CVS Health (NYSE:CVS) vs. Aveanna Healthcare (NASDAQ:AVAH) Head to Head Review

Aveanna Healthcare (NASDAQ:AVAH) and CVS Health (NYSE:CVS) are both healthcare companies, but which is the better investment? We will contrast the two companies based on the strength of their profitability, institutional ownership, analyst recommendations, risk, valuation, earnings and dividends.

Volatility & Risk

Aveanna Healthcare has a beta of 2.03, suggesting that its stock price is 103% more volatile than the S&P 500. Comparatively, CVS Health has a beta of 0.58, suggesting that its stock price is 42% less volatile than the S&P 500.

Valuation & Earnings

This table compares Aveanna Healthcare and CVS Health”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Aveanna Healthcare	$2.43 billion	1.17	$225.03 million	$1.23	10.65
CVS Health	$402.07 billion	0.28	$1.77 billion	$8.59	10.21

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

Profitability

This table compares Aveanna Healthcare and CVS Health’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Aveanna Healthcare	10.56%	80.70%	7.42%
CVS Health	2.62%	13.65%	4.20%

Insider & Institutional Ownership

88.0% of Aveanna Healthcare shares are owned by institutional investors. Comparatively, 80.7% of CVS Health shares are owned by institutional investors. 5.3% of Aveanna Healthcare shares are owned by insiders. Comparatively, 0.9% of CVS Health shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Aveanna Healthcare and CVS Health, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Aveanna Healthcare	0	4	6	1	2.73
CVS Health	0	3	22	0	2.88

Aveanna Healthcare presently has a consensus target price of $14.25, indicating a potential upside of 8.83%. CVS Health has a consensus target price of $108.25, indicating a potential upside of 23.46%. Given CVS Health’s stronger consensus rating and higher probable upside, analysts clearly believe CVS Health is more favorable than Aveanna Healthcare.

Summary

Aveanna Healthcare beats CVS Health on 9 of the 15 factors compared between the two stocks.

About Aveanna Healthcare

Aveanna Healthcare Holdings Inc. is a U.S. provider of home-based healthcare services for children and adults with complex medical needs. Its services include private-duty nursing and personal care, home health nursing and therapy, and hospice care, helping patients receive support in their homes and communities. The company also provides medical supplies and related services, including products used for enteral nutrition. Aveanna serves patients and families across multiple states through a network of clinicians, caregivers, and local operations.

About CVS Health

CVS Health is a U.S.-based health care company that operates retail pharmacies, provides pharmacy benefit management services, and offers health insurance and other health services. Its businesses include CVS Pharmacy, pharmacy benefit manager CVS Caremark, and Aetna, its health benefits division. The company also provides care through MinuteClinic walk-in clinics and health care businesses including Oak Street Health and Signify Health. Its services span prescription fulfillment, pharmacy benefit management, health insurance, primary care, and in-home and community-based care.