Analyzing Pharming Group (OTCMKTS:PHGUF) & Disc Medicine (NASDAQ:IRON)

Disc Medicine (NASDAQ:IRON) and Pharming Group (OTCMKTS:PHGUF) are both medical companies, but which is the better stock? We will compare the two companies based on the strength of their institutional ownership, dividends, earnings, profitability, analyst recommendations, valuation and risk.

Profitability

This table compares Disc Medicine and Pharming Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Disc Medicine	N/A	-25.24%	-23.96%
Pharming Group	-6.09%	-7.65%	-3.82%

Analyst Recommendations

This is a summary of current ratings and recommmendations for Disc Medicine and Pharming Group, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Disc Medicine	0	0	9	1	3.10
Pharming Group	0	0	0	0	0.00

Disc Medicine presently has a consensus price target of $85.80, indicating a potential upside of 35.11%. Given Disc Medicine’s stronger consensus rating and higher probable upside, research analysts clearly believe Disc Medicine is more favorable than Pharming Group.

Volatility & Risk

Disc Medicine has a beta of 0.6, meaning that its share price is 40% less volatile than the S&P 500. Comparatively, Pharming Group has a beta of 1.17, meaning that its share price is 17% more volatile than the S&P 500.

Institutional and Insider Ownership

83.7% of Disc Medicine shares are owned by institutional investors. 4.2% of Disc Medicine shares are owned 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.

Valuation & Earnings

This table compares Disc Medicine and Pharming Group”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Disc Medicine	N/A	N/A	-$76.43 million	($3.98)	-15.96
Pharming Group	$245.32 million	N/A	-$10.55 million	($0.02)	-41.13

Pharming Group has higher revenue and earnings than Disc Medicine. Pharming Group is trading at a lower price-to-earnings ratio than Disc Medicine, indicating that it is currently the more affordable of the two stocks.

Summary

Disc Medicine beats Pharming Group on 8 of the 14 factors compared between the two stocks.

About Disc Medicine

Disc Medicine, Inc., together with its subsidiaries, a clinical-stage biopharmaceutical company, engages in the discovery, development, and commercialization of novel treatments for patients suffering from serious hematologic diseases in the United States. The company has assembled a portfolio of clinical and preclinical product candidates that aim to modify fundamental biological pathways associated with the formation and function of red blood cells, primarily heme biosynthesis and iron homeostasis. Its pipeline includes bitopertin for the treatment of erythropoietic porphyrias, including erythropoietic protoporphyria, X-linked protoporphyria, and diamond-blackfan anemia; DISC-0974 for the treatment of anemia of myelofibrosis, and anemia of chronic kidney disease; and DISC-3405 for the treatment of polycythemia vera, and other hematologic disorders. The company’s preclinical programs include DISC-0998, for the treatment of anemia associated with inflammatory diseases. Disc Medicine, Inc. was founded in 2017 and is headquartered in Watertown, Massachusetts.

About Pharming Group

Pharming Group N.V., a biopharmaceutical company, develops and commercializes protein replacement therapies and precision medicines for the treatment of rare diseases in the United States, Europe, and internationally. The company offers RUCONEST, a recombinant C1 esterase inhibitor for the treatment of acute attacks in adult and adolescent patients with acute hereditary angioedema (HAE); and Joenja (leniolisib), an oral small molecule PI3K? inhibitor for the treatment of activated phosphoinositide 3-kinase delta syndrome. It also develops OTL-105, an investigational ex-vivo autologous hematopoietic stem cell gene therapy for the treatment of HAE. The company has a development collaboration and license agreement with Novartis; and a strategic collaboration agreement with Orchard Therapeutics plc for research, development, manufacturing, and commercialization of OTL-105. Pharming Group N.V. was incorporated in 1988 and is headquartered in Leiden, the Netherlands.