Korro Bio (NASDAQ:KRRO – Get Free Report) and 4D Molecular Therapeutics (NASDAQ:FDMT – Get Free Report) are both small-cap medical companies, but which is the better investment? We will contrast the two companies based on the strength of their valuation, analyst recommendations, profitability, dividends, earnings, risk and institutional ownership.
Profitability
This table compares Korro Bio and 4D Molecular Therapeutics’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Korro Bio | -1,834.48% | -115.95% | -71.32% |
| 4D Molecular Therapeutics | -164.43% | -31.75% | -28.30% |
Valuation and Earnings
This table compares Korro Bio and 4D Molecular Therapeutics”s revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Korro Bio | $6.39 million | 23.47 | -$117.26 million | ($12.47) | -0.83 |
| 4D Molecular Therapeutics | $85.21 million | 5.59 | -$140.11 million | ($2.42) | -3.86 |
Korro Bio has higher earnings, but lower revenue than 4D Molecular Therapeutics. 4D Molecular Therapeutics is trading at a lower price-to-earnings ratio than Korro Bio, indicating that it is currently the more affordable of the two stocks.
Institutional and Insider Ownership
13.2% of Korro Bio shares are owned by institutional investors. Comparatively, 99.3% of 4D Molecular Therapeutics shares are owned by institutional investors. 4.6% of Korro Bio shares are owned by company insiders. Comparatively, 9.6% of 4D Molecular Therapeutics shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.
Risk & Volatility
Korro Bio has a beta of 2.98, meaning that its stock price is 198% more volatile than the S&P 500. Comparatively, 4D Molecular Therapeutics has a beta of 2.99, meaning that its stock price is 199% more volatile than the S&P 500.
Analyst Recommendations
This is a breakdown of current ratings for Korro Bio and 4D Molecular Therapeutics, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Korro Bio | 1 | 4 | 5 | 1 | 2.55 |
| 4D Molecular Therapeutics | 1 | 1 | 7 | 0 | 2.67 |
Korro Bio presently has a consensus price target of $37.29, indicating a potential upside of 258.52%. 4D Molecular Therapeutics has a consensus price target of $32.71, indicating a potential upside of 250.64%. Given Korro Bio’s higher probable upside, equities research analysts plainly believe Korro Bio is more favorable than 4D Molecular Therapeutics.
Summary
4D Molecular Therapeutics beats Korro Bio on 10 of the 15 factors compared between the two stocks.
About Korro Bio
Korro Bio, Inc., a biopharmaceutical company, engages in the discovery, development, and commercialization of genetic medicines based on editing RNA for the treatment of rare and highly prevalent diseases primarily in the United States. Its lead product candidate is KRRO-110 which is in preclinical trials for the treatment of Alpha-1 Antitrypsin Deficiency (AATD). It uses its RNA editing platform, OPERA to generate differentiated RNA editing product candidates. The company is also developing programs for Parkinson's disease, Amyotrophic lateral sclerosis, severe alcohol-associated hepatitis, and other subsets of pain. Korro Bio, Inc. was founded in 2018 and is based in Cambridge, Massachusetts.
About 4D Molecular Therapeutics
4D Molecular Therapeutics, Inc., a clinical-stage biotherapeutics company, develops genetic medicines using its therapeutic vector evolution platform in the Netherland and the United States. The company develops a portfolio of genetic medicine product candidates focuses in three therapeutic areas for ophthalmology, cardiology, and pulmonology. Its product pipeline includes 4D-150, which is in phase 1/2 clinical trial for the treatment of wet age-related macular degeneration; and is in phase 1/2 clinical trial for the treatment of diabetic macular edema. The company develops 4D-125, which is in phase 1/2 clinical trial for the treatment of x-linked retinitis pigmentosa; 4D-110, which is in phase 1/2 clinical trial for the treatment of choroideremia; 4D-710, which is in phase 1/2 clinical trial for the treatment cystic fibrosis lung disease; and 4D-310 to treat fabry disease cardiomyopathy and is in phase 1/2 clinical trial. In addition, its product candidates comprises 4D-175, which is in pre-clinical development for the treatment for geographic trophy; and 4D-725 to treat alpha-1 antitrypsin deficiency lung disease and is in pre-clinical development. The company has collaboration and licensing agreements with Arbor Biotechnologies, Inc.; Astellas Gene Therapies, Inc; uniQure biopharma B.V.; and Cystic Fibrosis Foundation. 4D Molecular Therapeutics, Inc. was founded in 2013 and is headquartered in Emeryville, California.
Receive News & Ratings for Korro Bio Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Korro Bio and related companies with MarketBeat.com's FREE daily email newsletter.
