Analyzing Centene (NYSE:CNC) and Chartwell Retirement Residences (OTCMKTS:CWSRF)

Chartwell Retirement Residences (OTCMKTS:CWSRF) and Centene (NYSE:CNC) are both healthcare companies, but which is the superior investment? We will contrast the two companies based on the strength of their valuation, earnings, profitability, risk, institutional ownership, analyst recommendations and dividends.

Analyst Ratings

This is a summary of current ratings for Chartwell Retirement Residences and Centene, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Chartwell Retirement Residences	0	0	4	0	3.00
Centene	2	9	8	1	2.40

Centene has a consensus price target of $69.15, indicating a potential upside of 2.99%. Given Centene’s higher probable upside, analysts plainly believe Centene is more favorable than Chartwell Retirement Residences.

Profitability

This table compares Chartwell Retirement Residences and Centene’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Chartwell Retirement Residences	N/A	N/A	N/A
Centene	-2.51%	12.12%	3.20%

Valuation & Earnings

This table compares Chartwell Retirement Residences and Centene”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Chartwell Retirement Residences	N/A	N/A	N/A	($0.03)	-545.81
Centene	$202.94 billion	0.16	-$6.67 billion	($10.44)	-6.43

Chartwell Retirement Residences has higher earnings, but lower revenue than Centene. Chartwell Retirement Residences is trading at a lower price-to-earnings ratio than Centene, indicating that it is currently the more affordable of the two stocks.

Institutional & Insider Ownership

37.8% of Chartwell Retirement Residences shares are owned by institutional investors. Comparatively, 93.6% of Centene shares are owned by institutional investors. 0.4% of Centene shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Summary

Centene beats Chartwell Retirement Residences on 9 of the 12 factors compared between the two stocks.

About Chartwell Retirement Residences

Chartwell is in the business of serving and caring for Canada’s seniors, committed to its vision of Making People’s Lives BETTER and to providing a happier, healthier, and more fulfilling life experience for its residents. Chartwell is an unincorporated, open-ended real estate trust which indirectly owns and operates a complete range of seniors housing communities, from independent living through to assisted living and long term care. Chartwell is the largest operator in Canada, serving over 25,000 residents in four provinces across the country.

About Centene

Centene Corporation operates as a healthcare enterprise that provides programs and services to under-insured and uninsured families, commercial organizations, and military families in the United States. The company operates through Medicaid, Medicare, Commercial, and Other segments. The Medicaid segment offers health plan coverage, including medicaid expansion, aged, blind, disabled, children’s health insurance program, foster care, medicare-medicaid plans, long-term services and support. This segment also provides healthcare products. The Medicare segment offers special needs and medicare supplement, and prescription drug plans. The Commercial segment provides health insurance marketplace product for individual, small, and large group commercials. It also operates clinical healthcare and pharmacies, as well as offers dental and speech therapy services. In addition, the company engages in the government contracts business under the TRICARE program and other healthcare related government contracts. It provides services through primary and specialty care physicians, hospitals, and ancillary providers. Centene Corporation was founded in 1984 and is headquartered in Saint Louis, Missouri.