Contrasting New York Health Care (OTCMKTS:BBAL) & Encompass Health (NYSE:EHC)

New York Health Care (OTCMKTS:BBAL) and Encompass Health (NYSE:EHC) are both medical companies, but which is the better investment? We will compare the two businesses based on the strength of their profitability, earnings, institutional ownership, dividends, analyst recommendations, valuation and risk.

Profitability

This table compares New York Health Care and Encompass Health’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
New York Health Care	N/A	N/A	N/A
Encompass Health	9.22%	17.83%	7.68%

Analyst Ratings

This is a summary of current recommendations and price targets for New York Health Care and Encompass Health, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
New York Health Care	0	0	0	0	0.00
Encompass Health	0	0	8	2	3.20

Encompass Health has a consensus target price of $139.86, indicating a potential upside of 9.88%. Given Encompass Health’s stronger consensus rating and higher possible upside, analysts clearly believe Encompass Health is more favorable than New York Health Care.

Insider and Institutional Ownership

97.3% of Encompass Health shares are held by institutional investors. 6.7% of New York Health Care shares are held by insiders. Comparatively, 2.1% of Encompass Health shares are held 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 New York Health Care and Encompass Health”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
New York Health Care	N/A	N/A	N/A	N/A	N/A
Encompass Health	$5.37 billion	2.39	$455.70 million	$5.11	24.91

Encompass Health has higher revenue and earnings than New York Health Care.

Summary

Encompass Health beats New York Health Care on 9 of the 10 factors compared between the two stocks.

About New York Health Care

New York Health Care, Inc. operates as a home care services agency primarily in New York. The company offers various home care services, such as companionship services, homemaker/housekeeper staff, professional and practical nurses, home health aides, care givers, geriatric care, and dementia and alzheimer care services. It also provides insurance services. The company was founded in 1983 and is based in Valley Stream, New York.

About Encompass Health

Encompass Health Corporation provides post-acute healthcare services in the United States and Puerto Rico. It owns and operates inpatient rehabilitation hospitals that provide medical, nursing, therapy, and ancillary services. The company provides specialized rehabilitative treatment on an inpatient basis to patients who have experienced physical or cognitive disabilities or injuries due to medical conditions, such as strokes, hip fractures, and various debilitating neurological conditions. It offers services through the Medicare program to federal government, managed care plans and private insurers, state governments, and other patients. The company was formerly known as HealthSouth Corporation and changed its name to Encompass Health Corporation in January 2018. The company was incorporated in 1984 and is based in Birmingham, Alabama.