Critical Comparison: Labcorp (NYSE:LH) and Amplifon (OTCMKTS:AMFPF)

Labcorp (NYSE:LH) and Amplifon (OTCMKTS:AMFPF) are both medical companies, but which is the better business? We will contrast the two businesses based on the strength of their dividends, earnings, institutional ownership, analyst recommendations, valuation, profitability and risk.

Profitability

This table compares Labcorp and Amplifon’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Labcorp	6.21%	15.85%	7.35%
Amplifon	4.74%	14.28%	3.89%

Institutional and Insider Ownership

95.9% of Labcorp shares are owned by institutional investors. 0.8% of Labcorp shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Risk and Volatility

Labcorp has a beta of 0.99, suggesting that its share price is 1% less volatile than the S&P 500. Comparatively, Amplifon has a beta of 0.41, suggesting that its share price is 59% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent ratings and price targets for Labcorp and Amplifon, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Labcorp	0	4	11	0	2.73
Amplifon	0	0	2	0	3.00

Labcorp currently has a consensus price target of $299.08, indicating a potential upside of 15.83%. Given Labcorp’s higher possible upside, equities research analysts clearly believe Labcorp is more favorable than Amplifon.

Valuation and Earnings

This table compares Labcorp and Amplifon”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Labcorp	$13.01 billion	1.65	$746.00 million	$10.18	25.36
Amplifon	$2.61 billion	1.35	$157.31 million	$0.56	27.78

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

Summary

Labcorp beats Amplifon on 12 of the 14 factors compared between the two stocks.

About Labcorp

Labcorp Holdings, Inc. engages in providing medical testing services. The company was founded on April 16, 2024 and is headquartered in Burlington, NC.

About Amplifon

Amplifon S.p.A. engages in the distribution of hearing solutions and the fitting of customized products that help people rediscover various emotions of sound in Europe, the Middle East, Africa, the Americas, and the Asia Pacific. The company offers Ampli-easy, Ampli-connect, Ampli-energy, and Ampli-mini hearing devices. It also operates Ampli-care, a platform to deliver audiological care experience; and Amplifon App to manage the device functions in real-time directly from smartphone. Amplifon S.p.A. was founded in 1950 and is headquartered in Milan, Italy. Amplifon S.p.A.