American Shared Hospital Services (NYSE:AMS) Outperforms Peers in Operational Efficiency

• American Shared Hospital Services (NYSE:AMS) showcases an impressive Return on Invested Capital (ROIC) of 263.88%, significantly higher than its peers in the healthcare and financial services sectors.
• AMS's ROIC to WACC ratio of 49.73 indicates it is generating substantial returns on its investments relative to its cost of capital, highlighting its high operational efficiency.
• Comparatively, peers like Broadway Financial Corporation, SunLink Health Systems, and Carver Bancorp show lower efficiency, with some demonstrating negative ROICs, underscoring AMS's superior performance.

American Shared Hospital Services (NYSE:AMS) is a company that provides leasing and management services for advanced medical equipment, primarily focusing on radiation therapy and radiosurgery services. The company operates in the healthcare sector, which is known for its capital-intensive nature. AMS competes with other companies in the healthcare and financial services sectors, such as Broadway Financial Corporation, SunLink Health Systems, Carver Bancorp, Avalon Holdings, and Urban One.

AMS showcases an impressive Return on Invested Capital (ROIC) of 263.88%, which is significantly higher than its Weighted Average Cost of Capital (WACC) of 5.31%. This results in a ROIC to WACC ratio of 49.73, indicating that AMS is generating substantial returns on its investments relative to its cost of capital. This high ratio suggests that AMS is highly efficient in its operations and is creating significant value for its shareholders.

In comparison, Broadway Financial Corporation (BYFC) has a ROIC of 5.29% and a WACC of 3.89%, resulting in a ROIC to WACC ratio of 1.36. While BYFC is the most efficient among AMS's peers in generating returns relative to its cost of capital, it still falls short of AMS's performance. This highlights AMS's superior ability to leverage its capital effectively.

Other peers, such as SunLink Health Systems (SSY) and Carver Bancorp (CARV), show negative ROICs of -29.92% and -0.40%, respectively, with WACCs of 9.24% and 18.14%. Their negative ROIC to WACC ratios of -3.24 and -0.02 indicate that these companies are not generating sufficient returns to cover their cost of capital, unlike AMS.

Avalon Holdings (AWX) and Urban One (UONEK) also demonstrate lower efficiency compared to AMS, with ROIC to WACC ratios of 0.79 and -2.27, respectively. These figures further emphasize AMS's strong operational efficiency and its ability to create value for shareholders, setting it apart from its peers in the industry.