Comparing Fresh Tracks Therapeutics (NASDAQ:FRTX) & Revolution Medicines (NASDAQ:RVMD)

Fresh Tracks Therapeutics (NASDAQ:FRTX) and Revolution Medicines (NASDAQ:RVMD) are both medical companies, but which is the better business? We will compare the two businesses based on the strength of their earnings, analyst recommendations, dividends, risk, valuation, profitability and institutional ownership.

Analyst Ratings

This is a summary of current ratings and recommmendations for Fresh Tracks Therapeutics and Revolution Medicines, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Fresh Tracks Therapeutics	0	0	0	0	N/A
Revolution Medicines	0	0	10	1	3.09

Revolution Medicines has a consensus price target of $54.00, indicating a potential upside of 7.08%. Given Revolution Medicines’ higher possible upside, analysts plainly believe Revolution Medicines is more favorable than Fresh Tracks Therapeutics.

Profitability

This table compares Fresh Tracks Therapeutics and Revolution Medicines’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Fresh Tracks Therapeutics	N/A	N/A	N/A
Revolution Medicines	N/A	-34.57%	-30.71%

Earnings and Valuation

This table compares Fresh Tracks Therapeutics and Revolution Medicines”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Fresh Tracks Therapeutics	$8.01 million	0.53	-$5.69 million	($1.41)	-0.50
Revolution Medicines	$11.58 million	727.45	-$436.37 million	($3.64)	-13.85

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

Volatility and Risk

Fresh Tracks Therapeutics has a beta of 0.47, indicating that its share price is 53% less volatile than the S&P 500. Comparatively, Revolution Medicines has a beta of 1.43, indicating that its share price is 43% more volatile than the S&P 500.

Insider & Institutional Ownership

25.0% of Fresh Tracks Therapeutics shares are held by institutional investors. Comparatively, 94.3% of Revolution Medicines shares are held by institutional investors. 0.2% of Fresh Tracks Therapeutics shares are held by insiders. Comparatively, 8.0% of Revolution Medicines shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Summary

Revolution Medicines beats Fresh Tracks Therapeutics on 8 of the 12 factors compared between the two stocks.

About Fresh Tracks Therapeutics

Fresh Tracks Therapeutics, Inc. does not have significant operations. Previously, the company was engaged in the development of various prescription therapeutics for the treatment of autoimmune, inflammatory, and other debilitating diseases in the United States. Fresh Tracks Therapeutics, Inc. was founded in 2009 and is headquartered in Boulder, Colorado.

About Revolution Medicines

Revolution Medicines, Inc., a clinical-stage precision oncology company, develops novel targeted therapies for RAS-addicted cancers. The company’s research and development pipeline comprises RAS(ON) inhibitors designed to be used as monotherapy in combination with other RAS(ON) inhibitors and/or in combination with RAS companion inhibitors or other therapeutic agents, and RAS companion inhibitors for combination treatment strategies. Its RAS(ON) inhibitors include RMC-6236 (multi), RMC-6291 (G12C), and RMC-9805 (G12D), which are in phase 1 clinical trial; and development candidates comprise RMC-5127 (G12V), RMC-0708 (Q61H), and RMC-8839 (G13C), as well as programs focused on G12R and other targets. The company’s RAS companion inhibitors include RMC-4630 that is in phase 2 clinical trial; and RMC-5552, which is in phase 1 clinical trial. Revolution Medicines, Inc. was incorporated in 2014 and is headquartered in Redwood City, California.