ABT vs. HCA: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at ABT and HCA, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
ABT’s market capitalization of 233.90 billion USD is substantially larger than HCA’s 90.60 billion USD, indicating a significant difference in their market valuations.
HCA carries a higher beta at 1.50, indicating it’s more sensitive to market moves, while ABT (beta: 0.74) exhibits greater stability.
| Symbol | ABT | HCA |
|---|---|---|
| Company Name | Abbott Laboratories | HCA Healthcare, Inc. |
| Country | US | US |
| Sector | Healthcare | Healthcare |
| Industry | Medical - Devices | Medical - Care Facilities |
| CEO | Robert B. Ford | Samuel N. Hazen |
| Price | 134.44 USD | 376.58 USD |
| Market Cap | 233.90 billion USD | 90.60 billion USD |
| Beta | 0.74 | 1.50 |
| Exchange | NYSE | NYSE |
| IPO Date | March 17, 1980 | March 10, 2011 |
| ADR | No | No |
Historical Performance
This chart compares the performance of ABT and HCA by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.
Data is adjusted for dividends and splits.
Profitability
Return on Equity
ABT
30.76%
Medical - Devices Industry
- Max
- 49.04%
- Q3
- 9.53%
- Median
- -7.46%
- Q1
- -32.83%
- Min
- -82.64%
In the upper quartile for the Medical - Devices industry, ABT’s Return on Equity of 30.76% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
HCA
-235.88%
Medical - Care Facilities Industry
- Max
- 37.16%
- Q3
- 13.80%
- Median
- 6.51%
- Q1
- -11.55%
- Min
- -43.55%
HCA has a negative Return on Equity of -235.88%. This indicates the company is generating a loss for its shareholders, which can be a result of unprofitability or negative shareholder equity and is often a sign of financial distress.
Return on Invested Capital
ABT
19.13%
Medical - Devices Industry
- Max
- 21.88%
- Q3
- 6.63%
- Median
- -1.11%
- Q1
- -21.08%
- Min
- -51.95%
In the upper quartile for the Medical - Devices industry, ABT’s Return on Invested Capital of 19.13% signifies a highly effective use of its capital to generate profits when compared to its peers.
HCA
16.94%
Medical - Care Facilities Industry
- Max
- 20.36%
- Q3
- 9.05%
- Median
- 5.41%
- Q1
- -1.08%
- Min
- -9.00%
In the upper quartile for the Medical - Care Facilities industry, HCA’s Return on Invested Capital of 16.94% signifies a highly effective use of its capital to generate profits when compared to its peers.
Net Profit Margin
ABT
31.89%
Medical - Devices Industry
- Max
- 44.80%
- Q3
- 9.77%
- Median
- -5.53%
- Q1
- -29.37%
- Min
- -87.68%
A Net Profit Margin of 31.89% places ABT in the upper quartile for the Medical - Devices industry, signifying strong profitability and more effective cost management than most of its peers.
HCA
8.07%
Medical - Care Facilities Industry
- Max
- 12.40%
- Q3
- 6.23%
- Median
- 3.17%
- Q1
- -3.80%
- Min
- -13.43%
A Net Profit Margin of 8.07% places HCA in the upper quartile for the Medical - Care Facilities industry, signifying strong profitability and more effective cost management than most of its peers.
Operating Profit Margin
ABT
16.97%
Medical - Devices Industry
- Max
- 30.13%
- Q3
- 13.12%
- Median
- 3.47%
- Q1
- -24.42%
- Min
- -80.56%
An Operating Profit Margin of 16.97% places ABT in the upper quartile for the Medical - Devices industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
HCA
15.15%
Medical - Care Facilities Industry
- Max
- 17.86%
- Q3
- 10.40%
- Median
- 6.40%
- Q1
- 0.40%
- Min
- -10.86%
An Operating Profit Margin of 15.15% places HCA in the upper quartile for the Medical - Care Facilities industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
Profitability at a Glance
| Symbol | ABT | HCA |
|---|---|---|
| Return on Equity (TTM) | 30.76% | -235.88% |
| Return on Assets (TTM) | 16.58% | 9.66% |
| Return on Invested Capital (TTM) | 19.13% | 16.94% |
| Net Profit Margin (TTM) | 31.89% | 8.07% |
| Operating Profit Margin (TTM) | 16.97% | 15.15% |
| Gross Profit Margin (TTM) | 55.89% | 67.91% |
Financial Strength
Current Ratio
ABT
1.78
Medical - Devices Industry
- Max
- 12.68
- Q3
- 6.30
- Median
- 4.05
- Q1
- 1.85
- Min
- 0.01
ABT’s Current Ratio of 1.78 falls into the lower quartile for the Medical - Devices industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.
HCA
1.19
Medical - Care Facilities Industry
- Max
- 2.67
- Q3
- 1.76
- Median
- 1.35
- Q1
- 1.12
- Min
- 0.57
HCA’s Current Ratio of 1.19 aligns with the median group of the Medical - Care Facilities industry, indicating that its short-term liquidity is in line with its sector peers.
Debt-to-Equity Ratio
ABT
0.27
Medical - Devices Industry
- Max
- 2.34
- Q3
- 1.09
- Median
- 0.37
- Q1
- 0.08
- Min
- 0.00
ABT’s Debt-to-Equity Ratio of 0.27 is typical for the Medical - Devices industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
HCA
-13.20
Medical - Care Facilities Industry
- Max
- 2.55
- Q3
- 1.40
- Median
- 0.76
- Q1
- 0.26
- Min
- 0.01
HCA has a Debt-to-Equity Ratio of -13.20, which indicates negative shareholder equity where liabilities exceed assets. This is a critical sign of financial distress.
Interest Coverage Ratio
ABT
15.39
Medical - Devices Industry
- Max
- 18.18
- Q3
- 7.53
- Median
- 0.85
- Q1
- -9.80
- Min
- -33.94
ABT’s Interest Coverage Ratio of 15.39 is in the upper quartile for the Medical - Devices industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.
HCA
5.17
Medical - Care Facilities Industry
- Max
- 16.29
- Q3
- 6.85
- Median
- 2.93
- Q1
- 0.35
- Min
- -7.11
HCA’s Interest Coverage Ratio of 5.17 is positioned comfortably within the norm for the Medical - Care Facilities industry, indicating a standard and healthy capacity to cover its interest payments.
Financial Strength at a Glance
| Symbol | ABT | HCA |
|---|---|---|
| Current Ratio (TTM) | 1.78 | 1.19 |
| Quick Ratio (TTM) | 1.27 | 1.06 |
| Debt-to-Equity Ratio (TTM) | 0.27 | -13.20 |
| Debt-to-Asset Ratio (TTM) | 0.16 | 0.78 |
| Net Debt-to-EBITDA Ratio (TTM) | 0.60 | 3.23 |
| Interest Coverage Ratio (TTM) | 15.39 | 5.17 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for ABT and HCA. These metrics are based on the companies’ annual financial reports.
Revenue Growth
Earnings Per Share (EPS) Growth
Free Cash Flow Growth
Dividend
Dividend Yield
ABT
1.70%
Medical - Devices Industry
- Max
- 3.57%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
With a Dividend Yield of 1.70%, ABT offers a more attractive income stream than most of its peers in the Medical - Devices industry, signaling a strong commitment to shareholder returns.
HCA
0.73%
Medical - Care Facilities Industry
- Max
- 2.79%
- Q3
- 0.08%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
With a Dividend Yield of 0.73%, HCA offers a more attractive income stream than most of its peers in the Medical - Care Facilities industry, signaling a strong commitment to shareholder returns.
Dividend Payout Ratio
ABT
28.92%
Medical - Devices Industry
- Max
- 102.12%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
ABT’s Dividend Payout Ratio of 28.92% is in the upper quartile for the Medical - Devices industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.
HCA
11.85%
Medical - Care Facilities Industry
- Max
- 56.48%
- Q3
- 4.48%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
HCA’s Dividend Payout Ratio of 11.85% is in the upper quartile for the Medical - Care Facilities industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.
Dividend at a Glance
| Symbol | ABT | HCA |
|---|---|---|
| Dividend Yield (TTM) | 1.70% | 0.73% |
| Dividend Payout Ratio (TTM) | 28.92% | 11.85% |
Valuation
Price-to-Earnings Ratio
ABT
17.40
Medical - Devices Industry
- Max
- 90.56
- Q3
- 56.92
- Median
- 43.19
- Q1
- 21.79
- Min
- 5.55
In the lower quartile for the Medical - Devices industry, ABT’s P/E Ratio of 17.40 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.
HCA
16.25
Medical - Care Facilities Industry
- Max
- 40.40
- Q3
- 28.24
- Median
- 24.89
- Q1
- 13.53
- Min
- 8.53
HCA’s P/E Ratio of 16.25 is within the middle range for the Medical - Care Facilities industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
Forward P/E to Growth Ratio
ABT
1.73
Medical - Devices Industry
- Max
- 6.56
- Q3
- 3.52
- Median
- 2.22
- Q1
- 0.55
- Min
- 0.03
ABT’s Forward PEG Ratio of 1.73 is within the middle range of its peers in the Medical - Devices industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.
HCA
1.21
Medical - Care Facilities Industry
- Max
- 4.23
- Q3
- 3.06
- Median
- 1.16
- Q1
- 0.77
- Min
- 0.04
HCA’s Forward PEG Ratio of 1.21 is within the middle range of its peers in the Medical - Care Facilities industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.
Price-to-Sales Ratio
ABT
5.52
Medical - Devices Industry
- Max
- 15.74
- Q3
- 8.12
- Median
- 3.40
- Q1
- 2.37
- Min
- 0.42
ABT’s P/S Ratio of 5.52 aligns with the market consensus for the Medical - Devices industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
HCA
1.27
Medical - Care Facilities Industry
- Max
- 2.38
- Q3
- 1.50
- Median
- 0.79
- Q1
- 0.49
- Min
- 0.04
HCA’s P/S Ratio of 1.27 aligns with the market consensus for the Medical - Care Facilities industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
Price-to-Book Ratio
ABT
4.81
Medical - Devices Industry
- Max
- 16.65
- Q3
- 8.03
- Median
- 3.73
- Q1
- 1.92
- Min
- 0.65
ABT’s P/B Ratio of 4.81 is within the conventional range for the Medical - Devices industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
HCA
-26.69
Medical - Care Facilities Industry
- Max
- 7.73
- Q3
- 4.07
- Median
- 2.16
- Q1
- 1.44
- Min
- 0.66
HCA has a negative P/B Ratio of -26.69, indicating its liabilities exceed its assets and result in negative shareholder equity. This is a critical warning sign of financial distress.
Valuation at a Glance
| Symbol | ABT | HCA |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 17.40 | 16.25 |
| Forward PEG Ratio (TTM) | 1.73 | 1.21 |
| Price-to-Sales Ratio (P/S, TTM) | 5.52 | 1.27 |
| Price-to-Book Ratio (P/B, TTM) | 4.81 | -26.69 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 35.14 | 18.31 |
| EV-to-EBITDA (TTM) | 21.49 | 9.67 |
| EV-to-Sales (TTM) | 5.68 | 1.90 |