Acadia Healthcare (NASDAQ: ACHC) and Davita (NYSE:DVA) are both mid-cap medical companies, but which is the better business? We will contrast the two companies based on the strength of their analyst recommendations, risk, dividends, profitability, earnings, valuation and institutional ownership.
Risk & Volatility
Acadia Healthcare has a beta of 0.9, meaning that its share price is 10% less volatile than the S&P 500. Comparatively, Davita has a beta of 0.96, meaning that its share price is 4% less volatile than the S&P 500.
This table compares Acadia Healthcare and Davita’s net margins, return on equity and return on assets.
||Return on Equity
||Return on Assets
Valuation & Earnings
This table compares Acadia Healthcare and Davita’s top-line revenue, earnings per share (EPS) and valuation.
||Earnings Per Share
Davita has higher revenue and earnings than Acadia Healthcare. Acadia Healthcare is trading at a lower price-to-earnings ratio than Davita, indicating that it is currently the more affordable of the two stocks.
This is a summary of recent ratings for Acadia Healthcare and Davita, as reported by MarketBeat.com.
||Strong Buy Ratings
Acadia Healthcare currently has a consensus target price of $42.73, suggesting a potential upside of 23.38%. Davita has a consensus target price of $78.22, suggesting a potential downside of 1.15%. Given Acadia Healthcare’s higher probable upside, analysts plainly believe Acadia Healthcare is more favorable than Davita.
Insider & Institutional Ownership
87.9% of Davita shares are held by institutional investors. 11.1% of Acadia Healthcare shares are held by company insiders. Comparatively, 2.1% of Davita shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.
Davita beats Acadia Healthcare on 10 of the 15 factors compared between the two stocks.
Acadia Healthcare Company Profile
Acadia Healthcare Company, Inc. is a provider of behavioral healthcare services, with operations in the United States and the United Kingdom. The Company focuses on acquiring and developing behavioral healthcare facilities. The Company operates through two segments: U.S. Facilities and U.K. Facilities. The Company is engaged in operating acute inpatient psychiatric facilities, specialty treatment facilities, residential treatment centers and facilities providing outpatient behavioral healthcare services. As of December 31, 2016, the U.S. Facilities segment included 208 behavioral healthcare facilities with approximately 8,500 beds in 39 states and Puerto Rico, and the U.K. Facilities segment included 365 behavioral healthcare facilities with approximately 8,600 beds in the United Kingdom. As of December 31, 2016, the Company had operated 573 behavioral healthcare facilities with approximately 17,100 beds in 39 states, the United Kingdom and Puerto Rico.
Davita Company Profile
DaVita Inc., formerly DaVita HealthCare Partners Inc., operates two divisions: DaVita Kidney Care (Kidney Care) and DaVita Medical Group (DMG). The Kidney Care division consists of its the United States dialysis and related lab services, its ancillary services and strategic initiatives, including its international operations, and its corporate administrative support. Its DMG division is a patient- and physician-focused integrated healthcare delivery and management company that provides medical services to members through capitation contracts. Its segments include U.S. dialysis and related lab services, DMG, and Other-Ancillary services and strategic initiatives. Its U.S. dialysis and related lab services line of business provide kidney dialysis services in the United States for patients suffering from chronic kidney failure, also known as end stage renal disease (ESRD). As of December 31, 2016, it had operated or provided administrative services to 154 outpatient dialysis centers.
Receive News & Ratings for Acadia Healthcare Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Acadia Healthcare and related companies with MarketBeat.com's FREE daily email newsletter.