SGRY vs USPH vs SEM

For growth investors, U.

S. Physical Therapy, Inc. (USPH) is the stronger pick with 16. 3% revenue growth year-over-year, versus 5. 1% for Select Medical Holdings Corporation (SEM). Select Medical Holdings Corporation (SEM) offers the better valuation at 13. 9x trailing P/E (13. 1x forward), making it the more compelling value choice. Analysts rate Surgery Partners, Inc. (SGRY) a "Buy" — based on 22 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Select Medical Holdings Corporation (SEM) is the cheapest at 13.

9x versus U. S. Physical Therapy, Inc. at 41. 5x. On forward P/E, Select Medical Holdings Corporation is actually cheaper at 13. 1x.

Over the past 5 years, Select Medical Holdings Corporation (SEM) delivered a total return of -11.

1%, compared to -72. 3% for Surgery Partners, Inc. (SGRY). Over 10 years, the gap is even starker: SEM returned +158. 5% versus SGRY's -0. 6%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Select Medical Holdings Corporation (SEM) is the lower-risk stock at 0.

46β versus Surgery Partners, Inc. 's 1. 04β — meaning SGRY is approximately 127% more volatile than SEM relative to the S&P 500. On balance sheet safety, U. S. Physical Therapy, Inc. (USPH) carries a lower debt/equity ratio of 55% versus 182% for Select Medical Holdings Corporation — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), U.

S. Physical Therapy, Inc. (USPH) is pulling ahead at 16. 3% versus 5. 1% for Select Medical Holdings Corporation (SEM). On earnings-per-share growth, the picture is similar: Surgery Partners, Inc. grew EPS 54. 1% year-over-year, compared to -28. 9% for Select Medical Holdings Corporation. Over a 3-year CAGR, USPH leads at 12. 2% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Select Medical Holdings Corporation (SEM) is the more profitable company, earning 2.

7% net margin versus -2. 4% for Surgery Partners, Inc. — meaning it keeps 2. 7% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: SGRY leads at 11. 8% versus 6. 1% for SEM. At the gross margin level — before operating expenses — SGRY leads at 23. 1%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

On forward earnings alone, Select Medical Holdings Corporation (SEM) trades at 13.

1x forward P/E versus 38. 0x for Surgery Partners, Inc. — 24. 9x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for USPH: 72. 9% to $102. 00.

In this comparison, USPH (3.

1% yield), SEM (1. 5% yield) pay a dividend. SGRY does not pay a meaningful dividend and should not be held primarily for income.

For long-horizon retirement investors, Select Medical Holdings Corporation (SEM) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0.

46), 1. 5% yield, +158. 5% 10Y return). Both have compounded well over 10 years (SEM: +158. 5%, SGRY: -0. 6%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Healthcare sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

In terms of investment character: SGRY is a small-cap quality compounder stock; USPH is a small-cap high-growth stock; SEM is a small-cap deep-value stock. USPH, SEM pay a dividend while SGRY does not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.