Head-To-Head Analysis: InnovAge (NASDAQ:INNV) and Concentra Group Holdings Parent (NYSE:CON)

InnovAge (NASDAQ:INNV) and Concentra Group Holdings Parent (NYSE:CON) are both healthcare companies, but which is the better business? We will contrast the two businesses based on the strength of their risk, profitability, analyst recommendations, institutional ownership, earnings, valuation and dividends.

Volatility and Risk

InnovAge has a beta of 0.39, indicating that its share price is 61% less volatile than the S&P 500. Comparatively, Concentra Group Holdings Parent has a beta of 0.61, indicating that its share price is 39% less volatile than the S&P 500.

Institutional and Insider Ownership

12.3% of InnovAge shares are owned by institutional investors. 1.0% of InnovAge shares are owned by company insiders. Comparatively, 8.1% of Concentra Group Holdings Parent shares are owned by company 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 Ratings

This is a summary of current ratings and recommmendations for InnovAge and Concentra Group Holdings Parent, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
InnovAge	2	1	0	0	1.33
Concentra Group Holdings Parent	0	1	7	0	2.88

InnovAge presently has a consensus price target of $7.00, suggesting a potential downside of 35.78%. Concentra Group Holdings Parent has a consensus price target of $34.60, suggesting a potential upside of 1.70%. Given Concentra Group Holdings Parent’s stronger consensus rating and higher probable upside, analysts clearly believe Concentra Group Holdings Parent is more favorable than InnovAge.

Profitability

This table compares InnovAge and Concentra Group Holdings Parent’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
InnovAge	-1.22%	-4.73%	-2.20%
Concentra Group Holdings Parent	8.69%	47.81%	7.04%

Earnings and Valuation

This table compares InnovAge and Concentra Group Holdings Parent”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
InnovAge	$853.70 million	1.73	-$30.31 million	($0.09)	-121.11
Concentra Group Holdings Parent	$2.16 billion	2.01	$166.41 million	$1.55	21.95

Concentra Group Holdings Parent has higher revenue and earnings than InnovAge. InnovAge is trading at a lower price-to-earnings ratio than Concentra Group Holdings Parent, indicating that it is currently the more affordable of the two stocks.

Summary

Concentra Group Holdings Parent beats InnovAge on 13 of the 14 factors compared between the two stocks.

About InnovAge

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 its homes and communities. The company manages its business through Program of All-Inclusive Care for the Elderly (PACE) approach. It also 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. The company serves participants in the United States; and operates PACE centers in Colorado, California, New Mexico, Pennsylvania, Florida, 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.

About Concentra Group Holdings Parent

Concentra Group Holdings Parent, Inc. provides occupational health services in the United States. The company offers occupational and consumer health services, including workers’ compensation injury care, urgent care, clinical testing, preventative care, and employer services, as well as wellness programs through occupational health centers and onsite clinics. It also provides Concentra Telemed, a telemedicine solution for the treatment of work-related injuries and illnesses, and employer services; pharmacy solution under the Concentra Pharmacy name; and Concentra Medical Compliance Administration, a third-party administrator that helps to manage abuse testing programs for employers with regulated or non-regulated workforces. The company was founded in 1979 and is based in Mechanicsburg, Pennsylvania. Concentra Group Holdings Parent, Inc. is a subsidiary of Select Medical Corporation.