Analyzing Elevance Health (NYSE:ELV) and Pacific Health Care Organization (OTCMKTS:PFHO)

Elevance Health (NYSE:ELV) and Pacific Health Care Organization (OTCMKTS:PFHO) are both medical companies, but which is the better investment? We will compare the two companies based on the strength of their earnings, institutional ownership, analyst recommendations, risk, valuation, dividends and profitability.

Analyst Ratings

This is a breakdown of recent ratings for Elevance Health and Pacific Health Care Organization, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Elevance Health	0	2	10	0	2.83
Pacific Health Care Organization	0	0	0	0	N/A

Elevance Health presently has a consensus price target of $565.82, suggesting a potential upside of 21.58%. Given Elevance Health’s higher possible upside, analysts clearly believe Elevance Health is more favorable than Pacific Health Care Organization.

Volatility and Risk

Elevance Health has a beta of 0.84, meaning that its share price is 16% less volatile than the S&P 500. Comparatively, Pacific Health Care Organization has a beta of 0.14, meaning that its share price is 86% less volatile than the S&P 500.

Insider & Institutional Ownership

87.8% of Elevance Health shares are owned by institutional investors. Comparatively, 5.5% of Pacific Health Care Organization shares are owned by institutional investors. 0.4% of Elevance Health shares are owned by company insiders. Comparatively, 61.6% of Pacific Health Care Organization shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Profitability

This table compares Elevance Health and Pacific Health Care Organization’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Elevance Health	3.61%	20.71%	7.24%
Pacific Health Care Organization	8.70%	4.35%	4.06%

Valuation & Earnings

This table compares Elevance Health and Pacific Health Care Organization’s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Elevance Health	$168.62 billion	0.65	$6.03 billion	$25.47	18.27
Pacific Health Care Organization	$5.74 million	1.56	$490,000.00	$0.03	23.34

Elevance Health has higher revenue and earnings than Pacific Health Care Organization. Elevance Health is trading at a lower price-to-earnings ratio than Pacific Health Care Organization, indicating that it is currently the more affordable of the two stocks.

Summary

Elevance Health beats Pacific Health Care Organization on 9 of the 13 factors compared between the two stocks.

About Elevance Health

Elevance Health, Inc. operates as a health benefits company. The company operates through four segments: Commercial & Specialty Business, Government Business, CarelonRx, and Other. It supports consumers, families, and communities across the entire care journey connecting to the care, support, and resources to lead healthier lives. It serves people through a portfolio of medical, digital, pharmacy, behavioral, clinical, and care solutions. The company was formerly known as Anthem, Inc. and changed its name to Elevance Health, Inc. in June 2022. Elevance Health, Inc. was founded in 1944 and is based in Indianapolis, Indiana.

About Pacific Health Care Organization

Pacific Health Care Organization, Inc., together with its subsidiaries, operates as a specialty workers' compensation cost containment company in the United States. It is involved in managing and administering health care organizations (HCOs) and medical provider networks (MPNs). The company also provides claims-related services, including utilization review, medical case management, medical bill review, lien representation, workers' compensation carve-outs, expert witness testimony, and Medicare set-aside services. It serves self-administered employers, insurers, third-party administrators, municipalities, and others. The company was formerly known as Clear Air, Inc. and changed its name to Pacific Health Care Organization, Inc. in January 2001. Pacific Health Care Organization, Inc. was incorporated in 1970 and is based in Irvine, California.