Universal Health Services (NYSE:UHS – Get Free Report) and NeoGenomics (NASDAQ:NEO – Get Free Report) are both healthcare companies, but which is the superior stock? We will compare the two companies based on the strength of their dividends, risk, profitability, institutional ownership, earnings, analyst recommendations and valuation.
Institutional & Insider Ownership
86.0% of Universal Health Services shares are owned by institutional investors. Comparatively, 98.5% of NeoGenomics shares are owned by institutional investors. 17.1% of Universal Health Services shares are owned by company insiders. Comparatively, 1.1% of NeoGenomics shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.
Analyst Recommendations
This is a breakdown of current recommendations and price targets for Universal Health Services and NeoGenomics, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Universal Health Services | 1 | 11 | 6 | 0 | 2.28 |
| NeoGenomics | 1 | 3 | 8 | 0 | 2.58 |
Risk and Volatility
Universal Health Services has a beta of 1.11, meaning that its stock price is 11% more volatile than the S&P 500. Comparatively, NeoGenomics has a beta of 1.87, meaning that its stock price is 87% more volatile than the S&P 500.
Earnings and Valuation
This table compares Universal Health Services and NeoGenomics”s gross revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Universal Health Services | $17.36 billion | 0.66 | $1.49 billion | $23.91 | 8.15 |
| NeoGenomics | $727.33 million | 3.00 | -$108.03 million | ($0.25) | -67.36 |
Universal Health Services has higher revenue and earnings than NeoGenomics. NeoGenomics is trading at a lower price-to-earnings ratio than Universal Health Services, indicating that it is currently the more affordable of the two stocks.
Profitability
This table compares Universal Health Services and NeoGenomics’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Universal Health Services | 7.96% | 18.39% | 8.61% |
| NeoGenomics | -4.10% | -0.99% | -0.59% |
Summary
Universal Health Services beats NeoGenomics on 7 of the 13 factors compared between the two stocks.
About Universal Health Services
Universal Health Services, Inc., through its subsidiaries, owns and operates acute care hospitals, and outpatient and behavioral health care facilities. It operates through Acute Care Hospital Services and Behavioral Health Care Services segments. The company's hospitals offer general and specialty surgery, internal medicine, obstetrics, emergency room care, radiology, oncology, diagnostic and coronary care, pediatric services, pharmacy services, and/or behavioral health services. It also provides commercial health insurance services; and various management services, which include central purchasing, information, finance and control systems, facilities planning, physician recruitment, administrative personnel management, marketing, and public relations services. Universal Health Services, Inc. founded in 1978 and is headquartered in King of Prussia, Pennsylvania.
About NeoGenomics
NeoGenomics, Inc. operates a network of cancer-focused testing laboratories in the United States and the United Kingdom. It operates through Clinical Services and Advanced Diagnostics segments. The company offers testing services to hospitals, academic centers, pathologists, oncologists, clinicians, pharmaceutical companies, and clinical laboratories. It also provides cytogenetics testing services to study normal and abnormal chromosomes and their relationship to diseases; fluorescence in-situ hybridization testing services that focus on detecting and locating the presence or absence of specific DNA sequences and genes on chromosomes; flow cytometry testing services to measure the characteristics of cell populations; and immunohistochemistry and digital imaging testing services to localize cellular proteins in tissue section, as well as to allow clients to visualize scanned slides, and perform quantitative analysis for various stains. In addition, the company also provides molecular testing services, which focus on the analysis of DNA and/or RNA, and the structure and function of genes at the molecular level; morphologic analysis, which is the process of analyzing cells under the microscope by a pathologist for the purpose of diagnosis; and testing services in support of its pharmaceutical clients' oncology programs covering discovery and commercialization. NeoGenomics, Inc. was founded in 2001 and is headquartered in Fort Myers, Florida.
Receive News & Ratings for Universal Health Services Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Universal Health Services and related companies with MarketBeat.com's FREE daily email newsletter.
