Option Care Health, Inc. (OPCH) vs PACS Group, Inc. (PACS)

Option Care Health, Inc. and PACS Group, Inc. are both Medical Care Facilities companies. PACS Group, Inc. is the larger, with a market value of $7.6B against $4.7B — 1.6× the size. Option Care Health, Inc. trades at the lower P/E: 23.5× against 27.6×. PACS Group, Inc. grew revenue faster over the last twelve months: 15.2% against 5.95%. PACS Group, Inc. has the higher net margin (4.85% vs 3.68%) and the higher return on invested capital (21.4% vs 9.37%). Across the 20 metrics below, Option Care Health, Inc. leads on 11 and PACS Group, Inc. on 9.

Valuation

Metric OPCH PACS Medical Care Facilities median
P/E 23.46 27.59 20.56
P/S 0.84 1.34 0.85
P/B 3.79 6.65 2.84
Price to free cash flow 15.70 16.25 13.73
EV/EBITDA 14.05 15.58 10.21
EV/Sales 1.01 1.35 1.32
Earnings yield 4.26% 3.62% 2.25%
Free cash flow yield 6.37% 6.16% 4.16%

Profitability

Metric OPCH PACS Medical Care Facilities median
Gross margin 19.06% 16.59% 30.78%
Operating margin 5.86% 7.39% 5.74%
Net margin 3.68% 4.85% 2.32%
Free cash flow margin 5.34% 8.22% 5.46%
Return on equity 16.00% 27.92% 8.76%
Return on assets 6.20% 4.82% 2.18%
Return on invested capital 9.37% 21.42% 5.01%

Growth

Metric OPCH PACS Medical Care Facilities median
Revenue growth (TTM) 5.95% 15.15% 7.12%
EPS growth (last fiscal year) 3.25% 221.05% 17.46%
Revenue growth, 5-year CAGR 13.25% — 9.58%
Net income growth, 5-year CAGR 0.00% — 0.00%

Health

Metric OPCH PACS Medical Care Facilities median
Debt to equity 0.92 0.22 0.37
Current ratio 1.47 0.91 1.20
Net debt to EBITDA 2.25 0.41 1.07

Dividend

Metric OPCH PACS Medical Care Facilities median
Dividend yield — — 0.63%
Payout ratio — — 0.13

Size

Metric OPCH PACS Medical Care Facilities median
Market cap 4.68b 7.56b 1.47b

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