Contrasting NeueHealth (NYSE:NEUE) and Oscar Health (NYSE:OSCR)

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

Valuation & Earnings

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
NeueHealth	$1.16 billion	0.05	-$1.15 billion	($151.20)	-0.04
Oscar Health	$5.86 billion	0.77	-$270.73 million	($1.20)	-16.48

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

Institutional & Insider Ownership

63.9% of NeueHealth shares are owned by institutional investors. Comparatively, 75.7% of Oscar Health shares are owned by institutional investors. 64.3% of NeueHealth shares are owned by company insiders. Comparatively, 25.5% of Oscar Health shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Profitability

This table compares NeueHealth and Oscar Health’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
NeueHealth	-71.23%	N/A	-1.21%
Oscar Health	-4.62%	-29.99%	-6.77%

Volatility and Risk

NeueHealth has a beta of 0.78, indicating that its share price is 22% less volatile than the S&P 500. Comparatively, Oscar Health has a beta of 1.66, indicating that its share price is 66% more volatile than the S&P 500.

Analyst Ratings

This is a breakdown of current ratings and price targets for NeueHealth and Oscar Health, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
NeueHealth	0	1	0	0	2.00
Oscar Health	0	2	4	0	2.67

NeueHealth currently has a consensus target price of $8.00, suggesting a potential upside of 25.00%. Oscar Health has a consensus target price of $13.50, suggesting a potential downside of 31.73%. Given NeueHealth’s higher possible upside, equities analysts clearly believe NeueHealth is more favorable than Oscar Health.

Summary

Oscar Health beats NeueHealth on 9 of the 14 factors compared between the two stocks.

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.

About Oscar Health

Oscar Health, Inc. operates as a health insurance in the United States. The company offers health plans in individual and small group markets, as well as +Oscar, a technology driven platform that help providers and payors directly enable their shift to value-based care. It also provides reinsurance products. The company was formerly known as Mulberry Health Inc. and changed its name to Oscar Health, Inc. in January 2021. Oscar Health, Inc. was incorporated in 2012 and is headquartered in New York, New York.