Critical Comparison: Response Genetics (OTCMKTS:RGDXQ) vs. Cyclerion Therapeutics (NASDAQ:CYCN)

Response Genetics (OTCMKTS:RGDXQ) and Cyclerion Therapeutics (NASDAQ:CYCN) are both medical companies, but which is the better stock? We will compare the two companies based on the strength of their valuation, earnings, analyst recommendations, institutional ownership, dividends, profitability and risk.

Analyst Recommendations

This is a breakdown of current ratings and recommmendations for Response Genetics and Cyclerion Therapeutics, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Response Genetics	0	0	0	0	0.00
Cyclerion Therapeutics	1	0	0	0	1.00

Given Response Genetics’ higher possible upside, equities analysts plainly believe Response Genetics is more favorable than Cyclerion Therapeutics.

Institutional and Insider Ownership

75.6% of Cyclerion Therapeutics shares are owned by institutional investors. 4.9% of Response Genetics shares are owned by company insiders. Comparatively, 34.3% of Cyclerion Therapeutics shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares Response Genetics and Cyclerion Therapeutics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Response Genetics	N/A	N/A	N/A
Cyclerion Therapeutics	-77.02%	-24.61%	-22.43%

Valuation and Earnings

This table compares Response Genetics and Cyclerion Therapeutics”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Response Genetics	N/A	N/A	N/A	N/A	N/A
Cyclerion Therapeutics	$2.00 million	2.32	-$3.06 million	($0.75)	-1.57

Response Genetics has higher earnings, but lower revenue than Cyclerion Therapeutics.

About Response Genetics

Response Genetics, Inc., a life sciences company, researches, develops, markets, and sells pharmacogenomic tests for use in the treatment of cancer in the United States, Europe, and internationally. The company offers tests for measuring predictive factors for therapy response in tumor tissue samples. It provides testing services for non-small cell lung cancer, colorectal cancer, gastric and gastroesophageal cancer, melanoma and thyroid cancer, breast cancer, and glioma through its ResponseDX: Lung, ResponseDX: Colon, ResponseDX: Gastric, ResponseDX: Melanoma, ResponseDX: Thyroid, ResponseDX: Breast, ResponseDX: Glioma, and ResponseDX: Tissue of Origin test suites. The company also develops tests for other tumor types; and provides technical component and professional component testing services. It serves community based oncologists, pathologists, physician offices, hospitals, and pharmaceutical companies through its sales force. The company was formerly known as Bio Type, Inc. and changed its name to Response Genetics, Inc. in August 2000. Response Genetics, Inc. was founded in 1999 and is headquartered in Los Angeles, California.

About Cyclerion Therapeutics

Cyclerion Therapeutics, Inc., a biopharmaceutical company, develops treatments for serious diseases. It is developing Olinciguat, an orally administered vascular soluble guanylate cyclase (sGC) stimulator, which is in Phase 2 clinical trial to out-license for cardiovascular diseases; and Praliciguat, a systemic sGC stimulator that is licensed to Akebia Therapeutics, Inc. for the treatment of rare kidney disease. The company was incorporated in 2018 and is headquartered in Cambridge, Massachusetts.