Molina Healthcare (NYSE:MOH) versus NeueHealth (NYSE:NEUE) Head to Head Contrast

Molina Healthcare (NYSE:MOH) and NeueHealth (NYSE:NEUE) are both medical companies, but which is the better business? We will contrast the two businesses based on the strength of their risk, valuation, analyst recommendations, dividends, institutional ownership, profitability and earnings.

Analyst Ratings

This is a breakdown of current recommendations for Molina Healthcare and NeueHealth, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Molina Healthcare	1	4	6	1	2.58
NeueHealth	0	1	0	0	2.00

Molina Healthcare presently has a consensus target price of $407.45, suggesting a potential upside of 32.70%. NeueHealth has a consensus target price of $8.00, suggesting a potential upside of 48.42%. Given NeueHealth’s higher possible upside, analysts clearly believe NeueHealth is more favorable than Molina Healthcare.

Volatility & Risk

Molina Healthcare has a beta of 0.57, indicating that its share price is 43% less volatile than the S&P 500. Comparatively, NeueHealth has a beta of 0.78, indicating that its share price is 22% less volatile than the S&P 500.

Institutional and Insider Ownership

98.5% of Molina Healthcare shares are owned by institutional investors. Comparatively, 63.9% of NeueHealth shares are owned by institutional investors. 1.1% of Molina Healthcare shares are owned by company insiders. Comparatively, 64.3% of NeueHealth shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares Molina Healthcare and NeueHealth’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Molina Healthcare	2.99%	29.86%	8.21%
NeueHealth	-89.78%	-5.62%	2.57%

Valuation & Earnings

This table compares Molina Healthcare and NeueHealth’s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Molina Healthcare	$34.07 billion	0.53	$1.09 billion	$18.43	16.66
NeueHealth	$1.11 billion	0.04	-$1.15 billion	($130.73)	-0.04

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

Summary

Molina Healthcare beats NeueHealth on 12 of the 15 factors compared between the two stocks.

About Molina Healthcare

Molina Healthcare, Inc. provides managed healthcare services to low-income families and individuals under the Medicaid and Medicare programs and through the state insurance marketplaces. It operates in four segments: Medicaid, Medicare, Marketplace, and Other. The company served in across 19 states. The company was founded in 1980 and is headquartered in Long Beach, California.

About NeueHealth

NeueHealth, Inc., a healthcare company, provides various healthcare services for health consumers, providers, and payors in the United States. It operates through two segments: NeueCare and NeueSolutions. The NeueCare segment delivers healthcare services to ACA marketplace, medicare, and medicaid through owned and affiliated clinics. It operates risk-bearing clinics under the Centrum Health, AssociatesMD, and Premier Medical Associates brand names. The company also offers integrated system care solution, such as embedded pharmacy, laboratory, radiology, and population health focused specialty services; and chronic care management, transitions of care, and referral management services. The NeueSolutions segment enables providers and medical groups to succeed in performance-based arrangements; and participates in the centers for healthcare access to medicare beneficiaries. The company was formerly known as Bright Health Group, Inc. and changed its name to NeueHealth, Inc. in January 2024. NeueHealth, Inc. was incorporated in 2015 and is headquartered in Doral, Florida.