CHE
Chemed Corporation
Medical - Care Facilities
Market Cap$5.82B
5Y Perf.-11.0%
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Stock Comparison
CHE vs HCSG
Revenue, margins, valuation, and 5-year total return — side by side.
HCSG
Healthcare Services Group, Inc.
Medical - Care Facilities
Market Cap$1.60B
5Y Perf.-6.7%
CHE vs HCSG — Key Financials
Market cap, revenue, margins, and valuation side-by-side.
| Company Snapshot | CHE | HCSG |
|---|---|---|
| Industry | Medical - Care Facilities | Medical - Care Facilities |
| Market Cap | $5.82B | $1.60B |
| Revenue (TTM) | $2.54B | $1.84B |
| Net Income (TTM) | $260M | $59M |
| Gross Margin | 22.5% | 13.3% |
| Operating Margin | 12.9% | 3.0% |
| Forward P/E | 17.5x | 20.8x |
| Total Debt | $155M | $25M |
| Cash & Equiv. | $75M | $161M |
CHE vs HCSG — Long-Term Stock Performance
Price return indexed to 100 at period start. Dividends excluded.
CHE
HCSG
| Stock | May 20 | May 26 | Return |
|---|---|---|---|
| Chemed Corporation (CHE) | 100 | 89.0 | -11.0% |
| Healthcare Services… (HCSG) | 100 | 93.3 | -6.7% |
Price return only. Dividends and distributions are not included.
Quick Verdict: CHE vs HCSG
Each card shows where this stock fits in a portfolio — not just who wins on paper.
Bottom line: CHE leads in 5 of 7 categories, making it the strongest pick for valuation and capital efficiency and profitability and margin quality. Healthcare Services Group, Inc. is the stronger pick specifically for growth and revenue expansion and recent price momentum and sentiment. As sector peers, any of these can serve as alternatives in the same allocation.
CHE
Chemed Corporation
The Income Pick
CHE carries the broadest edge in this set and is the clearest fit for income & stability and long-term compounding.
- Dividend streak 18 yrs, beta 0.33, yield 0.5%
- 241.8% 10Y total return vs HCSG's -26.8%
- Lower volatility, beta 0.33, Low D/E 15.8%, current ratio 1.05x
Best for: income & stability and long-term compounding
HCSG
Healthcare Services Group, Inc.
The Growth Play
HCSG is the clearest fit if your priority is growth exposure.
- Rev growth 7.1%, EPS growth 52.8%, 3Y rev CAGR 2.8%
- 7.1% revenue growth vs CHE's 4.1%
- +55.8% vs CHE's -25.9%
Best for: growth exposure
See the full category breakdown
| Category | Winner | Why |
|---|---|---|
| Growth | HCSG | 7.1% revenue growth vs CHE's 4.1% |
| Value | CHE | Lower P/E (17.5x vs 20.8x) |
| Quality / Margins | CHE | 10.2% margin vs HCSG's 3.2% |
| Stability / Safety | CHE | Beta 0.33 vs HCSG's 1.12 |
| Dividends | CHE | 0.5% yield; 18-year raise streak; the other pay no meaningful dividend |
| Momentum (1Y) | HCSG | +55.8% vs CHE's -25.9% |
| Efficiency (ROA) | CHE | 15.9% ROA vs HCSG's 7.3%, ROIC 23.7% vs 9.0% |
CHE vs HCSG — Revenue Breakdown by Segment
How each company's revenue is distributed across its business units
FY 2025
FY 2025
CHE vs HCSG — Financial Metrics
Side-by-side numbers across 2 stocks — who leads on profitability, valuation, growth, and risk.
BEST OVERALLCHELAGGINGHCSG
HCSGHealthcare Services G…
2leads
CHEChemed Corporation
2leads
6 Total Categories
CATEGORYLEADERvs HCSGMETRICS WON
Income & Cash FlowRevenue, margins, and cash flow strength
CHE4/6
Valuation MetricsMultiples, price ratios, and targets
Tied
—
Profitability & EfficiencyROE, ROIC, leverage, and quality scores
CHE5/9
Total Returns1Y, 3Y, 5Y total returns with dividends
HCSG4/6
Risk & VolatilityBeta, volatility, and downside exposure
Tied
—
Analyst OutlookRatings, price targets, and dividends
HCSG1/1
Income & Cash Flow (Last 12 Months)
CHE leads this category, winning 4 of 6 comparable metrics.
Income & Cash Flow (Last 12 Months)
CHE and HCSG operate at a comparable scale, with $2.5B and $1.8B in trailing revenue. CHE is the more profitable business, keeping 10.2% of every revenue dollar as net income compared to HCSG's 3.2%. On growth, HCSG holds the edge at +6.6% YoY revenue growth, suggesting stronger near-term business momentum.
| Metric | CHEChemed Corporation | HCSGHealthcare Servic… |
|---|---|---|
| RevenueTrailing 12 months | $2.5B | $1.8B |
| EBITDAEarnings before interest/tax | $377M | $72M |
| Net IncomeAfter-tax profit | $260M | $59M |
| Free Cash FlowCash after capex | $377M | $139M |
| Gross MarginGross profit ÷ Revenue | +22.5% | +13.3% |
| Operating MarginEBIT ÷ Revenue | +12.9% | +3.0% |
| Net MarginNet income ÷ Revenue | +10.2% | +3.2% |
| FCF MarginFCF ÷ Revenue | +14.8% | +7.6% |
| Rev. Growth (YoY)Latest quarter vs prior year | +1.6% | +6.6% |
| EPS Growth (YoY)Latest quarter vs prior year | -0.2% | +175.0% |
CHE leads this category, winning 4 of 6 comparable metrics.
Valuation Metrics
Evenly matched — CHE and HCSG each lead in 3 of 6 comparable metrics.
Valuation Metrics
At 23.1x trailing earnings, CHE trades at a 16% valuation discount to HCSG's 27.5x P/E. On an enterprise value basis, CHE's 14.6x EV/EBITDA is more attractive than HCSG's 22.4x.
| Metric | CHEChemed Corporation | HCSGHealthcare Servic… |
|---|---|---|
| Market CapShares × price | $5.8B | $1.6B |
| Enterprise ValueMkt cap + debt − cash | $5.9B | $1.5B |
| Trailing P/EPrice ÷ TTM EPS | 23.12x | 27.54x |
| Forward P/EPrice ÷ next-FY EPS est. | 17.49x | 20.83x |
| PEG RatioP/E ÷ EPS growth rate | — | — |
| EV / EBITDAEnterprise value multiple | 14.65x | 22.38x |
| Price / SalesMarket cap ÷ Revenue | 2.30x | 0.87x |
| Price / BookPrice ÷ Book value/share | 6.26x | 3.19x |
| Price / FCFMarket cap ÷ FCF | 17.89x | 11.49x |
Evenly matched — CHE and HCSG each lead in 3 of 6 comparable metrics.
Profitability & Efficiency
CHE leads this category, winning 5 of 9 comparable metrics.
Profitability & Efficiency
CHE delivers a 25.3% return on equity — every $100 of shareholder capital generates $25 in annual profit, vs $12 for HCSG. HCSG carries lower financial leverage with a 0.05x debt-to-equity ratio, signaling a more conservative balance sheet compared to CHE's 0.16x. On the Piotroski fundamental quality scale (0–9), HCSG scores 7/9 vs CHE's 5/9, reflecting strong financial health.
| Metric | CHEChemed Corporation | HCSGHealthcare Servic… |
|---|---|---|
| ROE (TTM)Return on equity | +25.3% | +11.8% |
| ROA (TTM)Return on assets | +15.9% | +7.3% |
| ROICReturn on invested capital | +23.7% | +9.0% |
| ROCEReturn on capital employed | +24.7% | +7.7% |
| Piotroski ScoreFundamental quality 0–9 | 5 | 7 |
| Debt / EquityFinancial leverage | 0.16x | 0.05x |
| Net DebtTotal debt minus cash | $80M | -$136M |
| Cash & Equiv.Liquid assets | $75M | $161M |
| Total DebtShort + long-term debt | $155M | $25M |
| Interest CoverageEBIT ÷ Interest expense | 107.24x | 33.02x |
CHE leads this category, winning 5 of 9 comparable metrics.
Total Returns (Dividends Reinvested)
HCSG leads this category, winning 4 of 6 comparable metrics.
Total Returns (Dividends Reinvested)
A $10,000 investment in CHE five years ago would be worth $8,883 today (with dividends reinvested), compared to $7,888 for HCSG. Over the past 12 months, HCSG leads with a +55.8% total return vs CHE's -25.9%. The 3-year compound annual growth rate (CAGR) favors HCSG at 14.1% vs CHE's -7.9% — a key indicator of consistent wealth creation.
| Metric | CHEChemed Corporation | HCSGHealthcare Servic… |
|---|---|---|
| YTD ReturnYear-to-date | +0.6% | +28.6% |
| 1-Year ReturnPast 12 months | -25.9% | +55.8% |
| 3-Year ReturnCumulative with dividends | -21.9% | +48.6% |
| 5-Year ReturnCumulative with dividends | -11.2% | -21.1% |
| 10-Year ReturnCumulative with dividends | +241.8% | -26.8% |
| CAGR (3Y)Annualised 3-year return | -7.9% | +14.1% |
HCSG leads this category, winning 4 of 6 comparable metrics.
Risk & Volatility
Evenly matched — CHE and HCSG each lead in 1 of 2 comparable metrics.
Risk & Volatility
CHE is the less volatile stock with a 0.33 beta — it tends to amplify market swings less than HCSG's 1.12 beta. A beta below 1.0 means the stock typically moves less than the S&P 500. HCSG currently trades 91.5% from its 52-week high vs CHE's 72.9% drawdown — a narrower gap to the peak suggests stronger recent price momentum.
| Metric | CHEChemed Corporation | HCSGHealthcare Servic… |
|---|---|---|
| Beta (5Y)Sensitivity to S&P 500 | 0.33x | 1.12x |
| 52-Week HighHighest price in past year | $583.96 | $24.39 |
| 52-Week LowLowest price in past year | $365.20 | $12.66 |
| % of 52W HighCurrent price vs 52-week peak | +72.9% | +91.5% |
| RSI (14)Momentum oscillator 0–100 | 64.7 | 61.8 |
| Avg Volume (50D)Average daily shares traded | 274K | 676K |
Evenly matched — CHE and HCSG each lead in 1 of 2 comparable metrics.
Analyst Outlook
HCSG leads this category, winning 1 of 1 comparable metric.
Analyst Outlook
Wall Street rates CHE as "Hold" and HCSG as "Hold". Consensus price targets imply 11.5% upside for CHE (target: $475) vs 9.8% for HCSG (target: $25). CHE is the only dividend payer here at 0.52% yield — a key consideration for income-focused portfolios.
| Metric | CHEChemed Corporation | HCSGHealthcare Servic… |
|---|---|---|
| Analyst RatingConsensus buy/hold/sell | Hold | Hold |
| Price TargetConsensus 12-month target | $475.00 | $24.50 |
| # AnalystsCovering analysts | 9 | 15 |
| Dividend YieldAnnual dividend ÷ price | +0.5% | — |
| Dividend StreakConsecutive years of raises | 18 | 20 |
| Dividend / ShareAnnual DPS | $2.20 | — |
| Buyback YieldShare repurchases ÷ mkt cap | +7.4% | +3.9% |
HCSG leads this category, winning 1 of 1 comparable metric.
Key Takeaway
CHE leads in 2 of 6 categories (Income & Cash Flow, Profitability & Efficiency). HCSG leads in 2 (Total Returns, Analyst Outlook). 2 tied.
Best OverallChemed Corporation (CHE)Leads 2 of 6 categories
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CHE vs HCSG: Frequently Asked Questions
10 questions · data-driven answers · updated daily
01Is CHE or HCSG a better buy right now?
For growth investors, Healthcare Services Group, Inc.
(HCSG) is the stronger pick with 7. 1% revenue growth year-over-year, versus 4. 1% for Chemed Corporation (CHE). Chemed Corporation (CHE) offers the better valuation at 23. 1x trailing P/E (17. 5x forward), making it the more compelling value choice. Analysts rate Chemed Corporation (CHE) a "Hold" — based on 9 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.
02Which has the better valuation — CHE or HCSG?
On trailing P/E, Chemed Corporation (CHE) is the cheapest at 23.
1x versus Healthcare Services Group, Inc. at 27. 5x. On forward P/E, Chemed Corporation is actually cheaper at 17. 5x.
03Which is the better long-term investment — CHE or HCSG?
Over the past 5 years, Chemed Corporation (CHE) delivered a total return of -11.
2%, compared to -21. 1% for Healthcare Services Group, Inc. (HCSG). Over 10 years, the gap is even starker: CHE returned +241. 8% versus HCSG's -26. 8%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.
04Which is safer — CHE or HCSG?
By beta (market sensitivity over 5 years), Chemed Corporation (CHE) is the lower-risk stock at 0.
33β versus Healthcare Services Group, Inc. 's 1. 12β — meaning HCSG is approximately 243% more volatile than CHE relative to the S&P 500. On balance sheet safety, Healthcare Services Group, Inc. (HCSG) carries a lower debt/equity ratio of 5% versus 16% for Chemed Corporation — giving it more financial flexibility in a downturn.
05Which is growing faster — CHE or HCSG?
By revenue growth (latest reported year), Healthcare Services Group, Inc.
(HCSG) is pulling ahead at 7. 1% versus 4. 1% for Chemed Corporation (CHE). On earnings-per-share growth, the picture is similar: Healthcare Services Group, Inc. grew EPS 52. 8% year-over-year, compared to -7. 4% for Chemed Corporation. Over a 3-year CAGR, CHE leads at 5. 8% 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.
06Which has better profit margins — CHE or HCSG?
Chemed Corporation (CHE) is the more profitable company, earning 10.
5% net margin versus 3. 2% for Healthcare Services Group, Inc. — meaning it keeps 10. 5% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: CHE leads at 13. 4% versus 2. 6% for HCSG. At the gross margin level — before operating expenses — CHE leads at 30. 0%, 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.
07Is CHE or HCSG more undervalued right now?
On forward earnings alone, Chemed Corporation (CHE) trades at 17.
5x forward P/E versus 20. 8x for Healthcare Services Group, Inc. — 3. 3x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for CHE: 11. 5% to $475. 00.
08Which pays a better dividend — CHE or HCSG?
In this comparison, CHE (0.
5% yield) pays a dividend. HCSG does not pay a meaningful dividend and should not be held primarily for income.
09Is CHE or HCSG better for a retirement portfolio?
For long-horizon retirement investors, Chemed Corporation (CHE) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0.
33), 0. 5% yield, +241. 8% 10Y return). Both have compounded well over 10 years (CHE: +241. 8%, HCSG: -26. 8%), 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.
10What are the main differences between CHE and HCSG?
Both stocks operate in the Healthcare sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.
CHE pays a dividend while HCSG 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.
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Revenue Growth>
%
(CHE: 1.6% · HCSG: 6.6%)Net Margin>
%
(CHE: 10.2% · HCSG: 3.2%)P/E Ratio<
x
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