Analyzing JATT Acquisition (NYSE:JATT) & Passage Bio (NASDAQ:PASG)

JATT Acquisition (NYSE:JATT) and Passage Bio (NASDAQ:PASG) are both small-cap medical companies, but which is the superior stock? We will compare the two businesses based on the strength of their dividends, risk, analyst recommendations, profitability, institutional ownership, earnings and valuation.

Valuation and Earnings

This table compares JATT Acquisition and Passage Bio”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
JATT Acquisition	N/A	N/A	$6.85 million	N/A	N/A
Passage Bio	N/A	N/A	-$102.06 million	($1.17)	-0.51

Insider and Institutional Ownership

48.0% of JATT Acquisition shares are held by institutional investors. Comparatively, 53.5% of Passage Bio shares are held by institutional investors. 20.0% of JATT Acquisition shares are held by company insiders. Comparatively, 4.3% of Passage Bio shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Analyst Recommendations

This is a summary of recent ratings and price targets for JATT Acquisition and Passage Bio, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
JATT Acquisition	0	0	0	0	0.00
Passage Bio	0	0	4	0	3.00

Passage Bio has a consensus price target of $7.75, indicating a potential upside of 1,191.67%. Given Passage Bio’s stronger consensus rating and higher possible upside, analysts plainly believe Passage Bio is more favorable than JATT Acquisition.

Profitability

This table compares JATT Acquisition and Passage Bio’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
JATT Acquisition	N/A	-49.58%	2.84%
Passage Bio	N/A	-72.53%	-52.10%

About JATT Acquisition

JATT Acquisition Corp does not have significant operations. It intends to effect a merger, capital share exchange, asset acquisition, share purchase, reorganization, or similar business combination with one or more businesses or entities. The company intends to focus on businesses primarily operating in the life sciences sector. JATT Acquisition Corp was incorporated in 2021 and is based in Grand Cayman, the Cayman Islands.

About Passage Bio

Passage Bio, Inc., a genetic medicines company, develops gene therapies for central nervous system diseases. It develops PBGM01, a functional GLB1 gene encoding ß-galactosidase for infantile GM1; PBFT02, a functional granulin (GRN) and gene encoding progranulin (PGRN) for the treatment of FTD caused by progranulin deficiency; and PBKR03, a functional GALC gene encoding the hydrolytic enzyme galactosylceramidase for infantile Krabbe disease. The company develops PBML04 for the treatment of metachromatic leukodystrophy; PBAL05 for the treatment of amyotrophic lateral sclerosis; and other program for huntington's disease. It has a strategic research collaboration with the Trustees of the University of Pennsylvania's Gene Therapy Program; and collaboration agreement, and a development services and clinical supply agreement with Catalent Maryland, Inc. Passage Bio, Inc. was incorporated in 2017 and is headquartered in Philadelphia, Pennsylvania.