Reviewing Addus HomeCare (NASDAQ:ADUS) & Astrana Health (NASDAQ:ASTH)

Addus HomeCare (NASDAQ:ADUS) and Astrana Health (NASDAQ:ASTH) are both small-cap medical companies, but which is the superior stock? We will compare the two businesses based on the strength of their analyst recommendations, dividends, valuation, institutional ownership, earnings, profitability and risk.

Earnings and Valuation

This table compares Addus HomeCare and Astrana Health”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Addus HomeCare	$1.15 billion	1.73	$73.60 million	$4.53	23.86
Astrana Health	$2.03 billion	0.80	$43.15 million	$0.51	57.02

Addus HomeCare has higher earnings, but lower revenue than Astrana Health. Addus HomeCare is trading at a lower price-to-earnings ratio than Astrana Health, indicating that it is currently the more affordable of the two stocks.

Volatility & Risk

Addus HomeCare has a beta of 0.85, indicating that its stock price is 15% less volatile than the S&P 500. Comparatively, Astrana Health has a beta of 0.85, indicating that its stock price is 15% less volatile than the S&P 500.

Institutional and Insider Ownership

95.4% of Addus HomeCare shares are held by institutional investors. Comparatively, 52.8% of Astrana Health shares are held by institutional investors. 4.5% of Addus HomeCare shares are held by insiders. Comparatively, 20.0% of Astrana Health shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Analyst Recommendations

This is a summary of recent recommendations and price targets for Addus HomeCare and Astrana Health, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Addus HomeCare	1	0	7	2	3.00
Astrana Health	1	3	6	0	2.50

Addus HomeCare presently has a consensus target price of $138.89, suggesting a potential upside of 28.48%. Astrana Health has a consensus target price of $53.29, suggesting a potential upside of 83.24%. Given Astrana Health’s higher possible upside, analysts plainly believe Astrana Health is more favorable than Addus HomeCare.

Profitability

This table compares Addus HomeCare and Astrana Health’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Addus HomeCare	6.51%	9.39%	6.86%
Astrana Health	1.04%	3.43%	1.87%

Summary

Addus HomeCare beats Astrana Health on 10 of the 14 factors compared between the two stocks.

About Addus HomeCare

Addus HomeCare Corporation, together with its subsidiaries, provides personal care services to elderly, chronically ill, disabled persons, and individuals who are at risk of hospitalization or institutionalization in the United States. The company operates through three segments: Personal Care, Hospice, and Home Health. The Personal Care segment provides non-medical assistance with activities of daily living. This segment offers services that include assistance with bathing, grooming, oral care, feeding and dressing, medication reminders, meal planning and preparation, housekeeping, and transportation services. The Hospice segment provides palliative nursing care, social work, spiritual counseling, homemaker, and bereavement counseling services for people who are terminally ill, as well as related services for their families. The Home Health segment offers skilled nursing and physical, occupational, and speech therapy for the individuals who requires assistance during an illness or after hospitalization. The company's payor clients include federal, state, and local governmental agencies; managed care organizations; commercial insurers; and private individuals. Addus HomeCare Corporation was founded in 1979 and is headquartered in Frisco, Texas.

About Astrana Health

Astrana Health, Inc., Inc., a physician-centric technology-powered healthcare management company, provides medical care services in the United States. It operates through three segments: Care Partners, Care Delivery, and Care Enablement. The company is leveraging its proprietary population health management and healthcare delivery platform, operates an integrated, value-based healthcare model which empowers the providers in its network to deliver care to its patients. It offers care coordination services to patients, families, primary care physicians, specialists, acute care hospitals, alternative sites of inpatient care, physician groups, and health plans. The company's physician network consists of primary care physicians, specialist physicians and extenders, and hospitalists. It serves patients, primarily covered by private or public insurance, such as Medicare, Medicaid, and health maintenance organization plans; and non-insured patients. The company was formerly known as Apollo Medical Holdings, Inc. and changed its name to Astrana Health, Inc. in February 2024. Astrana Health, Inc. was incorporated in 1985 and is headquartered in Alhambra, California.