Head to Head Survey: NeueHealth (NYSE:NEUE) and Organon & Co. (NYSE:OGN)

NeueHealth (NYSE:NEUE) and Organon & Co. (NYSE:OGN) are both medical companies, but which is the superior stock? We will compare the two businesses based on the strength of their analyst recommendations, institutional ownership, dividends, risk, valuation, profitability and earnings.

Profitability

This table compares NeueHealth and Organon & Co.’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
NeueHealth	-9.08%	N/A	-13.01%
Organon & Co.	11.15%	163.88%	6.99%

Risk & Volatility

NeueHealth has a beta of 0.59, suggesting that its stock price is 41% less volatile than the S&P 500. Comparatively, Organon & Co. has a beta of 0.63, suggesting that its stock price is 37% less volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for NeueHealth and Organon & Co., as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
NeueHealth	1	1	0	0	1.50
Organon & Co.	1	2	2	1	2.50

NeueHealth presently has a consensus price target of $7.00, suggesting a potential upside of 3.66%. Organon & Co. has a consensus price target of $17.33, suggesting a potential upside of 57.22%. Given Organon & Co.’s stronger consensus rating and higher possible upside, analysts plainly believe Organon & Co. is more favorable than NeueHealth.

Insider & Institutional Ownership

63.9% of NeueHealth shares are held by institutional investors. Comparatively, 77.4% of Organon & Co. shares are held by institutional investors. 63.3% of NeueHealth shares are held by company insiders. Comparatively, 2.0% of Organon & Co. shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Valuation and Earnings

This table compares NeueHealth and Organon & Co.”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
NeueHealth	$890.44 million	0.07	-$134.68 million	($15.97)	-0.42
Organon & Co.	$6.40 billion	0.45	$864.00 million	$2.69	4.10

Organon & Co. has higher revenue and earnings than NeueHealth. NeueHealth is trading at a lower price-to-earnings ratio than Organon & Co., indicating that it is currently the more affordable of the two stocks.

Summary

Organon & Co. beats NeueHealth on 14 of the 15 factors compared between the two stocks.

About NeueHealth

NeueHealth, Inc., a healthcare company, provides various healthcare services for health consumers, providers, and payors in the United States. It operates through two segments: NeueCare and NeueSolutions. The NeueCare segment delivers healthcare services to ACA marketplace, medicare, and medicaid through owned and affiliated clinics. It operates risk-bearing clinics under the Centrum Health, AssociatesMD, and Premier Medical Associates brand names. The company also offers integrated system care solution, such as embedded pharmacy, laboratory, radiology, and population health focused specialty services; and chronic care management, transitions of care, and referral management services. The NeueSolutions segment enables providers and medical groups to succeed in performance-based arrangements; and participates in the centers for healthcare access to medicare beneficiaries. The company was formerly known as Bright Health Group, Inc. and changed its name to NeueHealth, Inc. in January 2024. NeueHealth, Inc. was incorporated in 2015 and is headquartered in Doral, Florida.

About Organon & Co.

Organon & Co. is a science based global pharmaceutical company, which develops and delivers innovative health solutions through a portfolio of prescription therapies within women’s health, biosimilars and established brands. The company was founded on March 11, 2020, and is headquartered in Jersey City, NJ.