Praxis Precision Medicines, Inc. (PRAX) vs Rhythm Pharmaceuticals, Inc. (RYTM)

Praxis Precision Medicines, Inc. and Rhythm Pharmaceuticals, Inc. are both Biotechnology companies. Praxis Precision Medicines, Inc. is the larger, with a market value of $6.9B against $6.1B — 1.1× the size. Praxis Precision Medicines, Inc. grew revenue faster over the last twelve months: 249.5% against 53.5%. Praxis Precision Medicines, Inc. has the higher net margin (0.00% vs −87.6%) and the lower return on invested capital (−40.6% vs 0.00%). Across the 16 metrics below, Praxis Precision Medicines, Inc. leads on 10 and Rhythm Pharmaceuticals, Inc. on 6.

Valuation

Metric PRAX RYTM Biotechnology median
P/E n/m n/m 8.50
P/S 823.42 24.64 9.71
P/B 5.25 57.39 2.13
Price to free cash flow n/m n/m 20.82
EV/EBITDA n/m n/m 0.64
EV/Sales 734.73 23.26 9.21
Earnings yield (5.35%) (3.61%) (33.15%)
Free cash flow yield (4.35%) (2.55%) (25.50%)

Profitability

Metric PRAX RYTM Biotechnology median
Gross margin 100.00% 89.00% 65.16%
Operating margin 0.00% (83.62%) 0.00%
Net margin 0.00% (87.62%) 0.00%
Free cash flow margin 0.00% (43.91%) 0.00%
Return on equity (38.86%) (461.65%) (56.36%)
Return on assets (36.80%) (51.91%) (48.04%)
Return on invested capital (40.58%) 0.00% 0.00%

Growth

Metric PRAX RYTM Biotechnology median
Revenue growth (TTM) 249.53% 53.51% 6.02%
EPS growth (last fiscal year) (32.03%) 28.34% 30.26%
Revenue growth, 5-year CAGR — — 9.41%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric PRAX RYTM Biotechnology median
Debt to equity 0.00 0.00 0.00
Current ratio 15.73 3.45 4.72
Net debt to EBITDA 1.82 2.04 0.96

Dividend

Metric PRAX RYTM Biotechnology median
Dividend yield — — 0.09%
Payout ratio — — —

Size

Metric PRAX RYTM Biotechnology median
Market cap 6.93b 6.06b 135.18m

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