Oruka Therapeutics (NASDAQ:ORKA) and QuidelOrtho (NASDAQ:QDEL) Critical Contrast

QuidelOrtho (NASDAQ:QDEL) and Oruka Therapeutics (NASDAQ:ORKA) are both medical companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, institutional ownership, risk, analyst recommendations, valuation, dividends and profitability.

Institutional and Insider Ownership

99.0% of QuidelOrtho shares are held by institutional investors. Comparatively, 56.4% of Oruka Therapeutics shares are held by institutional investors. 1.0% of QuidelOrtho shares are held by insiders. Comparatively, 22.7% of Oruka Therapeutics shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Earnings and Valuation

This table compares QuidelOrtho and Oruka Therapeutics”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
QuidelOrtho	$3.00 billion	0.88	-$10.10 million	($27.79)	-1.41
Oruka Therapeutics	N/A	N/A	-$5.34 million	($6.00)	-4.53

Oruka Therapeutics has lower revenue, but higher earnings than QuidelOrtho. Oruka Therapeutics is trading at a lower price-to-earnings ratio than QuidelOrtho, indicating that it is currently the more affordable of the two stocks.

Risk and Volatility

QuidelOrtho has a beta of 0.09, meaning that its share price is 91% less volatile than the S&P 500. Comparatively, Oruka Therapeutics has a beta of 0.89, meaning that its share price is 11% less volatile than the S&P 500.

Profitability

This table compares QuidelOrtho and Oruka Therapeutics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
QuidelOrtho	-65.60%	3.87%	2.09%
Oruka Therapeutics	N/A	-20.18%	-19.51%

Analyst Ratings

This is a summary of current ratings and price targets for QuidelOrtho and Oruka Therapeutics, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
QuidelOrtho	1	3	3	0	2.29
Oruka Therapeutics	0	0	6	2	3.25

QuidelOrtho presently has a consensus target price of $58.83, suggesting a potential upside of 50.47%. Oruka Therapeutics has a consensus target price of $43.17, suggesting a potential upside of 58.76%. Given Oruka Therapeutics’ stronger consensus rating and higher possible upside, analysts clearly believe Oruka Therapeutics is more favorable than QuidelOrtho.

Summary

Oruka Therapeutics beats QuidelOrtho on 9 of the 14 factors compared between the two stocks.

About QuidelOrtho

QuidelOrtho Corporation provides diagnostic testing solutions. The company operates through Labs, Transfusion Medicine, Point-of-Care, and Molecular Diagnostics business units. The Labs business unit provides clinical chemistry laboratory instruments and tests that measure target chemicals in bodily fluids for the evaluation of health and the clinical management of patients; immunoassay laboratory instruments and tests, which measure proteins as they act as antigens in the spread of disease, antibodies in the immune response spurred by disease, or markers of proper organ function and health; testing products to detect and monitor disease progression across a spectrum of therapeutic areas; and specialized diagnostic solutions. The Transfusion Medicine business unit offers immunohematology instruments and tests used for blood typing to ensure patient-donor compatibility in blood transfusions; and donor screening instruments and tests used for blood and plasma screening for infectious diseases. The Point-of-Care business unit provides instruments and tests to provide rapid results across a continuum of point-of-care settings. The Molecular Diagnostics business unit offers polymerase chain reaction thermocyclers; amplification systems; and sample-to-result molecular instruments and tests for syndromic infectious disease diagnostics. The company sells its products directly to end users through a direct sales force; and through a network of distributors for professional use in physician offices, hospitals, clinical laboratories, reference laboratories, urgent care clinics, universities, retail clinics, pharmacies, wellness screening centers, blood banks, and donor centers, as well as for individual, non-professional, and over-the-counter use. It operates in North America, Europe, the Middle East, Africa, China, and internationally. The company was incorporated in 1979 and is headquartered in San Diego, California.

About Oruka Therapeutics

ARCA biopharma, Inc., a biopharmaceutical company, develops genetically-targeted therapies for heart failure and cardiovascular diseases. It is positioned to bring personalized therapies for the treatment of cardiovascular disease, through the use of genetics. Complementing the Company’s cardiovascular science, ARCA’s management team has significant experience in developing and commercializing cardiovascular products. The Company’s business focus combines expertise in cardiovascular pathophysiology, molecular genetics, clinical development and product commercialization. It is currently developing Gencaro (bucindolol hydrochloride), a cardiovascular drug for the treatment of chronic heart failure. The company is based in Broomfield, Colorado.