Reviewing Insmed (INSM) & Its Competitors

Insmed (NASDAQ:INSM) is one of 844 publicly-traded companies in the “Biotechnology” industry, but how does it weigh in compared to its rivals? We will compare Insmed to related businesses based on the strength of its earnings, profitability, valuation, analyst recommendations, dividends, institutional ownership and risk.

Profitability

This table compares Insmed and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Insmed	-39.85%	-96.13%	-32.84%
Insmed Competitors	-9,054.31%	-198.21%	-30.53%

Analyst Recommendations

This is a summary of current ratings and target prices for Insmed and its rivals, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Insmed	1	1	22	1	2.92
Insmed Competitors	9773	15031	45238	1571	2.54

Insmed currently has a consensus target price of $196.70, suggesting a potential upside of 74.72%. As a group, “Biotechnology” companies have a potential upside of 95.63%. Given Insmed’s rivals higher possible upside, analysts plainly believe Insmed has less favorable growth aspects than its rivals.

Earnings & Valuation

This table compares Insmed and its rivals gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Insmed	$606.42 million	-$1.28 billion	-39.92
Insmed Competitors	$689.46 million	$10.37 million	-10.05

Insmed’s rivals have higher revenue and earnings than Insmed. Insmed is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Volatility & Risk

Insmed has a beta of 0.83, suggesting that its stock price is 17% less volatile than the S&P 500. Comparatively, Insmed’s rivals have a beta of 1.11, suggesting that their average stock price is 11% more volatile than the S&P 500.

Institutional and Insider Ownership

47.9% of shares of all “Biotechnology” companies are owned by institutional investors. 2.1% of Insmed shares are owned by insiders. Comparatively, 13.0% of shares of all “Biotechnology” companies are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Summary

Insmed rivals beat Insmed on 8 of the 13 factors compared.

Insmed Company Profile

Insmed Incorporated is a global biopharmaceutical company on a mission to transform the lives of patients with serious and rare diseases. Insmed’s first commercial product is ARIKAYCE® (amikacin liposome inhalation suspension), which is approved in the United States for the treatment of Mycobacterium avium complex (MAC) lung disease as part of a combination antibacterial drug regimen for adult patients with limited or no alternative treatment options. MAC lung disease is a rare and often chronic infection that can cause irreversible lung damage and can be fatal. Insmed’s earlier-stage clinical pipeline includes INS1007, a novel oral reversible inhibitor of dipeptidyl peptidase 1 with therapeutic potential in non-cystic fibrosis bronchiectasis and other inflammatory diseases, and INS1009, an inhaled formulation of a treprostinil prodrug that may offer a differentiated product profile for rare pulmonary disorders, including pulmonary arterial hypertension.