Contrasting Alignment Healthcare (ALHC) & Its Rivals

Alignment Healthcare (NASDAQ:ALHC) is one of 233 public companies in the “Healthcare Providers & Services” industry, but how does it contrast to its rivals? We will compare Alignment Healthcare to related businesses based on the strength of its analyst recommendations, dividends, institutional ownership, risk, profitability, earnings and valuation.

Risk and Volatility

Alignment Healthcare has a beta of 1.07, indicating that its stock price is 7% more volatile than the S&P 500. Comparatively, Alignment Healthcare’s rivals have a beta of 0.98, indicating that their average stock price is 2% less volatile than the S&P 500.

Analyst Ratings

This is a summary of current ratings for Alignment Healthcare and its rivals, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Alignment Healthcare	1	6	6	0	2.38
Alignment Healthcare Competitors	1858	7714	13302	815	2.55

Alignment Healthcare currently has a consensus target price of $14.00, indicating a potential upside of 85.19%. As a group, “Healthcare Providers & Services” companies have a potential upside of 13.10%. Given Alignment Healthcare’s higher probable upside, equities research analysts plainly believe Alignment Healthcare is more favorable than its rivals.

Valuation and Earnings

This table compares Alignment Healthcare and its rivals revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Alignment Healthcare	$4.94 billion	-$720,000.00	58.15
Alignment Healthcare Competitors	$19.09 billion	$288.54 million	14.42

Alignment Healthcare’s rivals have higher revenue and earnings than Alignment Healthcare. Alignment Healthcare is trading at a higher price-to-earnings ratio than its rivals, indicating that it is currently more expensive than other companies in its industry.

Profitability

This table compares Alignment Healthcare and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Alignment Healthcare	0.59%	12.46%	2.36%
Alignment Healthcare Competitors	-8.01%	-140.31%	-1.38%

Insider & Institutional Ownership

86.2% of Alignment Healthcare shares are owned by institutional investors. Comparatively, 56.7% of shares of all “Healthcare Providers & Services” companies are owned by institutional investors. 5.2% of Alignment Healthcare shares are owned by insiders. Comparatively, 15.0% of shares of all “Healthcare Providers & Services” companies are owned by 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.

Summary

Alignment Healthcare beats its rivals on 7 of the 13 factors compared.

About Alignment Healthcare

Alignment Healthcare, Inc., a tech-enabled Medicare advantage company, operates consumer-centric health care platform for seniors in the United States. It provides customized health care designed to meet the needs of a diverse array of seniors through its Medicare advantage plans. The company was founded in 2013 and is based in Orange, California.