Head-To-Head Comparison: OptimizeRx (NASDAQ:OPRX) and Waystar (NASDAQ:WAY)

Waystar (NASDAQ:WAY) and OptimizeRx (NASDAQ:OPRX) are both healthcare companies, but which is the better investment? We will contrast the two companies based on the strength of their profitability, dividends, institutional ownership, earnings, risk, analyst recommendations and valuation.

Profitability

This table compares Waystar and OptimizeRx’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Waystar	11.18%	7.03%	4.75%
OptimizeRx	4.66%	9.44%	7.11%

Analyst Recommendations

This is a summary of current ratings and target prices for Waystar and OptimizeRx, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Waystar	0	4	19	2	2.92
OptimizeRx	1	2	6	0	2.56

Waystar currently has a consensus target price of $35.27, suggesting a potential upside of 32.26%. OptimizeRx has a consensus target price of $11.43, suggesting a potential upside of 51.17%. Given OptimizeRx’s higher probable upside, analysts clearly believe OptimizeRx is more favorable than Waystar.

Earnings and Valuation

This table compares Waystar and OptimizeRx”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Waystar	$1.10 billion	4.65	$112.09 million	$0.70	38.10
OptimizeRx	$109.43 million	1.30	$5.13 million	$0.23	32.87

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

Institutional & Insider Ownership

76.5% of OptimizeRx shares are owned by institutional investors. 3.5% of Waystar shares are owned by company insiders. Comparatively, 7.5% of OptimizeRx shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Risk and Volatility

Waystar has a beta of 0.16, suggesting that its share price is 84% less volatile than the S&P 500. Comparatively, OptimizeRx has a beta of 1.09, suggesting that its share price is 9% more volatile than the S&P 500.

Summary

Waystar beats OptimizeRx on 9 of the 15 factors compared between the two stocks.

About Waystar

Waystar Holding Corp. is a software company which provide healthcare payments. Waystar Holding Corp. is based in LEHI, Utah.

About OptimizeRx

OptimizeRx Corporation, a digital health technology company, enables care-focused engagement between life sciences organizations, healthcare providers, and patients at critical junctures throughout the patient care journey. It offers various tech-enabled marketing solutions through its Artificial Intelligence-generated Dynamic Audience and Activation Platform, which enables customers to execute traditional marketing campaigns on its proprietary digital point-of-care network, as well as dynamic marketing campaigns that optimize audiences in real time to increase the value of treatment information for healthcare professionals and patients in response to clinical care events. The company was founded in 2006 and is based in Waltham, Massachusetts.