Janux Therapeutics (NASDAQ:JANX) versus Incyte (NASDAQ:INCY) Critical Contrast

Janux Therapeutics (NASDAQ:JANX) and Incyte (NASDAQ:INCY) are both healthcare companies, but which is the superior business? We will compare the two companies based on the strength of their earnings, analyst recommendations, institutional ownership, dividends, profitability, valuation and risk.

Volatility & Risk

Janux Therapeutics has a beta of 2.53, suggesting that its share price is 153% more volatile than the S&P 500. Comparatively, Incyte has a beta of 0.77, suggesting that its share price is 23% less volatile than the S&P 500.

Insider and Institutional Ownership

75.4% of Janux Therapeutics shares are held by institutional investors. Comparatively, 97.0% of Incyte shares are held by institutional investors. 7.9% of Janux Therapeutics shares are held by company insiders. Comparatively, 16.2% of Incyte shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Janux Therapeutics and Incyte, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Janux Therapeutics	2	2	10	1	2.67
Incyte	0	13	11	1	2.52

Janux Therapeutics currently has a consensus price target of $36.46, suggesting a potential upside of 113.23%. Incyte has a consensus price target of $124.05, suggesting a potential upside of 2.12%. Given Janux Therapeutics’ stronger consensus rating and higher possible upside, equities research analysts clearly believe Janux Therapeutics is more favorable than Incyte.

Profitability

This table compares Janux Therapeutics and Incyte’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Janux Therapeutics	N/A	-11.89%	-11.13%
Incyte	27.71%	29.93%	22.88%

Earnings and Valuation

This table compares Janux Therapeutics and Incyte”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Janux Therapeutics	$10.00 million	104.55	-$113.62 million	($1.64)	-10.43
Incyte	$5.14 billion	4.79	$1.29 billion	$7.85	15.47

Incyte has higher revenue and earnings than Janux Therapeutics. Janux Therapeutics is trading at a lower price-to-earnings ratio than Incyte, indicating that it is currently the more affordable of the two stocks.

Summary

Incyte beats Janux Therapeutics on 10 of the 14 factors compared between the two stocks.

About Janux Therapeutics

Janux Therapeutics, Inc., a clinical stage biopharmaceutical company, develops immunotherapies based on Tumor Activated T Cell Engagers (TRACTr) and Tumor Activated Immunomodulators (TRACIr) platforms technology to treat patients suffering from cancer. The company's clinical candidates comprise JANX007, a prostate-specific membrane antigen or PSMA-TRACTr, which is in Phase 1 clinical trial in adults for the treatment of metastatic castration-resistant prostate cancer (mCRPC) and the vasculature of other tumors; and JANX008, an epidermal growth factor receptor or EGFR-TRACTr that is in Phase 1 clinical trial for the treatment of multiple solid cancers, including colorectal cancer, squamous cell carcinoma of the head and neck, non-small cell lung cancer, and renal cell carcinoma. Its development pipeline also consists of discovery stage products. The company has strategic research collaboration agreement with Merck Sharp & Dohme Corp. to develop TRACTr product candidates. Janux Therapeutics, Inc. was incorporated in 2017 and is headquartered in San Diego, California.

About Incyte

Incyte Corporation, a biopharmaceutical company, engages in the discovery, development, and commercialization of therapeutics for hematology/oncology, and inflammation and autoimmunity areas in the United States and internationally. The company offers JAKAFI (ruxolitinib) for treatment of intermediate or high-risk myelofibrosis, polycythemia vera, and steroid-refractory acute graft-versus-host disease; MONJUVI (tafasitamab-cxix)/MINJUVI (tafasitamab) for relapsed or refractory diffuse large B-cell lymphoma; PEMAZYRE (pemigatinib), a fibroblast growth factor receptor kinase inhibitor that act as oncogenic drivers in liquid and solid tumor types; ICLUSIG (ponatinib) to treat chronic myeloid leukemia and Philadelphia-chromosome positive acute lymphoblastic leukemia; and ZYNYZ (retifanlimab-dlwr) to treat adults with metastatic or recurrent locally advanced Merkel cell carcinoma, as well as OPZELURA cream for treatment of atopic dermatitis. Its clinical stage products include retifanlimab under Phase 3 clinical trials for squamous cell carcinoma of the anal canal and non-small cell lung cancer; axatilimab, an anti-CSF-1R monoclonal antibody under Phase 2 that is being developed as a therapy for patients with chronic GVHD; INCA033989 to inhibit oncogenesis; INCB160058, which is being developed as a disease-modifying therapeutic; and INCB99280 and INCB99318 for the treatment solid tumors. The company also develops INCB123667, INCA32459, and INCA33890, as well as Ruxolitinib cream, Povorcitinib, and INCA034460. It has collaboration out-license agreements with Novartis and Lilly; in-license agreements with Agenus, Merus, MacroGenics, and Syndax; and collaboration and license agreement with China Medical System Holdings Limited for the development and commercialization of povorcitinib. The company sells its products to specialty, retail, and hospital pharmacies, distributors, and wholesalers. The company was formerly known as Incyte Genomics Inc and changed its name to Incyte Corporation in March 2003. Incyte Corporation was incorporated in 1991 and is headquartered in Wilmington, Delaware.