Clover Health Investments (NASDAQ:CLOV) vs. biote (NASDAQ:BTMD) Financial Analysis

biote (NASDAQ:BTMD) and Clover Health Investments (NASDAQ:CLOV) are both healthcare companies, but which is the better investment? We will contrast the two companies based on the strength of their profitability, valuation, institutional ownership, analyst recommendations, earnings, risk and dividends.

Profitability

This table compares biote and Clover Health Investments’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
biote	3.19%	-22.33%	12.10%
Clover Health Investments	-0.74%	-4.20%	-2.28%

Volatility & Risk

biote has a beta of 1.69, indicating that its share price is 69% more volatile than the S&P 500. Comparatively, Clover Health Investments has a beta of 2.45, indicating that its share price is 145% more volatile than the S&P 500.

Insider & Institutional Ownership

21.7% of biote shares are owned by institutional investors. Comparatively, 19.8% of Clover Health Investments shares are owned by institutional investors. 32.4% of biote shares are owned by insiders. Comparatively, 23.5% of Clover Health Investments shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Valuation & Earnings

This table compares biote and Clover Health Investments”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
biote	$192.22 million	0.21	$27.05 million	$0.11	10.27
Clover Health Investments	$2.48 billion	1.03	-$85.55 million	($0.05)	-95.80

biote has higher earnings, but lower revenue than Clover Health Investments. Clover Health Investments is trading at a lower price-to-earnings ratio than biote, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for biote and Clover Health Investments, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
biote	1	1	1	1	2.50
Clover Health Investments	1	3	2	0	2.17

biote currently has a consensus price target of $2.50, indicating a potential upside of 121.24%. Clover Health Investments has a consensus price target of $4.75, indicating a potential downside of 0.84%. Given biote’s stronger consensus rating and higher probable upside, research analysts clearly believe biote is more favorable than Clover Health Investments.

Summary

biote beats Clover Health Investments on 10 of the 15 factors compared between the two stocks.

About biote

biote Corp. operates in practice-building business within the hormone optimization space. It trains physicians and nurse practitioners in hormone optimization using bioidentical hormone replacement pellet therapy in men and women experiencing hormonal imbalance. The company offers Biote Method, a comprehensive end-to-end practice building platform that provides Biote-certified practitioners with the components developed for practitioners in the hormone optimization space comprising Biote Method education, training, and certification services; practice management software that allows Biote-certified practitioners to order, track, and manage hormone optimization product inventory and other administrative requirements; inventory management software to monitor pellet inventory; and information regarding available hormone replacement therapy products, as well as digital and point-of-care marketing support. It also sells dietary supplements under the Biote brand; and sterile pellet insertion kits that is used with hormone optimization therapies for male and female. The company was founded in 2012 and is headquartered in Irving, Texas.

About Clover Health Investments

Clover Health Investments, Corp. provides medicare advantage plans in the United States. It operates through two segments: Insurance and Non-Insurance. It also offers Clover Assistant, a cloud-based software platform, that enables physicians to detect, identify, and manage chronic diseases earlier; and access to data-driven and personalized insights for the patients they treat. Clover Health Investments, Corp. is based in Franklin, Tennessee.