HH&L Acquisition (NYSE:HHLA) vs. Progenity (NASDAQ:PROG) Critical Contrast

Progenity (NASDAQ:PROGGet Rating) and HH&L Acquisition (NYSE:HHLAGet Rating) are both small-cap medical companies, but which is the better investment? We will compare the two companies based on the strength of their analyst recommendations, risk, profitability, dividends, valuation, institutional ownership and earnings.

Profitability

This table compares Progenity and HH&L Acquisition’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Progenity -966.23% N/A -127.45%
HH&L Acquisition N/A -93.70% 4.25%

Institutional & Insider Ownership

62.8% of Progenity shares are held by institutional investors. Comparatively, 64.1% of HH&L Acquisition shares are held by institutional investors. 79.3% of Progenity shares are held by company insiders. Comparatively, 0.2% of HH&L Acquisition shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Risk & Volatility

Progenity has a beta of 1.03, meaning that its share price is 3% more volatile than the S&P 500. Comparatively, HH&L Acquisition has a beta of -0.01, meaning that its share price is 101% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for Progenity and HH&L Acquisition, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Progenity 0 0 0 0 N/A
HH&L Acquisition 0 0 0 0 N/A

Valuation and Earnings

This table compares Progenity and HH&L Acquisition’s gross revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Progenity $1.25 million 373.72 -$247.41 million ($2.81) -0.90
HH&L Acquisition N/A N/A $17.69 million $0.34 30.53

HH&L Acquisition has lower revenue, but higher earnings than Progenity. Progenity is trading at a lower price-to-earnings ratio than HH&L Acquisition, indicating that it is currently the more affordable of the two stocks.

Summary

HH&L Acquisition beats Progenity on 6 of the 10 factors compared between the two stocks.

About Progenity

(Get Rating)

Progenity, Inc., a biotechnology company, provides develops and commercializes molecular testing products in the United States. The company develops targeted oral delivery of biotherapeutics, including PGN-600, an orally delivered liquid formulation of tofacitinib for the treatment of ulcerative colitis; and PGN-001, an orally delivered variant of adalimumab for the treatment of ulcerative colitis. It also develops systemic oral delivery of biotherapeutics, which include PGN-OB, a combination product of a variant of adalimumab and the Oral Biotherapeutics Delivery System (OBDM) for the treatment of inflammatory conditions; and PGN-OB2, a combination product of a GLP-1 receptor agonist and the OBDS for the treatment of Type 2 diabetes. In addition, the company develops Recoverable Sampling System, an ingestible smart capsule designed to autonomously identify locations in the GI tract, collect, and preserve a sample for analysis; and PIL Dx, an ingestible smart capsule designed to sample, measure, and transmit results. It has partnership agreement with Ionis Pharmaceuticals to evaluate the OBDS for delivery of antisense oligonucleotides. The company was formerly known as Ascendant MDX, Inc. and changed its name to Progenity, Inc. in November 2013. The company was founded in 2010 and is headquartered in San Diego, California.

About HH&L Acquisition

(Get Rating)

HH&L Acquisition Co. does not have significant operations. The company focuses on effecting a merger, share exchange, asset acquisition, share purchase, reorganization, or similar business combination with one or more businesses. It intends to focus on healthcare or healthcare-related companies in Asian markets. The company was incorporated in 2020 and is based in Central, Hong Kong.

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