Ardent Health, Inc. (ARDT) vs The Pennant Group, Inc. (PNTG)

Ardent Health, Inc. and The Pennant Group, Inc. are both Medical Care Facilities companies. Ardent Health, Inc. and The Pennant Group, Inc. are of similar size ($1.5B and $1.4B). Ardent Health, Inc. trades at the lower P/E: 19.2× against 43.4×. The Pennant Group, Inc. grew revenue faster over the last twelve months: 37.9% against 3.34%. The Pennant Group, Inc. has the higher net margin (2.93% vs 1.22%) and the lower return on invested capital (6.63% vs 7.59%). Across the 20 metrics below, Ardent Health, Inc. leads on 13 and The Pennant Group, Inc. on 7.

Valuation

Metric ARDT PNTG Medical Care Facilities median
P/E 19.16 43.37 19.16
P/S 0.23 1.29 0.90
P/B 0.86 3.51 2.91
Price to free cash flow 4.90 40.95 12.62
EV/EBITDA 4.39 21.83 10.06
EV/Sales 0.29 1.45 1.35
Earnings yield 5.22% 2.31% 2.30%
Free cash flow yield 20.41% 2.44% 4.14%

Profitability

Metric ARDT PNTG Medical Care Facilities median
Gross margin 100.00% 13.83% 30.78%
Operating margin 4.03% 5.65% 5.74%
Net margin 1.22% 2.93% 2.32%
Free cash flow margin 4.76% 3.15% 5.46%
Return on equity 4.61% 8.76% 8.76%
Return on assets 1.52% 3.61% 2.18%
Return on invested capital 7.59% 6.63% 5.40%

Growth

Metric ARDT PNTG Medical Care Facilities median
Revenue growth (TTM) 3.34% 37.90% 7.12%
EPS growth (last fiscal year) (39.24%) 20.00% —
Revenue growth, 5-year CAGR — 19.37% 9.58%
Net income growth, 5-year CAGR — 13.44% 0.00%

Health

Metric ARDT PNTG Medical Care Facilities median
Debt to equity 0.63 0.49 0.30
Current ratio 2.10 1.20 1.22
Net debt to EBITDA 0.80 2.56 1.32

Dividend

Metric ARDT PNTG Medical Care Facilities median
Dividend yield — — 0.85%
Payout ratio — 0.00 0.00

Size

Metric ARDT PNTG Medical Care Facilities median
Market cap 1.48b 1.38b 1.34b

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