Signify Health (NYSE:SGFY) versus Enhabit (NYSE:EHAB) Financial Analysis

Signify Health (NYSE:SGFYGet Rating) and Enhabit (NYSE:EHABGet Rating) are both medical companies, but which is the better business? We will contrast the two companies based on the strength of their institutional ownership, valuation, profitability, analyst recommendations, risk, dividends and earnings.

Analyst Ratings

This is a summary of current ratings for Signify Health and Enhabit, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Signify Health 0 2 7 0 2.78
Enhabit 1 0 0 0 1.00

Signify Health presently has a consensus price target of $24.33, indicating a potential upside of 22.46%. Enhabit has a consensus price target of $16.00, indicating a potential upside of 25.49%. Given Enhabit’s higher possible upside, analysts plainly believe Enhabit is more favorable than Signify Health.

Profitability

This table compares Signify Health and Enhabit’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Signify Health -40.14% 5.41% 3.73%
Enhabit N/A N/A N/A

Valuation and Earnings

This table compares Signify Health and Enhabit’s gross revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Signify Health $773.40 million 6.00 $19.70 million ($1.91) -10.40
Enhabit $1.11 billion 0.57 $111.10 million N/A N/A

Enhabit has higher revenue and earnings than Signify Health.

Summary

Signify Health beats Enhabit on 5 of the 9 factors compared between the two stocks.

About Signify Health

(Get Rating)

Signify Health, Inc. operates a healthcare platform that utilizes analytics, technology, and healthcare provider networks in the United States. The company operates through Home & Community Services and Episodes of Care Services segments. The Home & Community Services segment offers health evaluations performed within the patient's home or at a healthcare provider facility primarily to Medicare Advantage health plans; diagnostic screening and other ancillary services; and services to address healthcare concerns related to social determinants of health. The Episodes of Care Services segment provides services to enhance the healthcare delivery through developing and managing episodic payment programs in partnership with healthcare providers under the Bundled Payment for Care Improvement Advanced program with Centers for Medicare and Medicaid Services; and care management services. The company serves health plans, governments, employers, health systems, and physician groups. The company operates in Norwalk, Connecticut, New York, New York, Dallas, Texas, South Dakota, Deerfield, Florida, and Rapid City. Signify Health, Inc. was founded in 2017 and is headquartered in Dallas, Texas.

About Enhabit

(Get Rating)

Enhabit, Inc. provides home health and hospice services in the United States. Its home health services include patient education, pain management, wound care and dressing changes, cardiac rehabilitation, infusion therapy, pharmaceutical administration, and skilled observation and assessment services; practices to treat chronic diseases and conditions, including diabetes, hypertension, arthritis, Alzheimer's disease, low vision, spinal stenosis, Parkinson's disease, osteoporosis, complex wound care and chronic pain, along with disease-specific plans for patients with diabetes, congestive heart failure, post-orthopedic surgery, or injury and respiratory diseases; and physical, occupational and speech therapists provide therapy services. The company also offers hospice services, including pain and symptom management, palliative and dietary counseling, social worker visits, spiritual counseling, and bereavement counseling services to meet the individual physical, emotional, spiritual, and psychosocial needs of terminally ill patients and their families. As of March 31, 2022, it operated in 252 home health agencies and 99 hospice agencies across 34 states. The company was formerly known as Encompass Health Home Health Holdings, Inc. and changed its name to Enhabit, Inc. in March 2022. Enhabit, Inc. was incorporated in 2014 and is headquartered in Dallas, Texas. As of July 1, 2022, Enhabit, Inc. operates as a standalone company.

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