Head-To-Head Contrast: HCA Healthcare (NYSE:HCA) vs. CorVel (NASDAQ:CRVL)

CorVel (NASDAQ:CRVL) and HCA Healthcare (NYSE:HCA) are both healthcare companies, but which is the superior business? We will compare the two companies based on the strength of their dividends, risk, analyst recommendations, profitability, earnings, institutional ownership and valuation.

Volatility & Risk

CorVel has a beta of 1.07, meaning that its stock price is 7% more volatile than the S&P 500. Comparatively, HCA Healthcare has a beta of 1.11, meaning that its stock price is 11% more volatile than the S&P 500.

Insider and Institutional Ownership

51.4% of CorVel shares are owned by institutional investors. Comparatively, 62.7% of HCA Healthcare shares are owned by institutional investors. 39.7% of CorVel shares are owned by company insiders. Comparatively, 1.5% of HCA Healthcare shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Valuation and Earnings

This table compares CorVel and HCA Healthcare”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CorVel	$958.53 million	4.55	$110.34 million	$2.38	36.37
HCA Healthcare	$75.60 billion	1.38	$6.78 billion	$30.18	16.50

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

Analyst Recommendations

This is a summary of recent ratings and target prices for CorVel and HCA Healthcare, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CorVel	0	1	0	0	2.00
HCA Healthcare	1	7	16	0	2.62

HCA Healthcare has a consensus price target of $480.13, indicating a potential downside of 3.60%. Given HCA Healthcare’s stronger consensus rating and higher possible upside, analysts clearly believe HCA Healthcare is more favorable than CorVel.

Profitability

This table compares CorVel and HCA Healthcare’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CorVel	12.02%	30.20%	18.06%
HCA Healthcare	8.61%	-198.52%	10.81%

Summary

HCA Healthcare beats CorVel on 8 of the 14 factors compared between the two stocks.

About CorVel

CorVel Corporation provides workers’ compensation and healthcare cost-management services to employers, insurers, and public entities. Its offerings are designed to help clients manage claims, coordinate care, and control healthcare-related costs. The company’s services include claims administration, medical bill review, provider network access, utilization review, case management, and pharmacy benefit management. CorVel also supports disability and liability claims management. Founded in 1987, CorVel serves customers across the United States through a combination of technology platforms and service teams.

About HCA Healthcare

HCA Healthcare is a healthcare services company that operates hospitals and other care facilities. Its services include inpatient and outpatient care, emergency treatment, surgery, diagnostic services and specialized care across areas such as cancer and cardiovascular medicine. The company serves patients in the United States and the United Kingdom through its network of hospitals and outpatient facilities, including surgery centers, urgent care clinics and physician practices. Founded in 1968, HCA Healthcare is headquartered in Nashville, Tennessee.