Head-To-Head Comparison: OptimizeRx (NASDAQ:OPRX) and Waystar (NASDAQ:WAY)
by Kim Johansen · The Markets DailyWaystar (NASDAQ:WAY – Get Free Report) and OptimizeRx (NASDAQ:OPRX – Get Free Report) are both healthcare companies, but which is the better investment? We will contrast the two companies based on the strength of their profitability, dividends, institutional ownership, earnings, risk, analyst recommendations and valuation.
Profitability
This table compares Waystar and OptimizeRx’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Waystar | 11.18% | 7.03% | 4.75% |
| OptimizeRx | 4.66% | 9.44% | 7.11% |
Analyst Recommendations
This is a summary of current ratings and target prices for Waystar and OptimizeRx, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Waystar | 0 | 4 | 19 | 2 | 2.92 |
| OptimizeRx | 1 | 2 | 6 | 0 | 2.56 |
Waystar currently has a consensus target price of $35.27, suggesting a potential upside of 32.26%. OptimizeRx has a consensus target price of $11.43, suggesting a potential upside of 51.17%. Given OptimizeRx’s higher probable upside, analysts clearly believe OptimizeRx is more favorable than Waystar.
Earnings and Valuation
This table compares Waystar and OptimizeRx”s gross revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Waystar | $1.10 billion | 4.65 | $112.09 million | $0.70 | 38.10 |
| OptimizeRx | $109.43 million | 1.30 | $5.13 million | $0.23 | 32.87 |
Waystar has higher revenue and earnings than OptimizeRx. OptimizeRx is trading at a lower price-to-earnings ratio than Waystar, indicating that it is currently the more affordable of the two stocks.
Institutional & Insider Ownership
76.5% of OptimizeRx shares are owned by institutional investors. 3.5% of Waystar shares are owned by company insiders. Comparatively, 7.5% of OptimizeRx shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.
Risk and Volatility
Waystar has a beta of 0.16, suggesting that its share price is 84% less volatile than the S&P 500. Comparatively, OptimizeRx has a beta of 1.09, suggesting that its share price is 9% more volatile than the S&P 500.
Summary
Waystar beats OptimizeRx on 9 of the 15 factors compared between the two stocks.
About Waystar
Waystar Holding Corp. is a software company which provide healthcare payments. Waystar Holding Corp. is based in LEHI, Utah.
About OptimizeRx
OptimizeRx Corporation, a digital health technology company, enables care-focused engagement between life sciences organizations, healthcare providers, and patients at critical junctures throughout the patient care journey. It offers various tech-enabled marketing solutions through its Artificial Intelligence-generated Dynamic Audience and Activation Platform, which enables customers to execute traditional marketing campaigns on its proprietary digital point-of-care network, as well as dynamic marketing campaigns that optimize audiences in real time to increase the value of treatment information for healthcare professionals and patients in response to clinical care events. The company was founded in 2006 and is based in Waltham, Massachusetts.