Head-To-Head Review: InnovAge (INNV) vs. The Competition

InnovAge (NASDAQ:INNV) is one of 233 public companies in the “Healthcare Providers & Services” industry, but how does it contrast to its peers? We will compare InnovAge to similar businesses based on the strength of its dividends, risk, valuation, institutional ownership, earnings, profitability and analyst recommendations.

Analyst Ratings

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

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
InnovAge	1	2	1	0	2.00
InnovAge Competitors	1863	7734	13360	822	2.55

InnovAge currently has a consensus price target of $10.50, suggesting a potential upside of 12.06%. As a group, “Healthcare Providers & Services” companies have a potential upside of 13.01%. Given InnovAge’s peers stronger consensus rating and higher possible upside, analysts clearly believe InnovAge has less favorable growth aspects than its peers.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
InnovAge	0.88%	3.63%	1.64%
InnovAge Competitors	-8.06%	-138.13%	-1.54%

Institutional & Insider Ownership

12.3% of InnovAge shares are owned by institutional investors. Comparatively, 56.7% of shares of all “Healthcare Providers & Services” companies are owned by institutional investors. 1.1% of InnovAge shares are owned by company insiders. Comparatively, 15.0% of shares of all “Healthcare Providers & Services” companies are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Earnings and Valuation

This table compares InnovAge and its peers gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
InnovAge	$989.71 million	-$2.54 million	156.17
InnovAge Competitors	$21.13 billion	$301.67 million	7.14

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

Risk & Volatility

InnovAge has a beta of 0.16, meaning that its stock price is 84% less volatile than the S&P 500. Comparatively, InnovAge’s peers have a beta of 0.98, meaning that their average stock price is 2% less volatile than the S&P 500.

Summary

InnovAge peers beat InnovAge on 9 of the 13 factors compared.

About InnovAge

InnovAge, Inc. provides integrated healthcare and social services to older adults through the Program of All-Inclusive Care for the Elderly (PACE). The program serves people who qualify for nursing-home-level care but can continue living in their communities with coordinated support. InnovAge’s services include primary and specialty care coordination, nursing, rehabilitation, social services, prescription medications, transportation, in-home assistance and adult day health services. Care is coordinated by interdisciplinary teams and delivered through a combination of community-based centers and support at home.