Critical Comparison: The Pennant Group (NASDAQ:PNTG) and New York Health Care (OTCMKTS:BBAL)

The Pennant Group (NASDAQ:PNTG) and New York Health Care (OTCMKTS:BBAL) are both medical companies, but which is the superior investment? We will compare the two companies based on the strength of their valuation, dividends, institutional ownership, profitability, earnings, analyst recommendations and risk.

Earnings & Valuation

This table compares The Pennant Group and New York Health Care”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
The Pennant Group	$695.24 million	1.18	$22.56 million	$0.76	31.26
New York Health Care	N/A	N/A	N/A	N/A	N/A

The Pennant Group has higher revenue and earnings than New York Health Care.

Insider and Institutional Ownership

85.9% of The Pennant Group shares are held by institutional investors. 5.4% of The Pennant Group shares are held by insiders. Comparatively, 6.7% of New York Health Care shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Profitability

This table compares The Pennant Group and New York Health Care’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
The Pennant Group	3.40%	10.73%	4.00%
New York Health Care	N/A	N/A	N/A

Analyst Recommendations

This is a summary of recent recommendations for The Pennant Group and New York Health Care, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
The Pennant Group	0	2	3	0	2.60
New York Health Care	0	0	0	0	0.00

The Pennant Group presently has a consensus price target of $33.80, indicating a potential upside of 42.26%. Given The Pennant Group’s stronger consensus rating and higher probable upside, equities analysts plainly believe The Pennant Group is more favorable than New York Health Care.

Summary

The Pennant Group beats New York Health Care on 8 of the 9 factors compared between the two stocks.

About The Pennant Group

The Pennant Group, Inc. provides healthcare services in the United States. It operates in two segments, Home Health and Hospice Services, and Senior Living Services. The company offers home health services, including clinical services, such as nursing, speech, occupational and physical therapy, medical social work, and home health aide services; and hospice services comprising clinical care, education, and counseling services for the physical, spiritual, and psychosocial needs of terminally ill patients and their families. It also provides senior living services, such as residential accommodations, activities, meals, housekeeping, and assistance in the activities of daily living to seniors who are independent or who require some support. The company operates home health, hospice, and home care agencies, as well as senior living communities throughout Arizona, California, Colorado, Idaho, Montana, Nevada, Oklahoma, Oregon, Texas, Utah, Washington, Wisconsin, and Wyoming. The Pennant Group, Inc. was incorporated in 2019 and is headquartered in Eagle, Idaho.

About New York Health Care

New York Health Care, Inc. operates as a home care services agency primarily in New York. The company offers various home care services, such as companionship services, homemaker/housekeeper staff, professional and practical nurses, home health aides, care givers, geriatric care, and dementia and alzheimer care services. It also provides insurance services. The company was founded in 1983 and is based in Valley Stream, New York.