Investors in the medical sector are weighing the strengths of two notable companies: Agilon Health and Amplifon. Both firms operate in the healthcare industry, but they offer different services and financial profiles. A thorough comparison reveals insights into their valuations, earnings, dividends, and institutional ownership.
Profitability and Financial Metrics
Analyzing the profitability of both companies highlights key differences. Agilon Health and Amplifon can be compared based on their net margins, return on equity, and return on assets. While Amplifon shows higher earnings, it has lower revenue than Agilon Health, suggesting a more efficient profit generation.
In terms of valuation, Agilon Health trades at a lower price-to-earnings ratio compared to Amplifon, indicating it could be a more affordable investment option at this time. This metric is crucial for potential investors considering entry points into either stock.
Analyst Insights and Market Risk
Market analysts provide insights into the potential future performance of these companies. According to MarketBeat, Agilon Health currently holds a consensus price target of $2.71, which translates to a potential upside of 277.73%. This significant upside leads analysts to favor Agilon Health over Amplifon.
When assessing market risk, Agilon Health exhibits a beta of 0.06, reflecting a share price that is 94% less volatile than the S&P 500. In contrast, Amplifon has a beta of 0.45, indicating it is 55% less volatile than the S&P 500. These figures suggest that Agilon Health may represent a safer investment during turbulent market conditions.
Overall, while Amplifon outperforms Agilon Health in nine out of twelve evaluated factors, the latter’s potential for growth and stability cannot be overlooked. Investors should weigh these variables carefully when making decisions.
Company Profiles
Agilon Health, founded in 2016 and based in Austin, Texas, specializes in providing healthcare services for seniors through primary care physicians. The company operates on a subscription model, managing comprehensive healthcare needs for patients on a per-member, per-month basis. Its name was officially changed from Agilon Health Topco, Inc. in March 2021.
Amplifon S.p.A., established in 1950 and headquartered in Milan, Italy, focuses on the distribution of hearing solutions and customized products. The company offers a range of hearing devices, including Ampli-easy and Ampli-connect, as well as a platform called Ampli-care to enhance audiological care. Their technology also includes the Amplifon App, which allows users to manage device functions directly from their smartphones.
In summary, both Agilon Health and Amplifon present unique opportunities and challenges for investors. While Amplifon has a stronger market presence in terms of profitability, Agilon Health’s potential for growth makes it a contender worth considering.
