Comparing Krystal Biotech (NASDAQ:KRYS) and Revolution Medicines (NASDAQ:RVMD)
by Amy Steele · The Cerbat GemKrystal Biotech (NASDAQ:KRYS – Get Free Report) and Revolution Medicines (NASDAQ:RVMD – Get Free Report) are both healthcare companies, but which is the better stock? We will compare the two companies based on the strength of their earnings, risk, institutional ownership, profitability, dividends, analyst recommendations and valuation.
Profitability
This table compares Krystal Biotech and Revolution Medicines’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Krystal Biotech | 47.91% | 17.02% | 15.48% |
| Revolution Medicines | N/A | -84.51% | -51.97% |
Analyst Recommendations
This is a breakdown of current ratings and recommmendations for Krystal Biotech and Revolution Medicines, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Krystal Biotech | 1 | 1 | 10 | 2 | 2.93 |
| Revolution Medicines | 1 | 1 | 21 | 1 | 2.92 |
Krystal Biotech currently has a consensus price target of $375.00, suggesting a potential upside of 24.63%. Revolution Medicines has a consensus price target of $263.15, suggesting a potential upside of 36.86%. Given Revolution Medicines’ higher probable upside, analysts plainly believe Revolution Medicines is more favorable than Krystal Biotech.
Risk & Volatility
Krystal Biotech has a beta of 0.56, meaning that its share price is 44% less volatile than the S&P 500. Comparatively, Revolution Medicines has a beta of 1.44, meaning that its share price is 44% more volatile than the S&P 500.
Institutional and Insider Ownership
86.3% of Krystal Biotech shares are held by institutional investors. Comparatively, 94.3% of Revolution Medicines shares are held by institutional investors. 13.1% of Krystal Biotech shares are held by company insiders. Comparatively, 7.6% of Revolution Medicines shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.
Valuation & Earnings
This table compares Krystal Biotech and Revolution Medicines”s top-line revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Krystal Biotech | $389.13 million | 22.91 | $204.83 million | $7.37 | 40.82 |
| Revolution Medicines | $11.58 million | 3,591.39 | -$1.13 billion | ($9.11) | -21.11 |
Krystal Biotech has higher revenue and earnings than Revolution Medicines. Revolution Medicines is trading at a lower price-to-earnings ratio than Krystal Biotech, indicating that it is currently the more affordable of the two stocks.
Summary
Krystal Biotech beats Revolution Medicines on 9 of the 14 factors compared between the two stocks.
About Krystal Biotech
Krystal Biotech, Inc., a commercial-stage biotechnology company, discovers, develops, and commercializes genetic medicines for patients with rare diseases in the United States. It commercializes VYJUVEK (beremagene geperpavec-svdt, or B-VEC) for the treatment of dystrophic epidermolysis bullosa (DEB). The company also develops KB105, which is in Phase 1/2 clinical trials for treating patients with deficient autosomal recessive congenital ichthyosis; KB104 for treating netherton syndrome; KB407 that is in Phase 1 clinical trials for treating cystic fibrosis; KB707 that is in Phase 1 clinical trials for the treatment of anti-PD-1 relapsed/refractory; KB408, which is in Phase 1 clinical trials for treating Alpha-1 antitrypsin deficiency; and KB301 that is in Phase 2 clinical trials for treating aesthetic skin conditions, as well as in open label study with ophthalmic B-VEC for treating for ocular complications of deb. Krystal Biotech, Inc. was founded in 2016 and is headquartered in Pittsburgh, Pennsylvania.
About Revolution Medicines
Revolution Medicines, Inc., a clinical-stage precision oncology company, develops novel targeted therapies for RAS-addicted cancers. The company’s research and development pipeline comprises RAS(ON) inhibitors designed to be used as monotherapy in combination with other RAS(ON) inhibitors and/or in combination with RAS companion inhibitors or other therapeutic agents, and RAS companion inhibitors for combination treatment strategies. Its RAS(ON) inhibitors include RMC-6236 (multi), RMC-6291 (G12C), and RMC-9805 (G12D), which are in phase 1 clinical trial; and development candidates comprise RMC-5127 (G12V), RMC-0708 (Q61H), and RMC-8839 (G13C), as well as programs focused on G12R and other targets. The company’s RAS companion inhibitors include RMC-4630 that is in phase 2 clinical trial; and RMC-5552, which is in phase 1 clinical trial. Revolution Medicines, Inc. was incorporated in 2014 and is headquartered in Redwood City, California.