MREO vs. ARWR

Last updated Jun 3, 2026

MREO (Mereo BioPharma Group plc) and ARWR (Arrowhead Pharmaceuticals, Inc.) are both stocks. Both operate in the Biotechnology industry within the Healthcare sector. Over the past 5 years, MREO returned -37.64%/yr vs -0.47%/yr for ARWR. At a 0.29 correlation, their price movements are largely independent.

Performance

MREO vs. ARWR - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Mereo BioPharma Group plc (MREO) and Arrowhead Pharmaceuticals, Inc. (ARWR). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, MREO achieves a -18.55% return, which is significantly lower than ARWR's 6.67% return.

MREO

• 1D: 10.27%
• 1M: 30.54%
• YTD: -18.55%
• 6M: -80.61%
• 1Y: -86.69%
• 3Y*: -31.59%
• 5Y*: -37.64%
• 10Y*: —

ARWR

• 1D: -5.82%
• 1M: -5.33%
• YTD: 6.67%
• 6M: 22.21%
• 1Y: 331.83%
• 3Y*: 25.24%
• 5Y*: -0.47%
• 10Y*: 27.74%

*Multi-year figures are annualized to reflect compound growth (CAGR)

MREO vs. ARWR - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019
MREO Mereo BioPharma Group plc	-18.55%	-88.09%	51.52%	208.00%	-53.12%	-55.31%	9.15%	-49.54%
ARWR Arrowhead Pharmaceuticals, Inc.	6.67%	253.14%	-38.56%	-24.56%	-38.82%	-13.59%	20.97%	234.90%

Correlation

The correlation between MREO and ARWR is 0.25, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.25
Correlation (3Y) Calculated over the trailing 3-year period	0.27
Correlation (5Y) Calculated over the trailing 5-year period	0.32
Correlation (All Time) Calculated using the full available price history since Apr 25, 2019	0.29

Fundamentals

Market Cap MREO : $54.43M ARWR : $10.09B
EPS MREO : -$0.22 ARWR : -$2.16
PS Ratio MREO : 108.55 ARWR : 15.88
PB Ratio MREO : 1.60 ARWR : 16.84
Total Revenue (TTM) MREO : $500.00K ARWR : $622.01M
Gross Profit (TTM) MREO : $366.00K ARWR : $529.27M
EBITDA (TTM) MREO : -$39.61M ARWR : -$168.38M

Return for Risk

MREO vs. ARWR — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

MREO

MREO Risk / Return Rank: 14
MREO Sharpe Ratio Rank: 13
MREO Sortino Ratio Rank: 24
MREO Omega Ratio Rank: 21
MREO Calmar Ratio Rank: 5
MREO Martin Ratio Rank: 9

ARWR

ARWR Risk / Return Rank: 97
ARWR Sharpe Ratio Rank: 98
ARWR Sortino Ratio Rank: 97
ARWR Omega Ratio Rank: 95
ARWR Calmar Ratio Rank: 98
ARWR Martin Ratio Rank: 98

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

MREO vs. ARWR - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Mereo BioPharma Group plc (MREO) and Arrowhead Pharmaceuticals, Inc. (ARWR). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	MREO	ARWR	Difference
Sharpe ratio Return per unit of total volatility	-0.65	5.14	-5.79
Sortino ratio Return per unit of downside risk	-0.25	4.66	-4.91
Omega ratio Gain probability vs. loss probability	0.95	1.59	-0.64
Calmar ratio Return relative to maximum drawdown	-0.92	13.82	-14.74
Martin ratio Return relative to average drawdown	-1.35	38.04	-39.39
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

MREO vs. ARWR - Sharpe Ratio Comparison

The current MREO Sharpe Ratio is -0.65, which is lower than the ARWR Sharpe Ratio of 5.14. The chart below compares the historical Sharpe Ratios of MREO and ARWR, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	MREO	ARWR	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	-0.65	5.14	-5.79
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	-0.38	-0.01	-0.37
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.38	—
Sharpe Ratio (All Time) Calculated using the full available price history	-0.30	-0.01	-0.29

Drawdowns

MREO vs. ARWR - Drawdown Comparison

The maximum MREO drawdown since its inception was -96.35%, roughly equal to the maximum ARWR drawdown of -99.24%. Use the drawdown chart below to compare losses from any high point for MREO and ARWR.

Drawdown Indicators

	MREO	ARWR	Difference
Max Drawdown Largest peak-to-trough decline	-96.35%	-99.24%	+2.89%
Max Drawdown (1Y) Largest decline over 1 year	-91.93%	-24.64%	-67.29%
Max Drawdown (3Y) Largest decline over 3 years	-95.13%	-74.70%	-20.43%
Max Drawdown (5Y) Largest decline over 5 years	-95.13%	-88.94%	-6.19%
Max Drawdown (10Y) Largest decline over 10 years	—	-88.96%	—
Current Drawdown Current decline from peak	-94.78%	-56.42%	-38.36%
Average Drawdown Average peak-to-trough decline	-65.88%	-81.25%	+15.37%
Ulcer Index Depth and duration of drawdowns from previous peaks	62.41%	8.96%	+53.45%

Volatility

MREO vs. ARWR - Volatility Comparison

Mereo BioPharma Group plc (MREO) has a higher volatility of 37.15% compared to Arrowhead Pharmaceuticals, Inc. (ARWR) at 17.12%. This indicates that MREO's price experiences larger fluctuations and is considered to be riskier than ARWR based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	MREO	ARWR	Difference
Volatility (1M) Calculated over the trailing 1-month period	37.15%	17.12%	+20.03%
Volatility (6M) Calculated over the trailing 6-month period	224.43%	39.85%	+184.58%
Volatility (1Y) Calculated over the trailing 1-year period	135.47%	65.02%	+70.45%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	100.56%	65.02%	+35.54%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	113.69%	74.15%	+39.54%

Dividends

MREO vs. ARWR - Dividend Comparison

Neither MREO nor ARWR has paid dividends to shareholders.

Tickers have no history of dividend payments

Financials

Frequently Asked Questions

Can I hold both MREO and ARWR in my portfolio?

MREO and ARWR have a correlation of 0.25, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, MREO or ARWR?

MREO has higher volatility (37.15%) compared to ARWR (17.12%). In terms of maximum drawdown, MREO dropped -96.35% vs ARWR's -99.24%.

Which has better risk-adjusted returns?

ARWR currently has the higher Sharpe Ratio (5.14 vs -0.65), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.