WallStSmart

Astrana Health Inc (ASTH)vsEncompass Health Corp (EHC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Encompass Health Corp generates 72% more annual revenue ($6.07B vs $3.53B). EHC leads profitability with a 10.0% profit margin vs 0.9%. EHC trades at a lower P/E of 17.4x. EHC earns a higher WallStSmart Score of 75/100 (B+).

ASTH

Buy

56

out of 100

Grade: C

Growth: 10.0Profit: 4.5Value: 5.7Quality: 4.5
Piotroski: 1/9Altman Z: 2.08

EHC

Strong Buy

75

out of 100

Grade: B+

Growth: 8.0Profit: 7.5Value: 6.7Quality: 6.0
Piotroski: 6/9Altman Z: 2.12
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ASTHUndervalued (+89.9%)

Margin of Safety

+89.9%

Fair Value

$188.57

Current Price

$37.99

$150.58 discount

UndervaluedFair: $188.57Overvalued
EHCSignificantly Overvalued (-57.0%)

Margin of Safety

-57.0%

Fair Value

$72.27

Current Price

$104.01

$31.74 premium

UndervaluedFair: $72.27Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ASTH3 strengths · Avg: 9.3/10
Revenue GrowthGrowth
55.6%10/10

Revenue surging 55.6% year-over-year

EPS GrowthGrowth
110.1%10/10

Earnings expanding 110.1% YoY

Price/BookValuation
2.3x8/10

Reasonable price relative to book value

EHC4 strengths · Avg: 8.8/10
PEG RatioValuation
0.4110/10

Growing faster than its price suggests

Return on EquityProfitability
24.2%9/10

Every $100 of equity generates 24 in profit

P/E RatioValuation
17.4x8/10

Attractively priced relative to earnings

EPS GrowthGrowth
30.3%8/10

Earnings expanding 30.3% YoY

Areas to Watch

ASTH4 concerns · Avg: 3.0/10
Market CapQuality
$1.87B3/10

Smaller company, higher risk/reward

Return on EquityProfitability
3.8%3/10

ROE of 3.8% — below average capital efficiency

Profit MarginProfitability
0.9%3/10

0.9% margin — thin

Operating MarginProfitability
3.0%3/10

Operating margin of 3.0%

EHC1 concerns · Avg: 3.0/10
Debt/EquityHealth
1.113/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull Case : ASTH

The strongest argument for ASTH centers on Revenue Growth, EPS Growth, Price/Book. Revenue growth of 55.6% demonstrates continued momentum.

Bull Case : EHC

The strongest argument for EHC centers on PEG Ratio, Return on Equity, P/E Ratio. PEG of 0.41 suggests the stock is reasonably priced for its growth.

Bear Case : ASTH

The primary concerns for ASTH are Market Cap, Return on Equity, Profit Margin. A P/E of 61.7x leaves little room for execution misses. Thin 0.9% margins leave little buffer for downturns.

Bear Case : EHC

The primary concerns for EHC are Debt/Equity.

Key Dynamics to Monitor

ASTH profiles as a hypergrowth stock while EHC is a value play — different risk/reward profiles.

ASTH carries more volatility with a beta of 0.99 — expect wider price swings.

ASTH is growing revenue faster at 55.6% — sustainability is the question.

EHC generates stronger free cash flow (151M), providing more financial flexibility.

Bottom Line

EHC scores higher overall (75/100 vs 56/100). ASTH offers better value entry with a 89.9% margin of safety. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Astrana Health Inc

HEALTHCARE · MEDICAL CARE FACILITIES · USA

Astrana Health, Inc., Inc., a physician-centric technology-powered healthcare management company, provides medical care services in the United States. The company is headquartered in Alhambra, California.

Encompass Health Corp

HEALTHCARE · MEDICAL CARE FACILITIES · USA

Encompass Health Corporation offers in-home and post-acute health care services in the United States. The company is headquartered in Birmingham, Alabama.

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