Contrasting Legend Biotech (NASDAQ:LEGN) and Day One Biopharmaceuticals (NASDAQ:DAWN)

Day One Biopharmaceuticals (NASDAQ:DAWNGet Free Report) and Legend Biotech (NASDAQ:LEGNGet Free Report) are both medical companies, but which is the superior stock? We will contrast the two businesses based on the strength of their dividends, institutional ownership, earnings, valuation, profitability, analyst recommendations and risk.

Insider & Institutional Ownership

87.9% of Day One Biopharmaceuticals shares are owned by institutional investors. Comparatively, 70.9% of Legend Biotech shares are owned by institutional investors. 8.4% of Day One Biopharmaceuticals shares are owned by company insiders. Comparatively, 0.0% of Legend Biotech shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Earnings & Valuation

This table compares Day One Biopharmaceuticals and Legend Biotech”s top-line revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Day One Biopharmaceuticals $131.16 million 5.96 -$188.92 million ($1.08) -7.14
Legend Biotech $627.24 million 9.63 -$518.25 million ($0.48) -68.50

Day One Biopharmaceuticals has higher earnings, but lower revenue than Legend Biotech. Legend Biotech is trading at a lower price-to-earnings ratio than Day One Biopharmaceuticals, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a summary of current ratings and target prices for Day One Biopharmaceuticals and Legend Biotech, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Day One Biopharmaceuticals 0 0 7 1 3.13
Legend Biotech 0 1 11 0 2.92

Day One Biopharmaceuticals presently has a consensus price target of $32.29, suggesting a potential upside of 318.75%. Legend Biotech has a consensus price target of $79.00, suggesting a potential upside of 140.27%. Given Day One Biopharmaceuticals’ stronger consensus rating and higher possible upside, equities research analysts clearly believe Day One Biopharmaceuticals is more favorable than Legend Biotech.

Volatility & Risk

Day One Biopharmaceuticals has a beta of -1.38, meaning that its stock price is 238% less volatile than the S&P 500. Comparatively, Legend Biotech has a beta of 0.19, meaning that its stock price is 81% less volatile than the S&P 500.

Profitability

This table compares Day One Biopharmaceuticals and Legend Biotech’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Day One Biopharmaceuticals N/A -22.40% -19.79%
Legend Biotech -66.92% -29.69% -19.45%

Summary

Day One Biopharmaceuticals beats Legend Biotech on 9 of the 15 factors compared between the two stocks.

About Day One Biopharmaceuticals

(Get Free Report)

Day One Biopharmaceuticals, Inc., a clinical-stage biopharmaceutical company, develops and commercializes targeted therapies for patients with genomically defined cancers. Its lead product candidate is tovorafenib, an oral brain-penetrant type II pan-rapidly accelerated fibrosarcoma kinase inhibitor that is in Phase II clinical trial for pediatric patients with relapsed/ refractory low-grade glioma. The company is also developing Pimasertib, an oral small molecule inhibitor of mitogen-activated protein kinase kinases 1 and 2. Day One Biopharmaceuticals, Inc. was incorporated in 2018 and is headquartered in Brisbane, California.

About Legend Biotech

(Get Free Report)

Legend Biotech Corporation, a clinical-stage biopharmaceutical company, through its subsidiaries, engages in the discovery, development, manufacturing, and commercialization of novel cell therapies for oncology and other indications in the United States, China, and internationally. Its lead product candidate, LCAR- B38M, is a chimeric antigen receptor for the treatment of multiple myeloma (MM). The company also has a portfolio of earlier-stage autologous CAR-T product candidates targeting various cancers, including Non-Hodgkins Lymphoma, acute lymphoblastic leukemia, gastric cancer, esophageal cancer, pancreatic cancer, colorectal cancer, hepatocellular carcinoma, small cell lung cancer, and non-small cell lung cancer. It has collaboration and license agreement with Janssen Biotech, Inc. for the development and commercialization of ciltacabtagene autoleucel. The company was founded in 2014 and is based in Somerset, New Jersey. Legend Biotech Corporation is a subsidiary of Genscript Biotech Corporation.

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