Hims & Hers Health (NYSE:HIMS – Get Free Report) and CVS Health (NYSE:CVS – Get Free Report) are both healthcare companies, but which is the better stock? We will contrast the two businesses based on the strength of their analyst recommendations, valuation, risk, profitability, institutional ownership, earnings and dividends.
Profitability
This table compares Hims & Hers Health and CVS Health’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Hims & Hers Health | -6.65% | -9.62% | -1.38% |
| CVS Health | 2.62% | 13.65% | 4.20% |
Analyst Recommendations
This is a summary of recent recommendations for Hims & Hers Health and CVS Health, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Hims & Hers Health | 1 | 12 | 3 | 0 | 2.12 |
| CVS Health | 0 | 2 | 23 | 0 | 2.92 |
Hims & Hers Health currently has a consensus price target of $31.53, indicating a potential upside of 59.86%. CVS Health has a consensus price target of $107.79, indicating a potential upside of 20.62%. Given Hims & Hers Health’s higher probable upside, equities analysts clearly believe Hims & Hers Health is more favorable than CVS Health.
Insider and Institutional Ownership
63.5% of Hims & Hers Health shares are owned by institutional investors. Comparatively, 80.7% of CVS Health shares are owned by institutional investors. 11.8% of Hims & Hers Health shares are owned by company insiders. Comparatively, 0.9% of CVS Health shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.
Earnings and Valuation
This table compares Hims & Hers Health and CVS Health”s revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Hims & Hers Health | $2.35 billion | 1.96 | $128.37 million | ($0.83) | -23.77 |
| CVS Health | $402.07 billion | 0.28 | $1.77 billion | $8.59 | 10.40 |
CVS Health has higher revenue and earnings than Hims & Hers Health. Hims & Hers Health is trading at a lower price-to-earnings ratio than CVS Health, indicating that it is currently the more affordable of the two stocks.
Risk & Volatility
Hims & Hers Health has a beta of 2.53, meaning that its stock price is 153% more volatile than the S&P 500. Comparatively, CVS Health has a beta of 0.58, meaning that its stock price is 42% less volatile than the S&P 500.
Summary
CVS Health beats Hims & Hers Health on 10 of the 14 factors compared between the two stocks.
About Hims & Hers Health
Hims & Hers Health, Inc. operates a consumer-focused telehealth platform that connects patients with licensed healthcare providers and offers access to treatments and wellness products. Its services include online consultations, prescription care and over-the-counter products. The company serves a range of health needs, including hair loss, sexual health, skin care, mental health and weight management. Its platform also offers primary care and other services, with offerings varying by location and individual eligibility.
About CVS Health
CVS Health is a U.S.-based health care company that operates retail pharmacies, provides pharmacy benefit management services, and offers health insurance and other health services. Its businesses include CVS Pharmacy, pharmacy benefit manager CVS Caremark, and Aetna, its health benefits division. The company also provides care through MinuteClinic walk-in clinics and health care businesses including Oak Street Health and Signify Health. Its services span prescription fulfillment, pharmacy benefit management, health insurance, primary care, and in-home and community-based care.
Receive News & Ratings for Hims & Hers Health Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Hims & Hers Health and related companies with MarketBeat.com's FREE daily email newsletter.
