Head-To-Head Analysis: Psyence Biomedical (NASDAQ:PBM) & Harmony Biosciences (NASDAQ:HRMY)

Harmony Biosciences (NASDAQ:HRMY) and Psyence Biomedical (NASDAQ:PBM) are both medical companies, but which is the better stock? We will contrast the two businesses based on the strength of their dividends, profitability, risk, analyst recommendations, valuation, earnings and institutional ownership.

Volatility and Risk

Harmony Biosciences has a beta of 0.77, meaning that its share price is 23% less volatile than the S&P 500. Comparatively, Psyence Biomedical has a beta of -0.43, meaning that its share price is 143% less volatile than the S&P 500.

Valuation and Earnings

This table compares Harmony Biosciences and Psyence Biomedical”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Harmony Biosciences	$582.02 million	3.52	$128.85 million	$2.11	17.02
Psyence Biomedical	N/A	N/A	-$51.16 million	N/A	N/A

Harmony Biosciences has higher revenue and earnings than Psyence Biomedical.

Profitability

This table compares Harmony Biosciences and Psyence Biomedical’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Harmony Biosciences	17.98%	23.16%	14.24%
Psyence Biomedical	N/A	N/A	N/A

Institutional and Insider Ownership

86.2% of Harmony Biosciences shares are held by institutional investors. Comparatively, 77.4% of Psyence Biomedical shares are held by institutional investors. 30.8% of Harmony Biosciences shares are held by company insiders. Comparatively, 3.6% of Psyence Biomedical shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Analyst Ratings

This is a breakdown of current ratings for Harmony Biosciences and Psyence Biomedical, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Harmony Biosciences	2	0	7	0	2.56
Psyence Biomedical	0	0	0	0	0.00

Harmony Biosciences currently has a consensus price target of $47.00, suggesting a potential upside of 30.88%. Given Harmony Biosciences’ stronger consensus rating and higher probable upside, analysts plainly believe Harmony Biosciences is more favorable than Psyence Biomedical.

Summary

Harmony Biosciences beats Psyence Biomedical on 11 of the 11 factors compared between the two stocks.

About Harmony Biosciences

Harmony Biosciences Holdings, Inc., a commercial-stage pharmaceutical company, focuses on developing and commercializing therapies for patients with rare and other neurological diseases in the United States. The company offers WAKIX (pitolisant), a molecule with a novel mechanism of action for the treatment of excessive daytime sleepiness in adult patients with narcolepsy. It also offers HBS-102, a melanin-concentrating hormone receptor 1 for MCH neurons. The company was formerly known as Harmony Biosciences II, Inc. and changed its name to Harmony Biosciences Holdings, Inc. in February 2020. Harmony Biosciences Holdings, Inc. was incorporated in 2017 and is headquartered in Plymouth Meeting, Pennsylvania.

About Psyence Biomedical

Psyence Biomedical Ltd. engages in the development of botanical psilocybin-based psychedelic medicines. It also evaluates natural psilocybin for the treatment of adjustment disorder in patients with an incurable cancer diagnosis in a palliative care context. The company’s lead product candidate is PEX010, which is in Phase IIb clinical study, a capsule containing naturally sourced psilocybin for treatment of anxiety and depression, including associated ailments, such as post-traumatic stress disorder, stress, grief, and adjustment disorder in the context of palliative care. It has a partnership with iNGENu Pty Ltd to conduct a Phase IIb clinical trial of PEX010 in psilocybin-assisted psychotherapy for the treatment of AjD due to incurable cancer. The company is based in Toronto, Canada. Psyence Biomedical Ltd. operates as a subsidiary of Psyence Group Inc.