Oscar Health (NYSE:OSCR – Get Free Report) and Option Care Health (NASDAQ:OPCH – Get Free Report) are both mid-cap healthcare companies, but which is the superior investment? We will compare the two businesses based on the strength of their dividends, analyst recommendations, earnings, institutional ownership, valuation, profitability and risk.
Analyst Recommendations
This is a breakdown of current recommendations and price targets for Oscar Health and Option Care Health, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Oscar Health | 0 | 8 | 3 | 1 | 2.42 |
| Option Care Health | 0 | 7 | 7 | 0 | 2.50 |
Oscar Health currently has a consensus target price of $26.22, indicating a potential downside of 17.57%. Option Care Health has a consensus target price of $29.92, indicating a potential upside of 26.26%. Given Option Care Health’s stronger consensus rating and higher probable upside, analysts clearly believe Option Care Health is more favorable than Oscar Health.
Valuation & Earnings
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Oscar Health | $11.70 billion | 0.84 | -$443.15 million | $1.40 | 22.72 |
| Option Care Health | $5.65 billion | 0.63 | $207.59 million | $1.33 | 17.82 |
Option Care Health has lower revenue, but higher earnings than Oscar Health. Option Care Health is trading at a lower price-to-earnings ratio than Oscar Health, indicating that it is currently the more affordable of the two stocks.
Institutional and Insider Ownership
75.7% of Oscar Health shares are held by institutional investors. Comparatively, 98.0% of Option Care Health shares are held by institutional investors. 22.6% of Oscar Health shares are held by company insiders. Comparatively, 1.7% of Option Care Health shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.
Profitability
This table compares Oscar Health and Option Care Health’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Oscar Health | 3.60% | 38.45% | 6.76% |
| Option Care Health | 3.68% | 18.74% | 7.25% |
Volatility and Risk
Oscar Health has a beta of 2.36, suggesting that its stock price is 136% more volatile than the S&P 500. Comparatively, Option Care Health has a beta of 0.65, suggesting that its stock price is 35% less volatile than the S&P 500.
Summary
Oscar Health beats Option Care Health on 8 of the 15 factors compared between the two stocks.
About Oscar Health
Oscar Health, Inc. operates as a health insurance in the United States. The company offers health plans in individual and small group markets, as well as +Oscar, a technology driven platform that help providers and payors directly enable their shift to value-based care. It also provides reinsurance products. The company was formerly known as Mulberry Health Inc. and changed its name to Oscar Health, Inc. in January 2021. Oscar Health, Inc. was incorporated in 2012 and is headquartered in New York, New York.
About Option Care Health
Option Care Health, Inc. offers home and alternate site infusion services in the United States. The company provides anti-infective therapies; home infusion services to treat heart failures; home parenteral nutrition and enteral nutrition support services for numerous acute and chronic conditions, such as stroke, cancer, and gastrointestinal diseases; immunoglobulin infusion therapies for the treatment of immune deficiencies; and treatments for chronic inflammatory disorders, including crohn’s disease, plaque psoriasis, psoriatic arthritis, rheumatoid arthritis, ulcerative colitis, and other chronic inflammatory disorders. It also offers treatments to manage the progression of neurological disorders, such as multiple sclerosis, duchenne muscular dystrophy, and other neurological disorder; infusion therapies for bleeding disorders, such as hemophilia and von Willebrand diseases; therapies for women with high-risk pregnancies; and other infusion therapies to treat various conditions, including pain management, chemotherapy, and respiratory medications, as well as nursing services. The company markets its services through patient referrals, including physicians, hospital discharge planners, hospital personnel, health maintenance organizations, and preferred provider organizations. Option Care Health, Inc. is headquartered in Bannockburn, Illinois.
Receive News & Ratings for Oscar Health Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Oscar Health and related companies with MarketBeat.com's FREE daily email newsletter.
