R1 RCM Inc (RCM)vsTempus AI, Inc. Class A Common Stock (TEM)
RCM
R1 RCM Inc
$14.31
0.00%
HEALTHCARE · Cap: $6.04B
TEM
Tempus AI, Inc. Class A Common Stock
$53.50
-1.05%
HEALTHCARE · Cap: $9.87B
Smart Verdict
WallStSmart Research — data-driven comparison
R1 RCM Inc generates 94% more annual revenue ($2.46B vs $1.27B). RCM leads profitability with a -2.5% profit margin vs -19.3%. RCM earns a higher WallStSmart Score of 39/100 (F).
RCM
Hold39
out of 100
Grade: F
TEM
Avoid31
out of 100
Grade: F
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+47.9%
Fair Value
$27.45
Current Price
$14.31
$13.14 discount
Margin of Safety
-71.3%
Fair Value
$31.29
Current Price
$53.50
$22.21 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Revenue surging 83.0% year-over-year
Areas to Watch
Expensive relative to growth rate
Operating margin of 3.8%
ROE of -2.2% — below average capital efficiency
Earnings declined 99.3%
Trading at 19.4x book value
0.0% earnings growth
ROE of -89.5% — below average capital efficiency
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull Case : RCM
The strongest argument for RCM centers on Price/Book. Revenue growth of 14.7% demonstrates continued momentum.
Bull Case : TEM
The strongest argument for TEM centers on Revenue Growth. Revenue growth of 83.0% demonstrates continued momentum.
Bear Case : RCM
The primary concerns for RCM are PEG Ratio, Operating Margin, Return on Equity.
Bear Case : TEM
The primary concerns for TEM are Price/Book, EPS Growth, Return on Equity. Debt-to-equity of 2.63 is elevated, increasing financial risk.
Key Dynamics to Monitor
RCM profiles as a turnaround stock while TEM is a hypergrowth play — different risk/reward profiles.
TEM is growing revenue faster at 83.0% — sustainability is the question.
RCM generates stronger free cash flow (60M), providing more financial flexibility.
Monitor HEALTH INFORMATION SERVICES industry trends, competitive dynamics, and regulatory changes.
Bottom Line
RCM scores higher overall (39/100 vs 31/100) and 14.7% revenue growth. Both earn "Hold" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
R1 RCM Inc
HEALTHCARE · HEALTH INFORMATION SERVICES · USA
R1 RCM Inc (RCM) is a premier provider of technology-driven revenue cycle management services that enhance the financial performance of healthcare organizations nationwide. Utilizing cutting-edge analytics and industry insights, R1 RCM delivers holistic solutions that streamline billing processes and boost operational efficiencies for a wide range of clients, including hospitals and outpatient facilities. The company’s innovative methodologies not only optimize revenue capture but also significantly improve patient experiences, solidifying its position as a pivotal player in the dynamic healthcare landscape. With a strategic focus on expanding its service capabilities and market penetration, R1 RCM is well-positioned to meet the surging demand for sophisticated revenue cycle solutions within the healthcare industry.
Tempus AI, Inc. Class A Common Stock
HEALTHCARE · HEALTH INFORMATION SERVICES · USA
Tempus AI, Inc is a healthcare technology company. The company is headquartered in Chicago, Illinois.
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