Financial Comparison: Nutex Health (NASDAQ:NUTX) versus Pacific Health Care Organization (OTCMKTS:PFHO)

Pacific Health Care Organization (OTCMKTS:PFHO) and Nutex Health (NASDAQ:NUTX) are both small-cap medical companies, but which is the better business? We will compare the two companies based on the strength of their earnings, institutional ownership, risk, dividends, valuation, profitability and analyst recommendations.

Insider and Institutional Ownership

5.3% of Nutex Health shares are held by institutional investors. 61.6% of Pacific Health Care Organization shares are held by insiders. Comparatively, 36.9% of Nutex Health shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Profitability

This table compares Pacific Health Care Organization and Nutex Health’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Pacific Health Care Organization	21.71%	11.80%	11.21%
Nutex Health	10.76%	42.08%	11.80%

Analyst Recommendations

This is a breakdown of recent ratings and target prices for Pacific Health Care Organization and Nutex Health, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Pacific Health Care Organization	0	0	0	0	0.00
Nutex Health	0	1	2	0	2.67

Nutex Health has a consensus target price of $252.50, indicating a potential upside of 142.91%. Given Nutex Health’s stronger consensus rating and higher probable upside, analysts plainly believe Nutex Health is more favorable than Pacific Health Care Organization.

Volatility and Risk

Pacific Health Care Organization has a beta of 0.15, suggesting that its share price is 85% less volatile than the S&P 500. Comparatively, Nutex Health has a beta of -0.23, suggesting that its share price is 123% less volatile than the S&P 500.

Earnings & Valuation

This table compares Pacific Health Care Organization and Nutex Health”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Pacific Health Care Organization	$6.07 million	2.74	$880,000.00	$0.11	11.82
Nutex Health	$792.21 million	0.73	$52.18 million	$11.89	8.74

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

Summary

Nutex Health beats Pacific Health Care Organization on 9 of the 14 factors compared between the two stocks.

About Pacific Health Care Organization

Pacific Health Care Organization, Inc., together with its subsidiaries, operates as a specialty workers' compensation cost containment company in the United States. It is involved in managing and administering health care organizations (HCOs) and medical provider networks (MPNs). The company also provides claims-related services, including utilization review, medical case management, medical bill review, employee advocate services, workers' compensation carve-outs, expert witness testimony, and Medicare set-aside services. It serves insurers, third party administrators, self-administered employers, municipalities, and other industries. The company was formerly known as Clear Air, Inc. and changed its name to Pacific Health Care Organization, Inc. in January 2001. Pacific Health Care Organization, Inc. was incorporated in 1970 and is based in Irvine, California.

About Nutex Health

Nutex Health Inc. operates as a physician-led, healthcare services, and operations company. It operates through three segments: Hospital, Population Health Management (PHM), and Real Estate. The PHM segment establishes and operates independent physician associations; and offers a cloud-based platform for healthcare organizations to provide value-based care and population health management. The Real Estate segment owns and owns and leases land and hospital building. The Hospital segment develops and operates a network of micro-hospitals, specialty hospitals and hospital outpatient departments which offers 24/7 care. It also provides operational and managerial services, including management, billing, collections, human resources and recruiting, legal, accounting, and marketing. In addition, the company offers healthcare services, including emergency room care, inpatient care, and behavioral health, as well as onsite imaging, such as CT scan, X-ray, MRI, ultrasound, etc.; certified and accredited laboratories; and onsite inpatient pharmacies. The company was founded in 2011 and is based in Houston, Texas.