WallStSmart

Omega Healthcare Investors Inc (OHI)vsWest Pharmaceutical Services Inc (WST)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

West Pharmaceutical Services Inc generates 161% more annual revenue ($3.22B vs $1.24B). OHI leads profitability with a 51.1% profit margin vs 16.9%. WST appears more attractively valued with a PEG of 2.89. WST earns a higher WallStSmart Score of 67/100 (B-).

OHI

Strong Buy

67

out of 100

Grade: B-

Growth: 8.7Profit: 8.0Value: 6.0Quality: 6.0
Piotroski: 4/9Altman Z: 0.78

WST

Strong Buy

67

out of 100

Grade: B-

Growth: 7.3Profit: 8.0Value: 2.7Quality: 7.3
Piotroski: 5/9Altman Z: 4.91
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

OHIUndervalued (+41.1%)

Margin of Safety

+41.1%

Fair Value

$79.42

Current Price

$47.19

$32.23 discount

UndervaluedFair: $79.42Overvalued
WSTSignificantly Overvalued (-32.4%)

Margin of Safety

-32.4%

Fair Value

$185.95

Current Price

$325.92

$139.97 premium

UndervaluedFair: $185.95Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

OHI5 strengths · Avg: 8.8/10
Profit MarginProfitability
51.1%10/10

Keeps 51 of every $100 in revenue as profit

Operating MarginProfitability
64.1%10/10

Strong operational efficiency at 64.1%

Price/BookValuation
2.7x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
16.7%8/10

16.7% revenue growth

EPS GrowthGrowth
39.3%8/10

Earnings expanding 39.3% YoY

WST4 strengths · Avg: 9.0/10
EPS GrowthGrowth
56.1%10/10

Earnings expanding 56.1% YoY

Altman Z-ScoreHealth
4.9110/10

Safe zone — low bankruptcy risk

Operating MarginProfitability
21.7%8/10

Strong operational efficiency at 21.7%

Revenue GrowthGrowth
21.0%8/10

Revenue surging 21.0% year-over-year

Areas to Watch

OHI2 concerns · Avg: 2.0/10
PEG RatioValuation
11.992/10

Expensive relative to growth rate

Altman Z-ScoreHealth
0.782/10

Distress zone — elevated risk

WST2 concerns · Avg: 2.0/10
PEG RatioValuation
2.892/10

Expensive relative to growth rate

P/E RatioValuation
41.8x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : OHI

The strongest argument for OHI centers on Profit Margin, Operating Margin, Price/Book. Profitability is solid with margins at 51.1% and operating margin at 64.1%. Revenue growth of 16.7% demonstrates continued momentum.

Bull Case : WST

The strongest argument for WST centers on EPS Growth, Altman Z-Score, Operating Margin. Profitability is solid with margins at 16.9% and operating margin at 21.7%. Revenue growth of 21.0% demonstrates continued momentum.

Bear Case : OHI

The primary concerns for OHI are PEG Ratio, Altman Z-Score.

Bear Case : WST

The primary concerns for WST are PEG Ratio, P/E Ratio. A P/E of 41.8x leaves little room for execution misses.

Key Dynamics to Monitor

WST carries more volatility with a beta of 1.17 — expect wider price swings.

WST is growing revenue faster at 21.0% — sustainability is the question.

OHI generates stronger free cash flow (210M), providing more financial flexibility.

Monitor REIT - HEALTHCARE FACILITIES industry trends, competitive dynamics, and regulatory changes.

Bottom Line

OHI scores higher overall (67/100 vs 67/100), backed by strong 51.1% margins and 16.7% revenue growth. Both earn "Strong Buy" and "Strong 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.

Omega Healthcare Investors Inc

REAL ESTATE · REIT - HEALTHCARE FACILITIES · USA

Omega is a real estate investment trust that invests in the long-term healthcare industry, primarily skilled nursing and assisted living facilities.

Visit Website →

West Pharmaceutical Services Inc

HEALTHCARE · MEDICAL INSTRUMENTS & SUPPLIES · USA

West Pharmaceutical Services, Inc. is a designer and manufacturer of injectable pharmaceutical packaging and delivery systems. The company is headquartered in Exton, Pennsylvania.

Want to dig deeper into these stocks?