Reviewing Pediatrix Medical Group (NYSE:MD) and Ethema Health (OTCMKTS:GRST)

Pediatrix Medical Group (NYSE:MD) and Ethema Health (OTCMKTS:GRST) are both small-cap medical companies, but which is the better stock? We will compare the two companies based on the strength of their profitability, institutional ownership, risk, valuation, dividends, earnings and analyst recommendations.

Earnings & Valuation

This table compares Pediatrix Medical Group and Ethema Health”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Pediatrix Medical Group	$1.91 billion	0.92	$165.39 million	$2.06	10.46
Ethema Health	$6.02 million	0.13	-$2.06 million	N/A	N/A

Pediatrix Medical Group has higher revenue and earnings than Ethema Health.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Pediatrix Medical Group	9.02%	19.94%	8.02%
Ethema Health	-9.35%	N/A	-5.77%

Institutional & Insider Ownership

97.7% of Pediatrix Medical Group shares are owned by institutional investors. 1.8% of Pediatrix Medical Group shares are owned by company insiders. Comparatively, 55.8% of Ethema Health shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Volatility & Risk

Pediatrix Medical Group has a beta of 0.7, indicating that its stock price is 30% less volatile than the S&P 500. Comparatively, Ethema Health has a beta of 0.86, indicating that its stock price is 14% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of current recommendations and price targets for Pediatrix Medical Group and Ethema Health, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Pediatrix Medical Group	0	5	1	0	2.17
Ethema Health	0	0	0	0	0.00

Pediatrix Medical Group presently has a consensus price target of $22.50, indicating a potential upside of 4.41%. Given Pediatrix Medical Group’s stronger consensus rating and higher probable upside, equities research analysts clearly believe Pediatrix Medical Group is more favorable than Ethema Health.

Summary

Pediatrix Medical Group beats Ethema Health on 10 of the 12 factors compared between the two stocks.

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 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.