IQVIA (NYSE:IQV – Get Free Report) and Ginkgo Bioworks (NYSE:DNA – Get Free Report) are both healthcare companies, but which is the better business? We will compare the two companies based on the strength of their valuation, institutional ownership, earnings, profitability, risk, analyst recommendations and dividends.
Profitability
This table compares IQVIA and Ginkgo Bioworks’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| IQVIA | 8.05% | 30.02% | 6.52% |
| Ginkgo Bioworks | -259.96% | -60.27% | -26.88% |
Volatility and Risk
IQVIA has a beta of 1.16, suggesting that its share price is 16% more volatile than the S&P 500. Comparatively, Ginkgo Bioworks has a beta of 1.74, suggesting that its share price is 74% more volatile than the S&P 500.
Earnings & Valuation
This table compares IQVIA and Ginkgo Bioworks”s revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| IQVIA | $16.31 billion | 2.74 | $1.36 billion | $8.23 | 32.98 |
| Ginkgo Bioworks | $170.15 million | 4.46 | -$312.76 million | ($5.01) | -2.25 |
IQVIA has higher revenue and earnings than Ginkgo Bioworks. Ginkgo Bioworks is trading at a lower price-to-earnings ratio than IQVIA, indicating that it is currently the more affordable of the two stocks.
Analyst Ratings
This is a breakdown of recent recommendations and price targets for IQVIA and Ginkgo Bioworks, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| IQVIA | 1 | 2 | 16 | 2 | 2.90 |
| Ginkgo Bioworks | 2 | 2 | 0 | 0 | 1.50 |
IQVIA presently has a consensus target price of $294.21, indicating a potential upside of 8.38%. Ginkgo Bioworks has a consensus target price of $7.00, indicating a potential downside of 37.82%. Given IQVIA’s stronger consensus rating and higher possible upside, research analysts clearly believe IQVIA is more favorable than Ginkgo Bioworks.
Institutional and Insider Ownership
89.6% of IQVIA shares are owned by institutional investors. Comparatively, 78.6% of Ginkgo Bioworks shares are owned by institutional investors. 1.7% of IQVIA shares are owned by company insiders. Comparatively, 12.7% of Ginkgo Bioworks shares are owned 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.
Summary
IQVIA beats Ginkgo Bioworks on 12 of the 15 factors compared between the two stocks.
About IQVIA
IQVIA Holdings Inc. engages in the provision of advanced analytics, technology solutions, and clinical research services to the life sciences industry in the Americas, Europe, Africa, and the Asia-Pacific. It operates through three segments: Technology & Analytics Solutions, Research & Development Solutions, and Contract Sales & Medical Solutions. The Technology & Analytics Solutions segment offers a range of cloud-based applications and related implementation services; real world solutions that enable life sciences and provider customers to generate and disseminate evidence, which informs health care decision making and improves patients’ outcomes; and strategic and implementation consulting services, such as advanced analytics and commercial processes outsourcing services. This segment also provides country level performance metrics related to sales of pharmaceutical products, prescribing trends, medical treatment, and promotional activity across various channels, including retail, hospital, and mail order; and measurement of sales or prescribing activity at the regional, zip code, and individual prescriber level. The Research & Development Solutions segment offers project management and clinical monitoring; clinical trial support; strategic planning and design services; and patient and site centric solutions, as well as central laboratory, genomic, bioanalytical, ADME, discovery, and vaccine and biomarker laboratory services. The Contract Sales & Medical Solutions segment provides health care provider and patient engagement services, and scientific strategy and medical affairs services. It serves pharmaceutical, biotechnology, device and diagnostic, and consumer health companies. The company has a collaboration with argenx SE. The company was formerly known as Quintiles IMS Holdings, Inc. and changed its name to IQVIA Holdings Inc. in November 2017. The company is headquartered in Durham, North Carolina.
About Ginkgo Bioworks
Ginkgo Bioworks Holdings, Inc., together with its subsidiaries, develops platform for cell programming in the United States. Its platform is used to program cells to enable biological production of products, such as novel therapeutics, food ingredients, and chemicals derived from petroleum. It serves pharma and biotech, agriculture, industrial and environment, food and nutrition, consumer and technology, and government and defense industries. Ginkgo Bioworks Holdings, Inc. was founded in 2008 and is headquartered in Boston, Massachusetts.
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