Head to Head Analysis: Surrozen (NASDAQ:SRZN) vs. 4D Molecular Therapeutics (NASDAQ:FDMT)

4D Molecular Therapeutics (NASDAQ:FDMT) and Surrozen (NASDAQ:SRZN) are both small-cap medical companies, but which is the better investment? We will compare the two businesses based on the strength of their institutional ownership, dividends, valuation, risk, profitability, earnings and analyst recommendations.

Profitability

This table compares 4D Molecular Therapeutics and Surrozen’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
4D Molecular Therapeutics	N/A	-26.75%	-24.84%
Surrozen	N/A	-85.54%	-71.86%

Institutional and Insider Ownership

99.3% of 4D Molecular Therapeutics shares are owned by institutional investors. Comparatively, 66.6% of Surrozen shares are owned by institutional investors. 7.3% of 4D Molecular Therapeutics 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 stock will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of current ratings for 4D Molecular Therapeutics and Surrozen, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
4D Molecular Therapeutics	0	0	10	0	3.00
Surrozen	0	0	0	0	N/A

4D Molecular Therapeutics currently has a consensus target price of $43.63, indicating a potential upside of 191.61%. Given 4D Molecular Therapeutics’ higher probable upside, analysts plainly believe 4D Molecular Therapeutics is more favorable than Surrozen.

Volatility and Risk

4D Molecular Therapeutics has a beta of 2.83, meaning that its share price is 183% more volatile than the S&P 500. Comparatively, Surrozen has a beta of 0.89, meaning that its share price is 11% less volatile than the S&P 500.

Earnings and Valuation

This table compares 4D Molecular Therapeutics and Surrozen’s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
4D Molecular Therapeutics	$20.22 million	38.26	-$100.84 million	($2.44)	-6.13
Surrozen	$12.50 million	2.19	-$43.04 million	N/A	N/A

Surrozen has lower revenue, but higher earnings than 4D Molecular Therapeutics.

Summary

4D Molecular Therapeutics beats Surrozen on 8 of the 10 factors compared between the two stocks.

About 4D Molecular Therapeutics

4D Molecular Therapeutics, Inc., a clinical-stage biotherapeutics company, develops genetic medicines using its therapeutic vector evolution platform in the Netherland and the United States. The company develops a portfolio of genetic medicine product candidates focuses in three therapeutic areas for ophthalmology, cardiology, and pulmonology. Its product pipeline includes 4D-150, which is in phase 1/2 clinical trial for the treatment of wet age-related macular degeneration; and is in phase 1/2 clinical trial for the treatment of diabetic macular edema. The company develops 4D-125, which is in phase 1/2 clinical trial for the treatment of x-linked retinitis pigmentosa; 4D-110, which is in phase 1/2 clinical trial for the treatment of choroideremia; 4D-710, which is in phase 1/2 clinical trial for the treatment cystic fibrosis lung disease; and 4D-310 to treat fabry disease cardiomyopathy and is in phase 1/2 clinical trial. In addition, its product candidates comprises 4D-175, which is in pre-clinical development for the treatment for geographic trophy; and 4D-725 to treat alpha-1 antitrypsin deficiency lung disease and is in pre-clinical development. The company has collaboration and licensing agreements with Arbor Biotechnologies, Inc.; Astellas Gene Therapies, Inc; uniQure biopharma B.V.; and Cystic Fibrosis Foundation. 4D Molecular Therapeutics, Inc. was founded in 2013 and is headquartered in Emeryville, California.

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 also 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.