Contrasting Immatics (NASDAQ:IMTX) and Werewolf Therapeutics (NASDAQ:HOWL)

Immatics (NASDAQ:IMTX) and Werewolf Therapeutics (NASDAQ:HOWL) are both small-cap healthcare companies, but which is the better stock? We will contrast the two companies based on the strength of their analyst recommendations, institutional ownership, valuation, profitability, risk, earnings and dividends.

Institutional & Insider Ownership

64.4% of Immatics shares are held by institutional investors. Comparatively, 64.8% of Werewolf Therapeutics shares are held by institutional investors. 3.3% of Immatics shares are held by insiders. Comparatively, 23.6% of Werewolf Therapeutics shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Volatility and Risk

Immatics has a beta of 1.33, indicating that its share price is 33% more volatile than the S&P 500. Comparatively, Werewolf Therapeutics has a beta of 0.51, indicating that its share price is 49% less volatile than the S&P 500.

Profitability

This table compares Immatics and Werewolf Therapeutics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Immatics	-495.71%	-47.41%	-39.45%
Werewolf Therapeutics	N/A	-166.99%	-59.88%

Valuation & Earnings

This table compares Immatics and Werewolf Therapeutics”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Immatics	$54.60 million	23.93	-$222.26 million	($1.86)	-5.14
Werewolf Therapeutics	$1.88 million	24.98	-$60.82 million	($0.76)	-1.27

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

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Immatics and Werewolf Therapeutics, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Immatics	1	1	6	0	2.62
Werewolf Therapeutics	1	4	2	0	2.14

Immatics currently has a consensus price target of $20.60, suggesting a potential upside of 115.48%. Werewolf Therapeutics has a consensus price target of $4.00, suggesting a potential upside of 313.95%. Given Werewolf Therapeutics’ higher possible upside, analysts clearly believe Werewolf Therapeutics is more favorable than Immatics.

Summary

Werewolf Therapeutics beats Immatics on 8 of the 14 factors compared between the two stocks.

About Immatics

Immatics N.V., a clinical-stage biopharmaceutical company, focuses on the research and development of potential T cell redirecting immunotherapies for the treatment of cancer in the United States. The company is developing targeted immunotherapies with a focus on treating solid tumors through two distinct treatment modalities, such as TCR-engineered autologous or allogeneic adoptive cell therapies (ACT) and antibody-like TCR Bispecifics. Its products pipeline includes IMA203 that targets solid tumors, which is in Phase 1b clinical trial; IMA203CD8, a cell therapy product that is in Phase 1b clinical trial; IMA204 that targets tumor stroma, which is in preclinical stage; and IMA30x, an allogenic cellular therapy product candidate, which is in preclinical stage. The company also develops TCR Bispecifics products, including IMA401 and IMA402, which is in Phase 1a clinical trial. The company has a strategic collaboration agreement with MD Anderson Cancer Center to develop multiple T cell and TCR-based adoptive cellular therapies; Celgene Corporation to develop novel adoptive cell therapies targeting multiple cancers; and Genmab A/S to develop T cell engaging bispecific immunotherapies targeting multiple cancer indications. Immatics N.V. is headquartered in Tübingen, Germany.

About Werewolf Therapeutics

Werewolf Therapeutics, Inc., a biopharmaceutical company, develops therapeutics engineered to stimulate the body's immune system for the treatment of cancer. The company, through its proprietary PREDATOR platform, designs conditionally activated molecules that stimulate adaptive and innate immunity for addressing the limitations of conventional proinflammatory immune therapies. Its lead product candidates are WTX-124, a conditionally activated Interleukin-2 INDUKINE molecule that is in Phase I/Ib clinical trial for the treatment of advanced or metastatic solid tumors; and WTX-330, a conditionally activated Interleukin-12 INDUKINE molecule, which is in Phase I clinical trial for the treatment of advanced or metastatic solid tumors and lymphoma. The company is also developing JZP898, a conditionally activated interferon alpha INDUKINE molecule for the treatment of cancer; and WTX-712, an activated Interleukin-21(IL-21) and WTX-518, an activated IL-18 (IL-18) INDUKINE molecule for the treatment of cancer. Werewolf Therapeutics, Inc. was incorporated in 2017 and is headquartered in Watertown, Massachusetts.