Head-To-Head Comparison: InfuSystem (NYSE:INFU) versus Pediatrix Medical Group (NYSE:MD)

Pediatrix Medical Group (NYSE:MD) and InfuSystem (NYSE:INFU) are both healthcare companies, but which is the superior investment? We will contrast the two companies based on the strength of their analyst recommendations, risk, valuation, earnings, profitability, institutional ownership and dividends.

Profitability

This table compares Pediatrix Medical Group and InfuSystem’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Pediatrix Medical Group	8.96%	20.05%	8.15%
InfuSystem	1.12%	2.78%	1.41%

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Pediatrix Medical Group and InfuSystem, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Pediatrix Medical Group	0	5	1	0	2.17
InfuSystem	0	0	2	0	3.00

Pediatrix Medical Group currently has a consensus target price of $26.60, indicating a potential downside of 3.99%. InfuSystem has a consensus target price of $17.50, indicating a potential upside of 25.72%. Given InfuSystem’s stronger consensus rating and higher possible upside, analysts plainly believe InfuSystem is more favorable than Pediatrix Medical Group.

Valuation and Earnings

This table compares Pediatrix Medical Group and InfuSystem”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Pediatrix Medical Group	$1.95 billion	1.15	$165.39 million	$2.09	13.26
InfuSystem	$143.34 million	1.96	$870,000.00	$0.41	33.95

Pediatrix Medical Group has higher revenue and earnings than InfuSystem. Pediatrix Medical Group is trading at a lower price-to-earnings ratio than InfuSystem, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

97.7% of Pediatrix Medical Group shares are held by institutional investors. Comparatively, 71.1% of InfuSystem shares are held by institutional investors. 1.8% of Pediatrix Medical Group shares are held by insiders. Comparatively, 10.8% of InfuSystem shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Volatility & Risk

Pediatrix Medical Group has a beta of 0.61, meaning that its stock price is 39% less volatile than the S&P 500. Comparatively, InfuSystem has a beta of 1.49, meaning that its stock price is 49% more volatile than the S&P 500.

About Pediatrix Medical Group

Pediatrix Medical Group, Inc., together with its subsidiaries, provides newborn, maternal-fetal, pediatric cardiology, and other pediatric subspecialty care services in the United States. It offers neonatal care services, such as clinical care to babies born prematurely or with complications within specific units at hospitals through neonatal physician subspecialists, neonatal nurse practitioners, and other pediatric clinicians. The company also provides maternal-fetal care services, including inpatient and office-based clinical care to expectant mothers and unborn babies through affiliated maternal-fetal medicine subspecialists, as well as obstetricians and other clinicians, including maternal-fetal nurse practitioners, certified nurse mid-wives, sonographers, and genetic counselors. In addition, it offers pediatric cardiology care services comprising inpatient and office-based pediatric cardiology care of the fetus, infant, child, and adolescent patient with congenital heart defects and acquired heart disease, as well as adults with congenital heart defects through affiliated pediatric cardiologist subspecialists and other related clinical professionals, including pediatric nurse practitioners, echocardiographers, other diagnostic technicians, and exercise physiologists; and specialized cardiac care to the fetus, neonatal and pediatric patients. Further, the company provides other pediatric subspecialty care services, such as pediatric intensivists, pediatric hospitalists, pediatric surgeons, and pediatric ophthalmologists, as well as pediatric ear, nose, and throat physicians, pediatric gastroenterologists; and support services in the areas of hospitals, primarily in the pediatric emergency rooms, labor and delivery areas, and nursery and pediatric departments. The company was formerly known as MEDNAX, Inc. and changed its name to Pediatrix Medical Group, Inc. in July 2022. Pediatrix Medical Group, Inc. was founded in 1979 and is based in Sunrise, Florida.

About InfuSystem

InfuSystem Holdings, Inc., through its subsidiaries, provides infusion pumps, and related products and services in the United States and Canada. The company operates in two segments, Patient Services and Device Solutions. It supplies electronic ambulatory infusion pumps and associated disposable supply kits to oncology, infusion, and hospital outpatient chemotherapy clinics for the treatment of various cancers, including colorectal cancer, pain management, and other disease states. The company also sells, rents, and leases new and pre-owned pole-mounted and ambulatory infusion pumps, and other durable medical equipment; sells treatment-related consumables; and provides biomedical recertification, maintenance, and repair services for oncology practices, as well as other healthcare site settings comprising hospitals, home care and home infusion providers, skilled nursing and acute care facilities, pain centers, and others. In addition, it offers local and field-based customer support, as well as operates pump service and repair centers. The company was incorporated in 2005 and is headquartered in Rochester Hills, Michigan.