Head-To-Head Survey: VectivBio (NASDAQ:VECT) vs. Tourmaline Bio (NASDAQ:TRML)

VectivBio (NASDAQ:VECT) and Tourmaline Bio (NASDAQ:TRML) are both small-cap medical companies, but which is the better investment? We will contrast the two companies based on the strength of their institutional ownership, valuation, earnings, analyst recommendations, profitability, risk and dividends.

Insider & Institutional Ownership

91.9% of Tourmaline Bio shares are held by institutional investors. 9.7% of VectivBio shares are held by insiders. Comparatively, 11.0% of Tourmaline Bio shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Earnings and Valuation

This table compares VectivBio and Tourmaline Bio”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
VectivBio	$27.34 million	20.97	-$93.74 million	N/A	N/A
Tourmaline Bio	N/A	N/A	-$42.12 million	($2.82)	-7.33

Tourmaline Bio has lower revenue, but higher earnings than VectivBio.

Analyst Recommendations

This is a summary of current ratings and recommmendations for VectivBio and Tourmaline Bio, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
VectivBio	0	0	0	0	0.00
Tourmaline Bio	0	0	6	0	3.00

Tourmaline Bio has a consensus target price of $54.00, indicating a potential upside of 161.12%. Given Tourmaline Bio’s stronger consensus rating and higher probable upside, analysts clearly believe Tourmaline Bio is more favorable than VectivBio.

Profitability

This table compares VectivBio and Tourmaline Bio’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
VectivBio	N/A	N/A	N/A
Tourmaline Bio	N/A	-20.97%	-20.56%

Risk and Volatility

VectivBio has a beta of 0.11, suggesting that its stock price is 89% less volatile than the S&P 500. Comparatively, Tourmaline Bio has a beta of 2.32, suggesting that its stock price is 132% more volatile than the S&P 500.

Summary

Tourmaline Bio beats VectivBio on 7 of the 10 factors compared between the two stocks.

About VectivBio

VectivBio Holding AG, a clinical stage biopharmaceutical company, focuses on the discovery, development, and commercialization of medicines for treatments of severe rare conditions. It develops apraglutide, a long-acting synthetic peptide analog of glucagon-like peptide-2 that is in Phase III clinical trial for the treatment of patients with short bowel syndrome-intestinal failure (SBS-IF), as well as apraglutide is in Phase II clinical trial for SBS-IF in patients with colon-in-continuity anatomy. The company is also developing apraglutide, which is in Phase II clinical trial for patients with steroid-refractory gastrointestinal acute versus host disease (aGvHD). VectivBio Holding AG was incorporated in 2019 and is headquartered in Basel, Switzerland. As of June 29, 2023, VectivBio Holding AG operates as a subsidiary of Ironwood Pharmaceuticals, Inc.

About Tourmaline Bio

Tourmaline Bio, Inc. operates as a clinical biotechnology company that develops medicines for patients with life-altering immune and inflammatory diseases. It develops TOUR006, a human anti-IL-6 monoclonal antibody that selectively binds to interleukin-6, a key proinflammatory cytokine involved in the pathogenesis of many autoimmune and inflammatory disorders. The company's development pipeline comprises medicines and therapies for the atherosclerotic cardiovascular disease (ASCVD) and thyroid eye disease (TED). The company was formerly known as Tourmaline Bio, LLC and changed its name to Tourmaline Bio, Inc. in September 2022. Tourmaline Bio, Inc. was founded in 2021 and is headquartered in New York, New York.