Compare HCA Healthcare, Inc. (HCA) vs Solventum Corporation (SOLV) Stock

Solventum Corporation (SOLV) offers the better valuation at 8.4x trailing P/E (11.5x forward), making it the more compelling value choice. Analysts rate HCA Healthcare, Inc. (HCA) a "Buy" — based on 46 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, Solventum Corporation (SOLV) is the cheapest at 8.4x versus HCA Healthcare, Inc. at 18.7x. On forward P/E, Solventum Corporation is actually cheaper at 11.5x.

Over the past 5 years, HCA Healthcare, Inc. (HCA) delivered a total return of +208.8%, compared to -7.3% for Solventum Corporation (SOLV). A $10,000 investment in HCA five years ago would be worth approximately $31K today (assuming dividends reinvested). Over 10 years, the gap is even starker: HCA returned +688.3% versus SOLV's -7.2%. 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), HCA Healthcare, Inc. (HCA) is the lower-risk stock at 0.29β versus Solventum Corporation's 0.97β — meaning SOLV is approximately 229% more volatile than HCA relative to the S&P 500.

Solventum Corporation (SOLV) is the more profitable company, earning 18.7% net margin versus 9.0% for HCA Healthcare, Inc. — meaning it keeps 18.7% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: SOLV leads at 26.2% versus 15.8% for HCA. At the gross margin level — before operating expenses — SOLV leads at 53.5%, 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, Solventum Corporation (SOLV) trades at 11.5x forward P/E versus 17.5x for HCA Healthcare, Inc. — 6.0x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for SOLV: 29.1% to $95.80.

In this comparison, HCA (0.6% yield) pays a dividend. SOLV does not pay a meaningful dividend and should not be held primarily for income.

For long-horizon retirement investors, HCA Healthcare, Inc. (HCA) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0.29), 0.6% yield, +688.3% 10Y return). Both have compounded well over 10 years (HCA: +688.3%, SOLV: -7.2%), 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: HCA is a mid-cap quality compounder stock; SOLV is a mid-cap deep-value stock. HCA pays a dividend while SOLV 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.