Alpha Cognition (OTC:ACOGF) versus Revolution Medicines (NASDAQ:RVMD) Financial Analysis

Revolution Medicines (NASDAQ:RVMD) and Alpha Cognition (OTC:ACOGF) are both medical companies, but which is the superior business? We will compare the two businesses based on the strength of their risk, institutional ownership, analyst recommendations, dividends, valuation, earnings and profitability.

Institutional & Insider Ownership

94.3% of Revolution Medicines shares are held by institutional investors. 8.0% of Revolution Medicines shares are held by company insiders. Comparatively, 31.5% of Alpha Cognition shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Earnings and Valuation

This table compares Revolution Medicines and Alpha Cognition”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Revolution Medicines	$11.58 million	623.92	-$436.37 million	($3.59)	-11.96
Alpha Cognition	N/A	N/A	-$13.77 million	C($0.12)	N/A

Alpha Cognition has lower revenue, but higher earnings than Revolution Medicines. Revolution Medicines is trading at a lower price-to-earnings ratio than Alpha Cognition, indicating that it is currently the more affordable of the two stocks.

Risk & Volatility

Revolution Medicines has a beta of 1.46, meaning that its stock price is 46% more volatile than the S&P 500. Comparatively, Alpha Cognition has a beta of 2.8, meaning that its stock price is 180% more volatile than the S&P 500.

Profitability

This table compares Revolution Medicines and Alpha Cognition’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Revolution Medicines	N/A	-33.67%	-30.08%
Alpha Cognition	N/A	N/A	-522.43%

Analyst Ratings

This is a summary of recent ratings and recommmendations for Revolution Medicines and Alpha Cognition, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Revolution Medicines	0	0	11	1	3.08
Alpha Cognition	0	0	0	0	0.00

Revolution Medicines currently has a consensus price target of $66.25, indicating a potential upside of 54.25%. Given Revolution Medicines’ stronger consensus rating and higher probable upside, analysts clearly believe Revolution Medicines is more favorable than Alpha Cognition.

Summary

Revolution Medicines beats Alpha Cognition on 7 of the 13 factors compared between the two stocks.

About Revolution Medicines

Revolution Medicines, Inc., a clinical-stage precision oncology company, develops novel targeted therapies for RAS-addicted cancers. The company’s research and development pipeline comprises RAS(ON) inhibitors designed to be used as monotherapy in combination with other RAS(ON) inhibitors and/or in combination with RAS companion inhibitors or other therapeutic agents, and RAS companion inhibitors for combination treatment strategies. Its RAS(ON) inhibitors include RMC-6236 (multi), RMC-6291 (G12C), and RMC-9805 (G12D), which are in phase 1 clinical trial; and development candidates comprise RMC-5127 (G12V), RMC-0708 (Q61H), and RMC-8839 (G13C), as well as programs focused on G12R and other targets. The company’s RAS companion inhibitors include RMC-4630 that is in phase 2 clinical trial; and RMC-5552, which is in phase 1 clinical trial. Revolution Medicines, Inc. was incorporated in 2014 and is headquartered in Redwood City, California.

About Alpha Cognition

Alpha Cognition Inc., a clinical stage biopharmaceutical company, develops treatments for Alzheimer’s disease and amyotrophic lateral sclerosis (ALS). It develops ALPHA-1062 for the treatment of mild-to-moderate Alzheimer’s disease and mild traumatic brain injury; ALPHA-0602, a gene therapy for the treatment of ALS; and ALPHA-0702 and ALPHA-0802, a granulin epithelin motifs for the treatment of neurodegenerative diseases. The company was formerly known as Crystal Bridge Enterprises Inc. and changed its name to Alpha Cognition Inc. in March 2021. Alpha Cognition Inc. was founded in 2000 and is headquartered in Vancouver, Canada.