Contrasting Passage Bio (NASDAQ:PASG) and Agenus (NASDAQ:AGEN)

Agenus (NASDAQ:AGEN) and Passage Bio (NASDAQ:PASG) are both small-cap medical companies, but which is the superior investment? We will contrast the two businesses based on the strength of their institutional ownership, risk, dividends, analyst recommendations, profitability, earnings and valuation.

Risk & Volatility

Agenus has a beta of 1.58, meaning that its stock price is 58% more volatile than the S&P 500. Comparatively, Passage Bio has a beta of 1.59, meaning that its stock price is 59% more volatile than the S&P 500.

Institutional & Insider Ownership

61.5% of Agenus shares are held by institutional investors. Comparatively, 53.5% of Passage Bio shares are held by institutional investors. 4.6% of Agenus shares are held by company insiders. Comparatively, 4.3% of Passage Bio shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares Agenus and Passage Bio’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Agenus	-145.89%	N/A	-85.68%
Passage Bio	N/A	-72.53%	-52.10%

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Agenus and Passage Bio, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Agenus	0	5	1	0	2.17
Passage Bio	0	0	4	0	3.00

Agenus currently has a consensus target price of $8.75, suggesting a potential upside of 414.71%. Passage Bio has a consensus target price of $7.50, suggesting a potential upside of 2,200.61%. Given Passage Bio’s stronger consensus rating and higher possible upside, analysts plainly believe Passage Bio is more favorable than Agenus.

Valuation and Earnings

This table compares Agenus and Passage Bio”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Agenus	$103.46 million	0.42	-$245.76 million	($10.68)	-0.16
Passage Bio	N/A	N/A	-$102.06 million	($1.07)	-0.30

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

Summary

Passage Bio beats Agenus on 8 of the 13 factors compared between the two stocks.

About Agenus

Agenus Inc., a clinical-stage biotechnology company, discovers and develops immuno-oncology products in the United States and internationally. The company offers Retrocyte Display, an antibody expression platform for the identification of fully human and humanized monoclonal antibodies; and display technologies. It develops QS-21 Stimulon adjuvant, a saponin-based vaccine adjuvant. The company also develops Balstilimab, an anti-PD-1 antagonist that has completed Phase II clinical trial to treat second line cervical cancer; AGEN1181, an antigen 4 (CTLA-4) blocking antibody that is in Phase 2 clinical trial for the treatment of pancreatic cancer and and melanoma; AGEN2373, a CD137 monospecific antibody that is in Phase 1b clinical trial; AGEN1423, a CD73/TGFß TRAP antibody; AGEN1571, an ILT2 monospecific antibody that is in Phase 1 clinical trial; and BMS-986442, a TIGIT bispecific antibodies. In addition, it develops INCAGN1876, a GITR agonist; INCAGN2390, a TIM-3 monospecific antibody; INCAGN2385, a LAG-3 monospecific antibody; MK-4830, a monospecific antibody targeting ILT4 that is in Phase 2 clinical trial; UGN-301, a zalifrelimab intravesical solution for the treatment of cancers of the urinary tract that is in a Phase 1 clinical trial; and AGEN1884, a first-generation anti-CTLA-4 monospecific antibody. The company operates under Agenus, MiNK, Prophage, Retrocyte Display, and Stimulon trademarks. It has collaborations with Bristol-Myers Squibb Company, Betta Pharmaceuticals Co., Ltd., Incyte Corporation, Merck Sharpe & Dohme, and Gilead Sciences, Inc. The company was formerly known as Antigenics Inc. and changed its name to Agenus Inc. in January 2011. Agenus Inc. was founded in 1994 and is headquartered in Lexington, Massachusetts.

About Passage Bio

Passage Bio, Inc., a genetic medicines company, develops gene therapies for central nervous system diseases. It develops PBGM01, a functional GLB1 gene encoding ß-galactosidase for infantile GM1; PBFT02, a functional granulin (GRN) and gene encoding progranulin (PGRN) for the treatment of FTD caused by progranulin deficiency; and PBKR03, a functional GALC gene encoding the hydrolytic enzyme galactosylceramidase for infantile Krabbe disease. The company develops PBML04 for the treatment of metachromatic leukodystrophy; PBAL05 for the treatment of amyotrophic lateral sclerosis; and other program for huntington's disease. It has a strategic research collaboration with the Trustees of the University of Pennsylvania's Gene Therapy Program; and collaboration agreement, and a development services and clinical supply agreement with Catalent Maryland, Inc. Passage Bio, Inc. was incorporated in 2017 and is headquartered in Philadelphia, Pennsylvania.