BrightSpring Health Services (NASDAQ:BTSG) vs. Elevance Health (NYSE:ELV) Financial Survey

BrightSpring Health Services (NASDAQ:BTSG) and Elevance Health (NYSE:ELV) are both medical companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, risk, institutional ownership, valuation, analyst recommendations, dividends and profitability.

Earnings & Valuation

This table compares BrightSpring Health Services and Elevance Health”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
BrightSpring Health Services	$11.27 billion	0.44	-$18.06 million	$0.31	90.26
Elevance Health	$177.01 billion	0.41	$5.98 billion	$23.50	13.78

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

Institutional & Insider Ownership

89.2% of Elevance Health shares are owned by institutional investors. 3.4% of BrightSpring Health Services shares are owned by insiders. Comparatively, 0.3% of Elevance Health shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Risk & Volatility

BrightSpring Health Services has a beta of 2.27, suggesting that its stock price is 127% more volatile than the S&P 500. Comparatively, Elevance Health has a beta of 0.59, suggesting that its stock price is 41% less volatile than the S&P 500.

Profitability

This table compares BrightSpring Health Services and Elevance Health’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
BrightSpring Health Services	0.55%	9.29%	2.64%
Elevance Health	2.83%	17.59%	6.36%

Analyst Recommendations

This is a summary of current ratings for BrightSpring Health Services and Elevance Health, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
BrightSpring Health Services	0	1	11	0	2.92
Elevance Health	0	6	12	0	2.67

BrightSpring Health Services currently has a consensus target price of $27.10, suggesting a potential downside of 3.15%. Elevance Health has a consensus target price of $411.06, suggesting a potential upside of 26.95%. Given Elevance Health’s higher probable upside, analysts clearly believe Elevance Health is more favorable than BrightSpring Health Services.

Summary

Elevance Health beats BrightSpring Health Services on 9 of the 14 factors compared between the two stocks.

About BrightSpring Health Services

BrightSpring Health Services, Inc. operates a home and community-based healthcare services platform in the United States. The company's platform focuses on delivering pharmacy and provider services, including clinical and supportive care in home and community settings to Medicare, Medicaid, and insured populations. It serves patients through clinical providers and pharmacists. The company was formerly known as Phoenix Parent Holdings Inc. and changed its name to BrightSpring Health Services, Inc. in May 2021. BrightSpring Health Services, Inc. was founded in 1974 and is headquartered in Louisville, Kentucky.

About Elevance Health

Elevance Health, Inc., together with its subsidiaries, operates as a health benefits company in the United States. The company operates through four segments: Health Benefits, CarelonRx, Carelon Services, and Corporate & Other. It offers a variety of health plans and services to program members; health products; an array of fee-based administrative managed care services; and specialty and other insurance products and services, such as stop loss, dental, vision, life, disability, and supplemental health insurance benefits. The company operates in the pharmacy services business; and markets and offers pharmacy services, including pharmacy benefit management, as well as home delivery and specialty pharmacies, claims adjudication, formulary management, pharmacy networks, rebate administration, a prescription drug database, and member services. In addition, it provides healthcare-related services and capabilities, including utilization management, behavioral health, integrated care delivery, palliative care, payment integrity services, subrogation services, and health and wellness programs, as well as services related to data management, information technology, and business operations. Further, the company is involved in the National Government Services business. The company provides its services under the Anthem Blue Cross and Blue Shield, Wellpoint, and Carelon brand names. The company was formerly known as Anthem, Inc. and changed its name to Elevance Health, Inc. in June 2022. Elevance Health, Inc. was incorporated in 2001 and is headquartered in Indianapolis, Indiana.