Option Care Health (NASDAQ:OPCH) & Guardian Pharmacy Services (NYSE:GRDN) Critical Survey

Guardian Pharmacy Services (NYSE:GRDN – Get Free Report) and Option Care Health (NASDAQ:OPCH – Get Free Report) are both mid-cap healthcare companies, but which is the better business? We will compare the two businesses based on the strength of their analyst recommendations, risk, earnings, dividends, institutional ownership, profitability and valuation.

Volatility & Risk

Guardian Pharmacy Services has a beta of 0.03, indicating that its share price is 97% less volatile than the S&P 500. Comparatively, Option Care Health has a beta of 0.58, indicating that its share price is 42% less volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Guardian Pharmacy Services and Option Care Health, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Guardian Pharmacy Services 0 1 9 0 2.90
Option Care Health 0 13 3 0 2.19

Guardian Pharmacy Services currently has a consensus price target of $45.57, suggesting a potential upside of 12.13%. Option Care Health has a consensus price target of $29.70, suggesting a potential downside of 4.22%. Given Guardian Pharmacy Services’ stronger consensus rating and higher possible upside, research analysts plainly believe Guardian Pharmacy Services is more favorable than Option Care Health.

Profitability

This table compares Guardian Pharmacy Services and Option Care Health’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Guardian Pharmacy Services 4.50% 29.97% 16.18%
Option Care Health 3.68% 18.74% 7.25%

Institutional and Insider Ownership

98.0% of Option Care Health shares are owned by institutional investors. 33.0% of Guardian Pharmacy Services shares are owned by company insiders. Comparatively, 1.7% of Option Care Health shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Earnings and Valuation

This table compares Guardian Pharmacy Services and Option Care Health”s top-line revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Guardian Pharmacy Services $1.45 billion 1.40 $49.22 million $1.03 39.46
Option Care Health $5.65 billion 0.82 $207.59 million $1.33 23.32

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

Summary

Guardian Pharmacy Services beats Option Care Health on 9 of the 14 factors compared between the two stocks.

About Guardian Pharmacy Services

(Get Free Report)

Guardian Pharmacy Services, Inc., a pharmacy service company, provides a suite of technology-enabled services designed to help residents of long-term health care facilities (LTCFs) in the United States. Its individualized clinical, drug dispensing, and administration capabilities are used to serve the needs of residents in lower acuity LTCFs, such as assisted living facilities and behavioral health facilities and group homes. The company’s Guardian Compass includes dashboards created using data from its data warehouse to help its local pharmacies plan, track, and optimize their business operations; and GuardianShield Programs for LTCFs. The company was founded in 2003 and is based in Atlanta, Georgia.

About Option Care Health

(Get Free Report)

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.

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