UnitedHealth Group (NYSE:UNH) versus SBC Medical Group (NASDAQ:SBC) Financial Comparison

UnitedHealth Group (NYSE:UNH) and SBC Medical Group (NASDAQ:SBC) are both healthcare companies, but which is the superior stock? We will contrast the two businesses based on the strength of their earnings, dividends, institutional ownership, risk, profitability, analyst recommendations and valuation.

Risk & Volatility

UnitedHealth Group has a beta of 0.61, suggesting that its share price is 39% less volatile than the S&P 500. Comparatively, SBC Medical Group has a beta of 0.63, suggesting that its share price is 37% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of current recommendations and price targets for UnitedHealth Group and SBC Medical Group, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
UnitedHealth Group	0	7	19	1	2.78
SBC Medical Group	0	1	2	0	2.67

UnitedHealth Group currently has a consensus price target of $456.56, indicating a potential upside of 20.94%. SBC Medical Group has a consensus price target of $8.50, indicating a potential upside of 68.99%. Given SBC Medical Group’s higher possible upside, analysts clearly believe SBC Medical Group is more favorable than UnitedHealth Group.

Earnings and Valuation

This table compares UnitedHealth Group and SBC Medical Group”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
UnitedHealth Group	$447.57 billion	0.76	$12.06 billion	$15.54	24.29
SBC Medical Group	$173.61 million	2.98	$50.99 million	$0.47	10.70

UnitedHealth Group has higher revenue and earnings than SBC Medical Group. SBC Medical Group is trading at a lower price-to-earnings ratio than UnitedHealth Group, indicating that it is currently the more affordable of the two stocks.

Insider & Institutional Ownership

87.9% of UnitedHealth Group shares are owned by institutional investors. Comparatively, 60.8% of SBC Medical Group shares are owned by institutional investors. 0.2% of UnitedHealth Group shares are owned by insiders. Comparatively, 81.7% of SBC Medical Group shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Profitability

This table compares UnitedHealth Group and SBC Medical Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
UnitedHealth Group	3.14%	16.53%	5.43%
SBC Medical Group	27.99%	18.47%	13.10%

Summary

UnitedHealth Group beats SBC Medical Group on 8 of the 15 factors compared between the two stocks.

About UnitedHealth Group

UnitedHealth Group Incorporated operates as a diversified health care company in the United States. The company operates through four segments: UnitedHealthcare, Optum Health, Optum Insight, and Optum Rx. The UnitedHealthcare segment offers consumer-oriented health benefit plans and services for national employers, public sector employers, mid-sized employers, small businesses, and individuals; health care coverage, and health and well-being services to individuals age 50 and older addressing their needs; Medicaid plans, children's health insurance and health care programs; and health and dental benefits, and hospital and clinical services, as well as health care benefits products and services to state programs caring for the economically disadvantaged, medically underserved, and those without the benefit of employer-funded health care coverage. The Optum Health segment provides care delivery, care management, wellness and consumer engagement, and health financial services patients, consumers, care delivery systems, providers, employers, payers, and public-sector entities. The Optum Insight segment offers software and information products, advisory consulting arrangements, and managed services outsourcing contracts to hospital systems, physicians, health plans, governments, life sciences companies, and other organizations. The Optum Rx segment provides pharmacy care services and programs, including retail network contracting, home delivery, specialty and community health pharmacy services, infusion, and purchasing and clinical capabilities, as well as develops programs in the areas of step therapy, formulary management, drug adherence, and disease/drug therapy management. UnitedHealth Group Incorporated was founded in 1974 and is based in Minnetonka, Minnesota.

About SBC Medical Group

SBC Medical Group Holdings Incorporated, through its subsidiaries, provides services to support the operation of clinics which deliver specialized medical services in the areas of cosmetic medicine, esthetic dentistry and Androgenetic Alopecia or AGA, primarily in Japan and centered on the SBC Shonan Beauty Clinic Brand. SBC Medical Group Holdings Incorporated, formerly known as Pono Capital Two Inc., is based in TOKYO.