Brookdale Senior Living Inc. (BKD) vs Option Care Health, Inc. (OPCH)

Brookdale Senior Living Inc. and Option Care Health, Inc. are both Medical Care Facilities companies. Option Care Health, Inc. is the larger, with a market value of $3.4B against $2.6B — 1.3× the size. Brookdale Senior Living Inc. has negative trailing earnings, so its P/E is not meaningful; Option Care Health, Inc. trades at 17.3×. Option Care Health, Inc. grew revenue faster over the last twelve months: 5.95% against −4.42%. Option Care Health, Inc. has the higher net margin (3.68% vs −4.53%) and the higher return on invested capital (9.37% vs 1.71%). Across the 18 metrics below, Option Care Health, Inc. leads on 16 and Brookdale Senior Living Inc. on 2.

Valuation

Metric BKD OPCH Medical Care Facilities median
P/E n/m 17.35 19.16
P/S 0.87 0.62 0.90
P/B n/m 2.80 2.91
Price to free cash flow n/m 11.61 12.62
EV/EBITDA 15.03 11.00 10.06
EV/Sales 2.15 0.79 1.35
Earnings yield (5.22%) 5.77% 2.30%
Free cash flow yield (5.30%) 8.61% 4.14%

Profitability

Metric BKD OPCH Medical Care Facilities median
Gross margin 30.78% 19.06% 30.78%
Operating margin 3.48% 5.86% 5.74%
Net margin (4.53%) 3.68% 2.32%
Free cash flow margin (4.62%) 5.34% 5.46%
Return on equity (349.46%) 16.00% 8.76%
Return on assets (2.30%) 6.20% 2.18%
Return on invested capital 1.71% 9.37% 5.40%

Growth

Metric BKD OPCH Medical Care Facilities median
Revenue growth (TTM) (4.42%) 5.95% 7.12%
EPS growth (last fiscal year) (25.84%) 3.25% —
Revenue growth, 5-year CAGR (2.04%) 13.25% 9.58%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric BKD OPCH Medical Care Facilities median
Debt to equity (156.38) 0.92 0.30
Current ratio 1.14 1.47 1.22
Net debt to EBITDA 10.43 2.25 1.32

Dividend

Metric BKD OPCH Medical Care Facilities median
Dividend yield — — 0.85%
Payout ratio 0.00 0.00 0.00

Size

Metric BKD OPCH Medical Care Facilities median
Market cap 2.64b 3.44b 1.34b

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