Northwest Biotherapeutics (OTCMKTS:NWBO) versus Gossamer Bio (NASDAQ:GOSS) Critical Contrast

Gossamer Bio (NASDAQ:GOSS) and Northwest Biotherapeutics (OTCMKTS:NWBO) are both small-cap medical companies, but which is the better investment? We will compare the two companies based on the strength of their institutional ownership, analyst recommendations, risk, valuation, earnings, dividends and profitability.

Analyst Ratings

This is a summary of recent ratings for Gossamer Bio and Northwest Biotherapeutics, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Gossamer Bio	0	0	5	0	3.00
Northwest Biotherapeutics	0	0	0	0	N/A

Gossamer Bio presently has a consensus price target of $9.20, suggesting a potential upside of 776.19%. Given Gossamer Bio’s higher probable upside, analysts plainly believe Gossamer Bio is more favorable than Northwest Biotherapeutics.

Valuation & Earnings

This table compares Gossamer Bio and Northwest Biotherapeutics”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Gossamer Bio	$95.84 million	2.48	-$179.82 million	($1.06)	-0.99
Northwest Biotherapeutics	$1.93 million	202.16	-$62.60 million	($0.07)	-4.53

Northwest Biotherapeutics has lower revenue, but higher earnings than Gossamer Bio. Northwest Biotherapeutics is trading at a lower price-to-earnings ratio than Gossamer Bio, indicating that it is currently the more affordable of the two stocks.

Volatility and Risk

Gossamer Bio has a beta of 1.96, meaning that its share price is 96% more volatile than the S&P 500. Comparatively, Northwest Biotherapeutics has a beta of -0.58, meaning that its share price is 158% less volatile than the S&P 500.

Insider & Institutional Ownership

81.2% of Gossamer Bio shares are held by institutional investors. Comparatively, 0.0% of Northwest Biotherapeutics shares are held by institutional investors. 5.0% of Gossamer Bio shares are held by company insiders. Comparatively, 8.7% of Northwest Biotherapeutics shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Profitability

This table compares Gossamer Bio and Northwest Biotherapeutics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Gossamer Bio	N/A	-117.33%	-25.02%
Northwest Biotherapeutics	-4,479.03%	N/A	-253.74%

Summary

Gossamer Bio beats Northwest Biotherapeutics on 8 of the 13 factors compared between the two stocks.

About Gossamer Bio

Gossamer Bio, Inc., a clinical-stage biopharmaceutical company, focuses on developing and commercializing seralutinib for the treatment of pulmonary arterial hypertension (PAH) in the United States. The company is developing GB002, an inhaled, small molecule, platelet-derived growth factor receptor, or PDGFR, colony-stimulatin factor 1 receptor and c-KIT inhibitor, which is in Phase 3 clinical trial for the treatment of PAH. It has license agreements with Pulmokine, Inc. to develop and commercialize GB002 and related backup compounds. The company was formerly known as FSG, Bio, Inc. and changed its name to Gossamer Bio, Inc. in 2017. Gossamer Bio, Inc. was incorporated in 2015 and is headquartered in San Diego, California.

About Northwest Biotherapeutics

Northwest Biotherapeutics, Inc., a biotechnology company, develops personalized immune therapies for cancer in the United States and internationally. The company develops its products based on DCVax, a platform technology that uses activated dendritic cells to mobilize a patient's own immune system to attack cancer. Its lead product, DCVax-L, which has completed Phase III clinical trials to treat Glioblastoma multiforme brain cancer. The company also develops DCVax-Direct, which is in Phase I/II clinical trials to treat inoperable solid tumors. The company was founded in 1996 and is headquartered in Bethesda, Maryland.