Financial Analysis: Celldex Therapeutics (NASDAQ:CLDX) and Oruka Therapeutics (NASDAQ:ORKA)

Celldex Therapeutics (NASDAQ:CLDX) and Oruka Therapeutics (NASDAQ:ORKA) are both small-cap medical companies, but which is the superior investment? We will compare the two companies based on the strength of their earnings, profitability, dividends, analyst recommendations, valuation, institutional ownership and risk.

Institutional & Insider Ownership

56.4% of Oruka Therapeutics shares are owned by institutional investors. 3.8% of Celldex Therapeutics shares are owned by company insiders. Comparatively, 22.7% of Oruka Therapeutics shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Profitability

This table compares Celldex Therapeutics and Oruka Therapeutics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Celldex Therapeutics	-1,544.32%	-19.75%	-18.86%
Oruka Therapeutics	N/A	-24.96%	-21.22%

Volatility & Risk

Celldex Therapeutics has a beta of 1.76, meaning that its share price is 76% more volatile than the S&P 500. Comparatively, Oruka Therapeutics has a beta of 0.67, meaning that its share price is 33% less volatile than the S&P 500.

Analyst Ratings

This is a summary of recent ratings and price targets for Celldex Therapeutics and Oruka Therapeutics, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Celldex Therapeutics	0	2	5	1	2.88
Oruka Therapeutics	0	0	7	2	3.22

Celldex Therapeutics currently has a consensus target price of $55.38, suggesting a potential upside of 161.57%. Oruka Therapeutics has a consensus target price of $39.86, suggesting a potential upside of 245.08%. Given Oruka Therapeutics’ stronger consensus rating and higher possible upside, analysts clearly believe Oruka Therapeutics is more favorable than Celldex Therapeutics.

Earnings & Valuation

This table compares Celldex Therapeutics and Oruka Therapeutics”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Celldex Therapeutics	$7.02 million	200.19	-$141.43 million	($2.45)	-8.64
Oruka Therapeutics	N/A	N/A	-$5.34 million	($5.79)	-1.99

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

Summary

Oruka Therapeutics beats Celldex Therapeutics on 9 of the 14 factors compared between the two stocks.

About Celldex Therapeutics

Celldex Therapeutics, Inc., a biopharmaceutical company, engages in developing therapeutic monoclonal and bispecific antibodies for the treatment of various diseases. Its drug candidates include antibody-based therapeutics to treat patients with inflammatory, allergic, autoimmune, and other devastating diseases. The company’s clinical development programs CDX-0159, a Phase II monoclonal antibody that binds the receptor tyrosine kinase KIT and inhibits its activity. It has research collaboration and license agreements with Yale University. The company was incorporated in 1983 and is headquartered in Hampton, New Jersey.

About Oruka Therapeutics

Oruka Therapeutics, Inc. is a biotechnology company, which focuses on developing novel monoclonal antibody therapeutics for PsO and other I&I indications. Its pipeline includes ORKA-001 and ORKA-002. The company is headquartered in Menlo Park, CA.