Critical Comparison: Clarus Therapeutics (OTCMKTS:CRXTQ) versus Prime Medicine (NYSE:PRME)

Clarus Therapeutics (OTCMKTS:CRXTQ) and Prime Medicine (NYSE:PRME) are both medical companies, but which is the better investment? We will compare the two companies based on the strength of their analyst recommendations, valuation, profitability, dividends, earnings, institutional ownership and risk.

Profitability

This table compares Clarus Therapeutics and Prime Medicine’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Clarus Therapeutics	N/A	N/A	N/A
Prime Medicine	N/A	-94.21%	-74.52%

Valuation and Earnings

This table compares Clarus Therapeutics and Prime Medicine’s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Clarus Therapeutics	$13.96 million	N/A	-$40.62 million	N/A	N/A
Prime Medicine	N/A	N/A	-$198.13 million	($2.17)	-2.60

Clarus Therapeutics has higher revenue and earnings than Prime Medicine.

Analyst Recommendations

This is a breakdown of current ratings for Clarus Therapeutics and Prime Medicine, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Clarus Therapeutics	0	0	0	0	N/A
Prime Medicine	0	2	10	0	2.83

Prime Medicine has a consensus target price of $15.09, indicating a potential upside of 167.10%. Given Prime Medicine’s higher probable upside, analysts plainly believe Prime Medicine is more favorable than Clarus Therapeutics.

Institutional and Insider Ownership

70.4% of Prime Medicine shares are owned by institutional investors. 5.3% of Clarus Therapeutics shares are owned by company insiders. Comparatively, 24.3% of Prime Medicine shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

About Clarus Therapeutics

Clarus Therapeutics Holdings, Inc., a pharmaceutical company, focuses on the development and commercialization of oral testosterone replacement therapy in the United States. It offers JATENZO, a soft gel oral formulation of testosterone undecanoate for treating hypogonadal men. The company has a licensing agreement with HavaH Therapeutics for product to treat androgen therapies for inflammatory breast disease and certain forms of breast cancer; and license agreement with The Royal Institution for the Advancement of Learning/McGill University to develop and commercialize McGill's proprietary technology designed to treat conditions associated with CoQ10 deficiencies in humans. Clarus Therapeutics Holdings, Inc. was founded in 2003 and is based in Northbrook, Illinois.

About Prime Medicine

Prime Medicine, Inc., a biotechnology company, delivers genetic therapies to address the spectrum of diseases by deploying gene editing technology. The company offers Prime Editors with a Prime Editor protein, comprising a fusion between a Cas protein and a reverse transcriptase enzyme; and a pegRNA, which targets the Prime Editor to a specific genomic location and provides a template for making the desired edit to the target DNA sequence. It has a research collaboration with Cimeio Therapeutics to develop Prime Edited Shielded-Cell & Immunotherapy Pairs for genetic diseases, acute myeloid leukemia, and myelodysplastic syndrome. The company was incorporated in 2019 and is based in Cambridge, Massachusetts.