Head-To-Head Comparison: SBC Medical Group (NASDAQ:SBC) and Cardinal Health (NYSE:CAH)

Cardinal Health (NYSE:CAH) and SBC Medical Group (NASDAQ:SBC) are both healthcare companies, but which is the better investment? We will contrast the two businesses based on the strength of their valuation, risk, earnings, dividends, analyst recommendations, institutional ownership and profitability.

Risk & Volatility

Cardinal Health has a beta of 0.51, meaning that its stock price is 49% less volatile than the S&P 500. Comparatively, SBC Medical Group has a beta of 0.63, meaning that its stock price is 37% less volatile than the S&P 500.

Valuation and Earnings

This table compares Cardinal Health and SBC Medical Group”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Cardinal Health	$254.25 billion	0.21	$1.71 billion	$7.23	32.16
SBC Medical Group	$173.61 million	2.72	$50.99 million	$0.47	9.77

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

Analyst Ratings

This is a summary of current ratings and recommmendations for Cardinal Health and SBC Medical Group, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Cardinal Health	0	3	16	0	2.84
SBC Medical Group	1	0	2	0	2.33

Cardinal Health currently has a consensus price target of $266.56, indicating a potential upside of 14.66%. SBC Medical Group has a consensus price target of $8.50, indicating a potential upside of 85.19%. Given SBC Medical Group’s higher possible upside, analysts plainly believe SBC Medical Group is more favorable than Cardinal Health.

Institutional & Insider Ownership

87.2% of Cardinal Health shares are held by institutional investors. Comparatively, 60.8% of SBC Medical Group shares are held by institutional investors. 0.1% of Cardinal Health shares are held by insiders. Comparatively, 81.7% of SBC Medical Group shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Profitability

This table compares Cardinal Health and SBC Medical Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Cardinal Health	0.67%	-98.53%	4.69%
SBC Medical Group	27.99%	18.47%	13.10%

About Cardinal Health

Cardinal Health, Inc. operates as a healthcare services and products company in the United States, Canada, Europe, Asia, and internationally. It provides customized solutions for hospitals, healthcare systems, pharmacies, ambulatory surgery centers, clinical laboratories, physician offices, and patients in the home. The company operates in two segments, Pharmaceutical and Medical. The Pharmaceutical segment distributes branded and generic pharmaceutical, specialty pharmaceutical, and over-the-counter healthcare and consumer products. The segment also provides services to pharmaceutical manufacturers and healthcare providers for specialty pharmaceutical products; operates nuclear pharmacies and radiopharmaceutical manufacturing facilities; repackages generic pharmaceuticals and over-the-counter healthcare products; and provides pharmacy management services to hospitals. The Medical segment manufactures, sources, and distributes Cardinal Health branded medical, surgical, and laboratory products and devices that include exam and surgical gloves; needles, syringe, and sharps disposals; compressions; incontinences; nutritional delivery products; wound care products; single-use surgical drapes, gowns, and apparels; fluid suction and collection systems; urology products; operating room supply products; and electrode product lines. The segment also distributes a range of national brand products, including medical, surgical, and laboratory products; provides supply chain services and solutions to hospitals, ambulatory surgery centers, clinical laboratories, and other healthcare providers; and assembles and sells sterile, and non-sterile procedure kits. The company was incorporated in 1979 and is headquartered in Dublin, Ohio.

About SBC Medical Group

SBC Medical Group Holdings Incorporated, through its subsidiaries, provides services to support the operation of clinics which deliver specialized medical services in the areas of cosmetic medicine, esthetic dentistry and Androgenetic Alopecia or AGA, primarily in Japan and centered on the SBC Shonan Beauty Clinic Brand. SBC Medical Group Holdings Incorporated, formerly known as Pono Capital Two Inc., is based in TOKYO.