Head-To-Head Review: PACS Group (PACS) and The Competition

PACS Group (NYSE:PACS) is one of 93 public companies in the “Medical Services” industry, but how does it contrast to its peers? We will compare PACS Group to related companies based on the strength of its dividends, analyst recommendations, risk, valuation, profitability, earnings and institutional ownership.

Profitability

This table compares PACS Group and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
PACS Group	N/A	N/A	N/A
PACS Group Competitors	-904.74%	-63.69%	-14.28%

Insider and Institutional Ownership

58.1% of shares of all “Medical Services” companies are owned by institutional investors. 13.3% of shares of all “Medical Services” companies are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Earnings and Valuation

This table compares PACS Group and its peers gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
PACS Group	$3.11 billion	$112.87 million	46.69
PACS Group Competitors	$9.89 billion	$239.88 million	11.90

PACS Group’s peers have higher revenue and earnings than PACS Group. PACS Group is trading at a higher price-to-earnings ratio than its peers, indicating that it is currently more expensive than other companies in its industry.

Analyst Ratings

This is a breakdown of recent recommendations for PACS Group and its peers, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
PACS Group	1	1	2	0	2.25
PACS Group Competitors	632	2495	5129	184	2.58

PACS Group presently has a consensus price target of $24.67, suggesting a potential upside of 70.41%. As a group, “Medical Services” companies have a potential upside of 367.48%. Given PACS Group’s peers stronger consensus rating and higher probable upside, analysts clearly believe PACS Group has less favorable growth aspects than its peers.

Volatility and Risk

PACS Group has a beta of 1.05, suggesting that its share price is 5% more volatile than the S&P 500. Comparatively, PACS Group’s peers have a beta of 1.53, suggesting that their average share price is 53% more volatile than the S&P 500.

Summary

PACS Group peers beat PACS Group on 9 of the 12 factors compared.

About PACS Group

PACS Group, Inc., through its subsidiaries, operates skilled nursing facilities and assisted living facilities in the United States. The company also provides senior care and independent facilities. It engages in the acquisition, ownership, and leasing of health care-related properties. The company was founded in 2013 and is based in Farmington, Utah.