R1 RCM Inc (RCM)vsWaystar Holding Corp. Common Stock (WAY)
RCM
R1 RCM Inc
$14.31
0.00%
HEALTHCARE · Cap: $6.04B
WAY
Waystar Holding Corp. Common Stock
$19.90
-3.49%
HEALTHCARE · Cap: $4.02B
Smart Verdict
WallStSmart Research — data-driven comparison
R1 RCM Inc generates 113% more annual revenue ($2.46B vs $1.16B). WAY leads profitability with a 10.9% profit margin vs -2.5%. WAY earns a higher WallStSmart Score of 63/100 (C+).
RCM
Hold39
out of 100
Grade: F
WAY
Buy63
out of 100
Grade: C+
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
+8.3%
Fair Value
$25.87
Current Price
$19.90
$5.97 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Reasonable price relative to book value
Conservative balance sheet, low leverage
Strong operational efficiency at 25.6%
Revenue surging 22.4% year-over-year
Earnings expanding 37.5% YoY
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%
Premium valuation, high expectations priced in
Distress zone — elevated risk
ROE of 3.6% — below average capital efficiency
Weak financial health signals
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 : WAY
The strongest argument for WAY centers on Price/Book, Debt/Equity, Operating Margin. Revenue growth of 22.4% demonstrates continued momentum.
Bear Case : RCM
The primary concerns for RCM are PEG Ratio, Operating Margin, Return on Equity.
Bear Case : WAY
The primary concerns for WAY are P/E Ratio, Altman Z-Score, Return on Equity.
Key Dynamics to Monitor
RCM profiles as a turnaround stock while WAY is a growth play — different risk/reward profiles.
WAY is growing revenue faster at 22.4% — sustainability is the question.
WAY generates stronger free cash flow (70M), providing more financial flexibility.
Monitor HEALTH INFORMATION SERVICES industry trends, competitive dynamics, and regulatory changes.
Bottom Line
WAY scores higher overall (63/100 vs 39/100) and 22.4% revenue growth. RCM offers better value entry with a 47.9% margin of safety. Both earn "Buy" and "Hold" 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.
Waystar Holding Corp. Common Stock
HEALTHCARE · HEALTH INFORMATION SERVICES · USA
Waystar Holding Corp. The company is headquartered in Lehi, Utah.
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