GoodRx (GDRX) and Its Peers Head to Head Review

GoodRx (NASDAQ:GDRX) is one of 93 public companies in the “Healthcare Technology” industry, but how does it weigh in compared to its peers? We will compare GoodRx to related businesses based on the strength of its profitability, analyst recommendations, risk, institutional ownership, dividends, earnings and valuation.

Analyst Ratings

This is a summary of current ratings and recommmendations for GoodRx and its peers, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
GoodRx	3	6	4	0	2.08
GoodRx Competitors	455	1537	2754	89	2.51

GoodRx currently has a consensus price target of $4.15, indicating a potential upside of 16.57%. As a group, “Healthcare Technology” companies have a potential upside of 44.42%. Given GoodRx’s peers stronger consensus rating and higher possible upside, analysts clearly believe GoodRx has less favorable growth aspects than its peers.

Risk & Volatility

GoodRx has a beta of 1.66, suggesting that its stock price is 66% more volatile than the S&P 500. Comparatively, GoodRx’s peers have a beta of 1.11, suggesting that their average stock price is 11% more volatile than the S&P 500.

Profitability

This table compares GoodRx and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
GoodRx	2.07%	7.22%	2.53%
GoodRx Competitors	-750.30%	-29.45%	-15.32%

Valuation & Earnings

This table compares GoodRx and its peers top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
GoodRx	$796.85 million	$30.44 million	89.00
GoodRx Competitors	$341.86 million	-$24.15 million	12.85

GoodRx has higher revenue and earnings than its peers. GoodRx is trading at a higher price-to-earnings ratio than its peers, indicating that it is currently more expensive than other companies in its industry.

Insider and Institutional Ownership

63.8% of GoodRx shares are held by institutional investors. Comparatively, 42.4% of shares of all “Healthcare Technology” companies are held by institutional investors. 5.9% of GoodRx shares are held by company insiders. Comparatively, 16.2% of shares of all “Healthcare Technology” companies are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Summary

GoodRx beats its peers on 8 of the 13 factors compared.

About GoodRx

GoodRx Holdings, Inc. operates a digital healthcare platform that helps consumers in the United States compare prescription medication prices at pharmacies. Its website and mobile app provide free price comparisons and discounts that consumers can use when paying for eligible prescriptions. The company also offers subscription services, including GoodRx Gold, and provides access to telehealth and other care services through GoodRx Care. Its platform connects consumers with pharmacies and healthcare providers, while its services for pharmaceutical companies include programs that help make medications and savings offers available to patients.