Arrowhead Pharmaceuticals, Inc. (ARWR) vs TG Therapeutics, Inc. (TGTX)

Arrowhead Pharmaceuticals, Inc. and TG Therapeutics, Inc. are both Biotechnology companies. Arrowhead Pharmaceuticals, Inc. and TG Therapeutics, Inc. are of similar size ($9.3B and $8.8B). Arrowhead Pharmaceuticals, Inc. has negative trailing earnings, so its P/E is not meaningful; TG Therapeutics, Inc. trades at 18.9×. TG Therapeutics, Inc. grew revenue faster over the last twelve months: 76.1% against 16.1%. TG Therapeutics, Inc. has the higher net margin (55.2% vs −47.8%) and the higher return on invested capital (10.7% vs 0.00%). Across the 18 metrics below, TG Therapeutics, Inc. leads on 15 and Arrowhead Pharmaceuticals, Inc. on 3.

Valuation

Metric ARWR TGTX Biotechnology median
P/E n/m 18.89 7.88
P/S 14.12 10.18 11.47
P/B 20.28 13.48 2.52
Price to free cash flow n/m 468.33 21.16
EV/EBITDA n/m 61.31 0.74
EV/Sales 13.02 10.43 10.73
Earnings yield (3.41%) 5.29% (28.84%)
Free cash flow yield (0.79%) 0.21% (23.03%)

Profitability

Metric ARWR TGTX Biotechnology median
Gross margin 100.00% 82.37% 65.16%
Operating margin (33.82%) 17.05% 0.00%
Net margin (47.79%) 55.22% 0.00%
Free cash flow margin (11.22%) 2.17% 0.00%
Return on equity (64.91%) 100.28% (57.72%)
Return on assets (18.32%) 37.70% (49.22%)
Return on invested capital 0.00% 10.69% 0.00%

Growth

Metric ARWR TGTX Biotechnology median
Revenue growth (TTM) 16.13% 76.08% 5.64%
EPS growth (last fiscal year) 99.80% 1,746.67% —
Revenue growth, 5-year CAGR 56.63% 426.73% 8.40%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric ARWR TGTX Biotechnology median
Debt to equity 1.85 1.23 0.00
Current ratio 5.90 4.27 4.73
Net debt to EBITDA (5.70) 0.86 0.96

Dividend

Metric ARWR TGTX Biotechnology median
Dividend yield — — 2.10%
Payout ratio 0.00 0.00 0.00

Size

Metric ARWR TGTX Biotechnology median
Market cap 9.33b 8.80b 162.10m

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