & Earnings

This table compares Ginkgo Bioworks and Acumen Pharmaceuticals”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Ginkgo Bioworks	$251.46 million	1.41	-$892.87 million	($13.08)	-0.49
Acumen Pharmaceuticals	N/A	N/A	-$52.37 million	($1.38)	-1.74

Acumen Pharmaceuticals has lower revenue, but higher earnings than Ginkgo Bioworks. Acumen Pharmaceuticals is trading at a lower price-to-earnings ratio than Ginkgo Bioworks, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of recent ratings and recommmendations for Ginkgo Bioworks and Acumen Pharmaceuticals, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ginkgo Bioworks	3	1	1	0	1.60
Acumen Pharmaceuticals	0	0	3	1	3.25

Ginkgo Bioworks currently has a consensus price target of $4.58, indicating a potential downside of 28.18%. Acumen Pharmaceuticals has a consensus price target of $9.00, indicating a potential upside of 275.00%. Given Acumen Pharmaceuticals’ stronger consensus rating and higher probable upside, analysts clearly believe Acumen Pharmaceuticals is more favorable than Ginkgo Bioworks.

Summary

Acumen Pharmaceuticals beats Ginkgo Bioworks on 9 of the 14 factors compared between the two stocks.

About Ginkgo Bioworks

Ginkgo Bioworks Holdings, Inc., together with its subsidiaries, develops platform for cell programming in the United States. Its platform is used to program cells to enable biological production of products, such as novel therapeutics, food ingredients, and chemicals derived from petroleum. It serves pharma and biotech, agriculture, industrial and environment, food and nutrition, consumer and technology, and government and defense industries. Ginkgo Bioworks Holdings, Inc. was founded in 2008 and is headquartered in Boston, Massachusetts.

About Acumen Pharmaceuticals

Acumen Pharmaceuticals, Inc., a clinical-stage biopharmaceutical company, develops targeted therapies for the treatment of Alzheimer’s disease. The company focuses on advancing a targeted immunotherapy drug candidate sabirnetug (ACU193), a recombinant humanized immunoglobulin gamma 2 that completed Phase I clinical trial to target soluble amyloid-beta oligomers. The company has a license agreement with Lonza Sales AG to manufacture and commercialize sabirnetug; and a collaboration and license agreement with Halozyme, Inc. for the development of a subcutaneous formulation of sabirnetug. Acumen Pharmaceuticals, Inc. was incorporated in 1996 and is headquartered in Charlottesville, Virginia.