InnovAge (INNV) vs. The Competition Financial Review

InnovAge (NASDAQ:INNV) is one of 34 public companies in the “Health services” industry, but how does it weigh in compared to its rivals? We will compare InnovAge to similar companies based on the strength of its earnings, institutional ownership, dividends, valuation, analyst recommendations, profitability and risk.

Volatility and Risk

InnovAge has a beta of 0.16, meaning that its share price is 84% less volatile than the S&P 500. Comparatively, InnovAge’s rivals have a beta of 1.39, meaning that their average share price is 39% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent ratings and price targets for InnovAge and its rivals, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
InnovAge	0	0	0	0	N/A
InnovAge Competitors	10	164	302	0	2.61

As a group, “Health services” companies have a potential upside of 120.89%. Given InnovAge’s rivals higher possible upside, analysts plainly believe InnovAge has less favorable growth aspects than its rivals.

Earnings & Valuation

This table compares InnovAge and its rivals top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
InnovAge	$698.64 million	-$6.52 million	-17.29
InnovAge Competitors	$1.55 billion	-$99.65 million	10.88

InnovAge’s rivals have higher revenue, but lower earnings than InnovAge. InnovAge is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Profitability

This table compares InnovAge and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
InnovAge	-6.17%	-13.04%	-7.48%
InnovAge Competitors	-145.96%	-205.19%	-19.94%

Insider and Institutional Ownership

12.2% of InnovAge shares are held by institutional investors. Comparatively, 44.4% of shares of all “Health services” companies are held by institutional investors. 0.3% of InnovAge shares are held by insiders. Comparatively, 23.2% of shares of all “Health services” companies are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Summary

InnovAge rivals beat InnovAge on 6 of the 10 factors compared.

InnovAge Company Profile

InnovAge Holding Corp. manages and provides a range of medical and ancillary services for seniors in need of care and support to live independently in their homes and communities. It manages its business through Program of All-Inclusive Care for the Elderly (PACE) approach. The company offers in-home care services consisting of skilled, unskilled, and personal care; in-center services, such as primary care, physical therapy, occupational therapy, speech therapy, dental services, mental health and psychiatric services, meals, and activities; transportation to the PACE center and third-party medical appointments; and care management. As of June 30, 2022, it served approximately 6,650 PACE participants in the United States; and operates 18 PACE centers in Colorado, California, New Mexico, Pennsylvania, and Virginia. The company was formerly known as TCO Group Holdings, Inc. and changed its name to InnovAge Holding Corp. in January 2021. InnovAge Holding Corp. was founded in 2007 and is headquartered in Denver, Colorado.