Analyzing RadNet (NASDAQ:RDNT) and Oncology Institute (NASDAQ:TOI)

Oncology Institute (NASDAQ:TOI) and RadNet (NASDAQ:RDNT) are both healthcare companies, but which is the superior business? We will compare the two businesses based on the strength of their earnings, dividends, risk, institutional ownership, profitability, analyst recommendations and valuation.

Volatility & Risk

Oncology Institute has a beta of 0.39, indicating that its share price is 61% less volatile than the S&P 500. Comparatively, RadNet has a beta of 1.36, indicating that its share price is 36% more volatile than the S&P 500.

Insider and Institutional Ownership

36.9% of Oncology Institute shares are held by institutional investors. Comparatively, 77.9% of RadNet shares are held by institutional investors. 4.4% of Oncology Institute shares are held by insiders. Comparatively, 5.1% of RadNet shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Earnings and Valuation

This table compares Oncology Institute and RadNet”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Oncology Institute	$545.76 million	0.94	-$60.61 million	($0.37)	-14.02
RadNet	$2.04 billion	2.96	-$18.65 million	($0.27)	-283.74

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

Analyst Ratings

This is a summary of recent recommendations and price targets for Oncology Institute and RadNet, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Oncology Institute	1	0	4	0	2.60
RadNet	1	1	5	2	2.89

Oncology Institute presently has a consensus target price of $8.50, suggesting a potential upside of 63.90%. RadNet has a consensus target price of $88.00, suggesting a potential upside of 14.87%. Given Oncology Institute’s higher possible upside, equities research analysts plainly believe Oncology Institute is more favorable than RadNet.

Profitability

This table compares Oncology Institute and RadNet’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Oncology Institute	-7.42%	N/A	-24.68%
RadNet	-0.93%	2.61%	0.91%

Summary

RadNet beats Oncology Institute on 13 of the 15 factors compared between the two stocks.

About Oncology Institute

The Oncology Institute, Inc., an oncology company, provides various medical oncology services in the United States. The company operates through three segments: Dispensary, Patient Services, and Clinical Trials & Other. It offers physician services, in-house infusion and dispensary, clinical trial, radiation, outpatient blood product transfusion, and patient support services, as well as educational seminars, support groups, and counseling services. The company also provides managing clinical trials, palliative care programs, stem cell transplants services, and other care delivery models associated with non-community-based academic and tertiary care settings; and conducts clinical trials for a range of pharmaceutical and medical device companies. It serves adult and senior cancer patients. The company has a strategic collaboration with Healthly Forge to offer cancer care services to patients in Southern California. The Oncology Institute, Inc. was founded in 2007 and is headquartered in Cerritos, California.

About RadNet

RadNet, Inc., together with its subsidiaries, provides outpatient diagnostic imaging services in the United States. The company operates in two segments: Imaging Centers and Artificial Intelligence. Its services include magnetic resonance imaging, computed tomography, positron emission tomography, nuclear medicine, mammography, ultrasound, diagnostic radiology, fluoroscopy, and other related procedures, as well as multi-modality imaging services. The company also develops and sells computerized systems that distribute, display, store, and retrieve digital images; offers picture archiving communications systems and related services; and develops and deploys AI suites to enhance radiologist interpretation of breast, lung, and prostate images, as well as AI solutions for prostate cancer screening. RadNet, Inc. was founded in 1981 and is headquartered in Los Angeles, California.