Sotera Health (NASDAQ:SHC – Get Free Report) and InnovAge (NASDAQ:INNV – Get Free Report) are both medical companies, but which is the better business? We will compare the two businesses based on the strength of their analyst recommendations, risk, earnings, dividends, institutional ownership, profitability and valuation.
Institutional and Insider Ownership
91.0% of Sotera Health shares are owned by institutional investors. Comparatively, 12.3% of InnovAge shares are owned by institutional investors. 15.4% of Sotera Health shares are owned by company insiders. Comparatively, 1.0% of InnovAge shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.
Analyst Recommendations
This is a breakdown of current recommendations and price targets for Sotera Health and InnovAge, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Sotera Health | 0 | 3 | 8 | 0 | 2.73 |
| InnovAge | 2 | 1 | 0 | 0 | 1.33 |
Earnings & Valuation
This table compares Sotera Health and InnovAge”s top-line revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Sotera Health | $1.16 billion | 4.28 | $77.94 million | $0.41 | 42.61 |
| InnovAge | $853.70 million | 1.83 | -$30.31 million | ($0.09) | -128.00 |
Sotera Health has higher revenue and earnings than InnovAge. InnovAge is trading at a lower price-to-earnings ratio than Sotera Health, indicating that it is currently the more affordable of the two stocks.
Profitability
This table compares Sotera Health and InnovAge’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Sotera Health | 9.91% | 39.73% | 7.05% |
| InnovAge | -1.22% | -4.73% | -2.20% |
Volatility & Risk
Sotera Health has a beta of 1.76, indicating that its share price is 76% more volatile than the S&P 500. Comparatively, InnovAge has a beta of 0.36, indicating that its share price is 64% less volatile than the S&P 500.
Summary
Sotera Health beats InnovAge on 14 of the 14 factors compared between the two stocks.
About Sotera Health
Sotera Health Company engages in the provision of sterilization, lab testing, and advisory services in the United States and internationally. The company operates through three segments: Sterigenics, Nordion, and Nelson Labs. It provides mission-critical end-to-end sterilization services, including gamma and electron beam irradiation, and ethylene oxide processing, as well as designs, installs, and maintains gamma irradiation systems. The company also provides microbiological and analytical chemistry testing, as well as technical assistance, regulatory consulting, and advisory services. It serves medical devices, pharmaceuticals, food safety, agricultural products, cancer treatment, and high-performance materials industries, as well as commercial, advanced, and specialty application industries. The company was formerly known as Sotera Health Topco, Inc. and changed its name to Sotera Health Company in October 2020. Sotera Health Company was incorporated in 2015 and is headquartered in Broadview Heights, Ohio.
About InnovAge
InnovAge Holding Corp. manages and provides a range of medical and ancillary services for seniors in need of care and support to live independently in its homes and communities. The company manages its business through Program of All-Inclusive Care for the Elderly (PACE) approach. It also offers in-home care services consisting of skilled, unskilled, and personal care; in-center services, such as primary care, physical therapy, occupational therapy, speech therapy, dental services, mental health and psychiatric services, meals, and activities; transportation to the PACE center and third-party medical appointments; and care management. The company serves participants in the United States; and operates PACE centers in Colorado, California, New Mexico, Pennsylvania, Florida, and Virginia. The company was formerly known as TCO Group Holdings, Inc. and changed its name to InnovAge Holding Corp. in January 2021. InnovAge Holding Corp. was founded in 2007 and is headquartered in Denver, Colorado.
Receive News & Ratings for Sotera Health Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Sotera Health and related companies with MarketBeat.com's FREE daily email newsletter.
