Health Catalyst (NASDAQ:HCAT – Get Free Report) and Schrodinger (NASDAQ:SDGR – Get Free Report) are both small-cap medical companies, but which is the better business? We will compare the two businesses based on the strength of their risk, earnings, profitability, dividends, valuation, analyst recommendations and institutional ownership.
Risk & Volatility
Health Catalyst has a beta of 1.69, meaning that its stock price is 69% more volatile than the S&P 500. Comparatively, Schrodinger has a beta of 1.54, meaning that its stock price is 54% more volatile than the S&P 500.
Profitability
This table compares Health Catalyst and Schrodinger’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Health Catalyst | -34.05% | -6.67% | -3.21% |
| Schrodinger | -68.49% | -48.24% | -24.21% |
Analyst Recommendations
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Health Catalyst | 1 | 8 | 5 | 0 | 2.29 |
| Schrodinger | 1 | 3 | 4 | 0 | 2.38 |
Health Catalyst presently has a consensus target price of $4.36, indicating a potential upside of 91.39%. Schrodinger has a consensus target price of $25.71, indicating a potential upside of 43.02%. Given Health Catalyst’s higher probable upside, equities research analysts clearly believe Health Catalyst is more favorable than Schrodinger.
Earnings & Valuation
This table compares Health Catalyst and Schrodinger”s revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Health Catalyst | $306.58 million | 0.53 | -$69.50 million | ($1.59) | -1.43 |
| Schrodinger | $207.54 million | 6.38 | -$187.12 million | ($2.41) | -7.46 |
Health Catalyst has higher revenue and earnings than Schrodinger. Schrodinger is trading at a lower price-to-earnings ratio than Health Catalyst, indicating that it is currently the more affordable of the two stocks.
Institutional & Insider Ownership
85.0% of Health Catalyst shares are held by institutional investors. Comparatively, 79.1% of Schrodinger shares are held by institutional investors. 2.6% of Health Catalyst shares are held by company insiders. Comparatively, 21.0% of Schrodinger shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.
Summary
Health Catalyst beats Schrodinger on 11 of the 14 factors compared between the two stocks.
About Health Catalyst
Health Catalyst, Inc. provides data and analytics technology and services to healthcare organizations in the United States. It operates in two segments, Technology and Professional Services. The company provides data operating system data platform which provides clients single comprehensive environment to integrate and organize data from their disparate software systems; and analytics applications, a software analytics applications build for data platform to analyze clients face across clinical and quality, population health, and financial and operational use cases. It offers services expertise solutions comprising data and analytics, domain expertise and education, tech-enabled managed, and implementation services; and opportunity analysis and prioritization, data governance, data modeling and analysis, quality and process improvement strategy, cost accounting, data abstraction, and population health strategies. The company was formerly known as HQC Holdings, Inc. and changed its name to Health Catalyst, Inc. in March 2017. Health Catalyst, Inc. was founded in 2008 and is headquartered in South Jordan, Utah.
About Schrodinger
Schrödinger, Inc., together with its subsidiaries, develops physics-based computational platform that enables discovery of novel molecules for drug development and materials applications. The company operates in two segments, Software and Drug Discovery. The Software segment is focused on licensing its software to transform molecular discovery for life sciences and materials science industries. The Drug Discovery segment focuses on building a portfolio of preclinical and clinical programs, internally and through collaborations. The company serves biopharmaceutical and industrial companies, academic institutions, and government laboratories worldwide. Schrödinger, Inc. was incorporated in 1990 and is based in New York, New York.
Receive News & Ratings for Health Catalyst Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Health Catalyst and related companies with MarketBeat.com's FREE daily email newsletter.
