Hinge Health Inc. (HNGE) vs Waystar Holding Corp. (WAY)

Hinge Health Inc. and Waystar Holding Corp. are both Health Information Services companies. Hinge Health Inc. is the larger, with a market value of $7.4B against $4.7B — 1.6× the size. Waystar Holding Corp. trades at the lower P/E: 34.3× against 70.8×. Hinge Health Inc. grew revenue faster over the last twelve months: 58.8% against 19.2%. Hinge Health Inc. has the higher net margin (14.9% vs 11.2%) and the lower return on invested capital (0.00% vs 3.30%). Across the 20 metrics below, Waystar Holding Corp. leads on 12 and Hinge Health Inc. on 8.

Valuation

Metric HNGE WAY Health Information Services median
P/E 70.79 34.31 39.52
P/S 10.48 3.93 2.65
P/B 21.92 1.19 2.32
Price to free cash flow 26.58 19.24 16.77
EV/EBITDA 44.40 13.75 12.35
EV/Sales 9.94 4.96 3.06
Earnings yield 1.41% 2.91% (1.68%)
Free cash flow yield 3.76% 5.20% 0.54%

Profitability

Metric HNGE WAY Health Information Services median
Gross margin 84.49% 69.11% 63.38%
Operating margin 13.01% 22.87% (8.35%)
Net margin 14.91% 11.18% (14.70%)
Free cash flow margin 39.43% 20.42% 0.58%
Return on equity 41.44% 3.77% (6.82%)
Return on assets 14.12% 2.56% (6.02%)
Return on invested capital 0.00% 3.30% 0.00%

Growth

Metric HNGE WAY Health Information Services median
Revenue growth (TTM) 58.83% 19.23% 8.62%
EPS growth (last fiscal year) (782.85%) 569.23% —
Revenue growth, 5-year CAGR — — 12.36%
Net income growth, 5-year CAGR — — 0.00%

Health

Metric HNGE WAY Health Information Services median
Debt to equity 0.00 0.37 0.01
Current ratio 1.34 1.85 2.37
Net debt to EBITDA 0.74 3.49 0.50

Dividend

Metric HNGE WAY Health Information Services median
Dividend yield — — 0.85%
Payout ratio — — 0.00

Size

Metric HNGE WAY Health Information Services median
Market cap 7.43b 4.72b 352.86m

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