Alignment Healthcare, Inc. (ALHC) vs Molina Healthcare, Inc (MOH)

Alignment Healthcare, Inc. and Molina Healthcare, Inc are both Healthcare Plans companies. Molina Healthcare, Inc is the larger, with a market value of $11.3B against $1.6B — 7.2× the size. Molina Healthcare, Inc has negative trailing earnings, so its P/E is not meaningful; Alignment Healthcare, Inc. trades at 48.4×. Alignment Healthcare, Inc. grew revenue faster over the last twelve months: 35.9% against −0.95%. Alignment Healthcare, Inc. has the higher net margin (0.59% vs −0.11%) and the higher return on invested capital (0.00% vs 0.00%). Across the 20 metrics below, Alignment Healthcare, Inc. leads on 15 and Molina Healthcare, Inc on 5.

Valuation

Metric ALHC MOH Healthcare Plans median
P/E 48.41 n/m 22.50
P/S 0.31 0.24 0.40
P/B 5.52 2.56 2.77
Price to free cash flow 19.84 44.78 14.76
EV/EBITDA 14.50 18.18 12.61
EV/Sales 0.23 0.14 0.36
Earnings yield 2.07% (0.46%) 3.79%
Free cash flow yield 5.04% 2.23% 6.62%

Profitability

Metric ALHC MOH Healthcare Plans median
Gross margin 11.93% 12.60% 19.35%
Operating margin 0.88% 0.39% 2.48%
Net margin 0.59% (0.11%) 1.45%
Free cash flow margin 1.56% 0.54% 3.26%
Return on equity 13.18% (1.15%) 13.58%
Return on assets 2.41% (0.31%) 3.11%
Return on invested capital 0.00% 0.00% 5.93%

Growth

Metric ALHC MOH Healthcare Plans median
Revenue growth (TTM) 35.87% (0.95%) 6.77%
EPS growth (last fiscal year) 100.00% (56.32%) (8.27%)
Revenue growth, 5-year CAGR 32.71% 18.52% 11.88%
Net income growth, 5-year CAGR 0.00% (6.85%) 0.00%

Health

Metric ALHC MOH Healthcare Plans median
Debt to equity 1.17 0.95 0.67
Current ratio 1.71 1.69 1.32
Net debt to EBITDA (6.15) (4.41) 0.05

Dividend

Metric ALHC MOH Healthcare Plans median
Dividend yield — — 2.11%
Payout ratio — — 0.31

Size

Metric ALHC MOH Healthcare Plans median
Market cap 1.58b 11.31b 24.02b

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