One of my prior posts has this url regarding antennas. http://www.miklor.com/COM/pdf/AntennaTestingW9MDB.pdf
This and other links have plenty of information about what antennas perform best. Note that this will be for 2Meters (146 mhz). A highly tuned 146mhz antenna might be great for 142-148mhz and not be as good on 158mhz. When I make antennas I cut them a little shorter and tune them to work for 151mhz as well as 146mhz. You need a SWR meter to do this without potentially ruining the antenna.
But if you get any of the decent antennas they should work well. I really like the SMA-24 for Yaesus or 24J for Baofengs. But the latest Baofengs come with a pretty good antenna.
Get the squelch down to 1 or possibly even 0. Squelch has no impact on what you transmit but it filters out weaker signals for reception. Squelch of 0 provides full range reception but it might also have some noise. You turn squelch up until you get rid of background noise and no more than that. It is a noise filter. If squelch of 1 gets rid of most background noise keep it there. Anything more than 2 or 3 will start reducing range and general signal reception.
Set the bandwidth to narrow Not wide. Nothing in the US uses wide band any more. It is actually a waste of energy and illegal to transmit on wide band. You just receive and transmit more noise and junk with things set wide band. The only reason why wide might improve reception is if one or the other radios is mistuned (which I doubt).
You also want to set the step to 5k so you can tune any frequncies you want to. If you have it at 25 it might bump you to a frequency that is offset from what you want to tune. There is nothing that 25k would do do improve anything.
It is great to learn about settings, but the easiest thing to do is have me program the radio so it is set the same as everyone elses.
One last possibility though is based on antenna cheapness. Stock antennas are cheap and it could well be that the wire in one of them broke and isn't working well. You can try to test it as suggested (swap with the other radio and see if the "better" radio has changed). Or you can get a better antenna (or borrow one) and hear if that makes a difference.
Lastly, while I expect good quality from a Yaesu or Kenwood radio, the Baofengs are cheap and it could be one of them isn't tuned properly or has a defective part.