Chemed (NYSE:CHE) versus Ethema Health (OTCMKTS:GRST) Financial Comparison

Ethema Health (OTCMKTS:GRST) and Chemed (NYSE:CHE) are both healthcare companies, but which is the better investment? We will compare the two businesses based on the strength of their analyst recommendations, valuation, earnings, profitability, institutional ownership, risk and dividends.

Analyst Recommendations

This is a summary of recent recommendations and price targets for Ethema Health and Chemed, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ethema Health	0	0	0	0	0.00
Chemed	0	5	1	0	2.17

Chemed has a consensus target price of $530.75, suggesting a potential upside of 1.37%. Given Chemed’s stronger consensus rating and higher possible upside, analysts plainly believe Chemed is more favorable than Ethema Health.

Profitability

This table compares Ethema Health and Chemed’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Ethema Health	-11.61%	N/A	-7.48%
Chemed	10.60%	31.77%	18.90%

Valuation and Earnings

This table compares Ethema Health and Chemed”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Ethema Health	$18.76 million	0.04	-$2.18 million	N/A	N/A
Chemed	$2.53 billion	2.70	$265.24 million	$19.91	26.30

Chemed has higher revenue and earnings than Ethema Health.

Institutional & Insider Ownership

95.8% of Chemed shares are owned by institutional investors. 55.7% of Ethema Health shares are owned by insiders. Comparatively, 3.3% of Chemed shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Volatility & Risk

Ethema Health has a beta of 0.88, indicating that its share price is 12% less volatile than the S&P 500. Comparatively, Chemed has a beta of 0.51, indicating that its share price is 49% less volatile than the S&P 500.

Summary

Chemed beats Ethema Health on 10 of the 12 factors compared between the two stocks.

About Ethema Health

Ethema Health Corporation operates behavioral healthcare space specifically in the treatment of substance use disorders. It offers rehabilitation services. The company was formerly known as GreeneStone Healthcare Corporation and changed its name to Ethema Health Corporation in April 2017. Ethema Health Corporation is based in West Palm Beach, Florida.

About Chemed

Chemed Corporation provides hospice and palliative care services to patients through a network of physicians, registered nurses, home health aides, social workers, clergy, and volunteers primarily in the United States. The company operates in VITAS and Roto-Rooter segments. It offers plumbing, drain cleaning, excavation, water restoration, and other related services to residential and commercial customers through company-owned branches, independent contractors, and franchisees. The company was incorporated in 1970 and is headquartered in Cincinnati, Ohio.