Head to Head Analysis: Auna (NYSE:AUNA) and Universal Health Services (NYSE:UHS)

Auna (NYSE:AUNA) and Universal Health Services (NYSE:UHS) are both healthcare companies, but which is the better business? We will contrast the two companies based on the strength of their risk, institutional ownership, earnings, dividends, valuation, analyst recommendations and profitability.

Profitability

This table compares Auna and Universal Health Services’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Auna	0.44%	12.88%	3.24%
Universal Health Services	7.96%	18.39%	8.61%

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Auna and Universal Health Services, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Auna	1	2	1	1	2.40
Universal Health Services	0	12	6	0	2.33

Auna presently has a consensus target price of $6.97, suggesting a potential upside of 44.87%. Universal Health Services has a consensus target price of $205.06, suggesting a potential upside of 16.20%. Given Auna’s stronger consensus rating and higher probable upside, research analysts plainly believe Auna is more favorable than Universal Health Services.

Volatility & Risk

Auna has a beta of 0.62, meaning that its share price is 38% less volatile than the S&P 500. Comparatively, Universal Health Services has a beta of 1.03, meaning that its share price is 3% more volatile than the S&P 500.

Valuation & Earnings

This table compares Auna and Universal Health Services”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Auna	$1.23 billion	0.29	$27.39 million	$0.07	68.70
Universal Health Services	$17.36 billion	0.60	$1.49 billion	$24.55	7.19

Universal Health Services has higher revenue and earnings than Auna. Universal Health Services is trading at a lower price-to-earnings ratio than Auna, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

86.0% of Universal Health Services shares are owned by institutional investors. 17.1% of Universal Health Services shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Summary

Universal Health Services beats Auna on 11 of the 15 factors compared between the two stocks.

About Auna

Auna S.A., a healthcare service provider, operates hospitals and clinics in Mexico, Peru, and Colombia. The company provides prepaid healthcare plans in Peru; and dental and vision plans in Mexico. The company was founded in 1989 and is based in Luxembourg, Luxembourg.

About Universal Health Services

Universal Health Services, Inc., through its subsidiaries, owns and operates acute care hospitals, and outpatient and behavioral health care facilities. It operates through Acute Care Hospital Services and Behavioral Health Care Services segments. The company's hospitals offer general and specialty surgery, internal medicine, obstetrics, emergency room care, radiology, oncology, diagnostic and coronary care, pediatric services, pharmacy services, and/or behavioral health services. It also provides commercial health insurance services; and various management services, which include central purchasing, information, finance and control systems, facilities planning, physician recruitment, administrative personnel management, marketing, and public relations services. Universal Health Services, Inc. founded in 1978 and is headquartered in King of Prussia, Pennsylvania.