The Ensign Group, Inc. (ENSG) vs LifeStance Health Group, Inc. (LFST)

The Ensign Group, Inc. and LifeStance Health Group, Inc. are both Medical Care Facilities companies. The Ensign Group, Inc. is the larger, with a market value of $10.6B against $5.1B — 2.1× the size. The Ensign Group, Inc. trades at the lower P/E: 26.3× against 70.7×. LifeStance Health Group, Inc. grew revenue faster over the last twelve months: 22.6% against 17.5%. The Ensign Group, Inc. has the higher net margin (7.03% vs 4.29%) and the higher return on invested capital (13.4% vs 4.25%). Across the 22 metrics below, The Ensign Group, Inc. leads on 16 and LifeStance Health Group, Inc. on 6.

Valuation

Metric ENSG LFST Medical Care Facilities median
P/E 26.31 70.66 17.41
P/S 1.85 3.06 0.98
P/B 4.10 3.43 3.12
Price to free cash flow 20.63 28.58 16.05
EV/EBITDA 16.37 32.04 11.86
EV/Sales 1.82 3.08 1.37
Earnings yield 3.80% 1.42% 3.53%
Free cash flow yield 4.85% 3.50% 5.41%

Profitability

Metric ENSG LFST Medical Care Facilities median
Gross margin 16.57% 0.00% 30.78%
Operating margin 8.97% 6.21% 5.97%
Net margin 7.03% 4.29% 3.05%
Free cash flow margin 8.99% 10.69% 6.97%
Return on equity 17.03% 4.82% 5.03%
Return on assets 7.11% 3.32% 2.78%
Return on invested capital 13.42% 4.25% 5.47%

Growth

Metric ENSG LFST Medical Care Facilities median
Revenue growth (TTM) 17.49% 22.62% 6.38%
EPS growth (last fiscal year) 14.06% 113.33% 21.70%
Revenue growth, 5-year CAGR 16.05% 30.44% 9.94%
Net income growth, 5-year CAGR 15.07% 0.00% 0.00%

Health

Metric ENSG LFST Medical Care Facilities median
Debt to equity 0.08 0.17 0.37
Current ratio 1.20 1.44 1.37
Net debt to EBITDA (0.81) 0.22 1.32

Dividend

Metric ENSG LFST Medical Care Facilities median
Dividend yield 0.14% — 0.57%
Payout ratio 0.04 — 0.12

Size

Metric ENSG LFST Medical Care Facilities median
Market cap 10.64b 5.13b 1.62b

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