Head to Head Review: Surrozen (NASDAQ:SRZN) and Acumen Pharmaceuticals (NASDAQ:ABOS)

Acumen Pharmaceuticals (NASDAQ:ABOS) and Surrozen (NASDAQ:SRZN) are both small-cap medical companies, but which is the better stock? We will compare the two companies based on the strength of their valuation, profitability, earnings, risk, analyst recommendations, institutional ownership and dividends.

Volatility and Risk

Acumen Pharmaceuticals has a beta of 0.02, suggesting that its stock price is 98% less volatile than the S&P 500. Comparatively, Surrozen has a beta of 0.74, suggesting that its stock price is 26% less volatile than the S&P 500.

Analyst Ratings

This is a summary of current ratings and target prices for Acumen Pharmaceuticals and Surrozen, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Acumen Pharmaceuticals	0	0	2	1	3.33
Surrozen	0	0	2	0	3.00

Acumen Pharmaceuticals presently has a consensus price target of $9.33, indicating a potential upside of 634.91%. Surrozen has a consensus price target of $38.50, indicating a potential upside of 240.53%. Given Acumen Pharmaceuticals’ stronger consensus rating and higher probable upside, research analysts clearly believe Acumen Pharmaceuticals is more favorable than Surrozen.

Valuation and Earnings

This table compares Acumen Pharmaceuticals and Surrozen”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Acumen Pharmaceuticals	N/A	N/A	-$52.37 million	($1.38)	-0.92
Surrozen	$10.00 million	3.67	-$43.04 million	N/A	N/A

Surrozen has higher revenue and earnings than Acumen Pharmaceuticals.

Profitability

This table compares Acumen Pharmaceuticals and Surrozen’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Acumen Pharmaceuticals	N/A	-32.99%	-27.99%
Surrozen	N/A	-120.51%	-54.68%

Insider and Institutional Ownership

71.0% of Acumen Pharmaceuticals shares are owned by institutional investors. Comparatively, 66.6% of Surrozen shares are owned by institutional investors. 7.1% of Acumen Pharmaceuticals shares are owned by company insiders. Comparatively, 43.5% of Surrozen shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Summary

Acumen Pharmaceuticals beats Surrozen on 6 of the 10 factors compared between the two stocks.

About Acumen Pharmaceuticals

Acumen Pharmaceuticals, Inc., a clinical-stage biopharmaceutical company, develops targeted therapies for the treatment of Alzheimer’s disease. The company focuses on advancing a targeted immunotherapy drug candidate sabirnetug (ACU193), a recombinant humanized immunoglobulin gamma 2 that completed Phase I clinical trial to target soluble amyloid-beta oligomers. The company has a license agreement with Lonza Sales AG to manufacture and commercialize sabirnetug; and a collaboration and license agreement with Halozyme, Inc. for the development of a subcutaneous formulation of sabirnetug. Acumen Pharmaceuticals, Inc. was incorporated in 1996 and is headquartered in Charlottesville, Virginia.

About Surrozen

Surrozen, Inc., a clinical stage biotechnology company, discovers and develops drug candidates to selectively modulate the Wnt pathway for tissue repair. The company is developing antibody-based therapeutics which targets various disease areas, including diseases of the intestine, liver, retina, cornea, lung, kidney, cochlea, skin, pancreas, and central nervous system. Its products in pipeline include SZN-043, a hepatocyte-specific R-spondin mimetic bispecific fusion protein, which is in Phase 1b clinical trial for the treatment of severe liver diseases, including alcohol-associated hepatitis. The company develops SZN-413, a Fzd4 targeted bi-specific antibody for the treatment of retinal vascular associated diseases. Surrozen, Inc. has collaboration and license agreement with Boehringer Ingelheim International GmbH to research, develop, and commercialize Fzd4 bi-specific antibodies. Surrozen, Inc. is based in South San Francisco, California.