ADAPTHEALTH CORP (AHCO) Stock Fundamental Analysis
NASDAQ:AHCO - Nasdaq - US00653Q1022 - Common Stock - Currency: USD
Overall AHCO gets a fundamental rating of 4 out of 10. We evaluated AHCO against 108 industry peers in the Health Care Providers & Services industry. There are concerns on the financial health of AHCO while its profitability can be described as average. AHCO has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year AHCO has reported negative net income.
In the past year AHCO had a positive cash flow from operations.
In multiple years AHCO reported negative net income over the last 5 years.
In the past 5 years AHCO always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of -4.92%, AHCO is doing worse than 64.49% of the companies in the same industry.
Looking at the Return On Equity, with a value of -14.49%, AHCO is doing worse than 60.75% of the companies in the same industry.
AHCO has a Return On Invested Capital of 6.78%. This is in the better half of the industry: AHCO outperforms 69.16% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for AHCO is below the industry average of 8.14%.
The 3 year average ROIC (3.75%) for AHCO is below the current ROIC(6.78%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -4.92% | ||
| ROE | -14.49% | ||
| ROIC | 6.78% |
ROA(3y)-3.71%
ROA(5y)-4.79%
ROE(3y)-12.24%
ROE(5y)N/A
ROIC(3y)3.75%
ROIC(5y)3.98%
1.3 Margins
AHCO has a better Operating Margin (8.78%) than 80.37% of its industry peers.
AHCO's Operating Margin has improved in the last couple of years.
The Gross Margin of AHCO (18.66%) is worse than 65.42% of its industry peers.
AHCO's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.78% | ||
| PM (TTM) | N/A | ||
| GM | 18.66% |
OM growth 3Y14.36%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.52%
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so AHCO is destroying value.
Compared to 1 year ago, AHCO has less shares outstanding
AHCO has more shares outstanding than it did 5 years ago.
The debt/assets ratio for AHCO is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.24, we must say that AHCO is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 1.24, AHCO is not doing good in the industry: 64.49% of the companies in the same industry are doing better.
AHCO has a debt to FCF ratio of 9.02. This is a negative value and a sign of low solvency as AHCO would need 9.02 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 9.02, AHCO is doing good in the industry, outperforming 61.68% of the companies in the same industry.
AHCO has a Debt/Equity ratio of 1.35. This is a high value indicating a heavy dependency on external financing.
AHCO has a worse Debt to Equity ratio (1.35) than 71.03% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.35 | ||
| Debt/FCF | 9.02 | ||
| Altman-Z | 1.24 |
ROIC/WACC0.87
WACC7.82%
2.3 Liquidity
A Current Ratio of 1.24 indicates that AHCO should not have too much problems paying its short term obligations.
With a Current ratio value of 1.24, AHCO is not doing good in the industry: 63.55% of the companies in the same industry are doing better.
A Quick Ratio of 1.00 indicates that AHCO may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.00, AHCO is doing worse than 70.09% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.24 | ||
| Quick Ratio | 1 |
3. Growth
3.1 Past
AHCO shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -375.00%.
Looking at the last year, AHCO shows a very strong growth in Revenue. The Revenue has grown by 29.88%.
The Revenue has been growing by 44.69% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)-375%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-64.29%
Revenue 1Y (TTM)29.88%
Revenue growth 3Y44.69%
Revenue growth 5YN/A
Sales Q2Q%0.23%
3.2 Future
AHCO is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 26.95% yearly.
Based on estimates for the next years, AHCO will show a small growth in Revenue. The Revenue will grow by 3.51% on average per year.
EPS Next Y141.59%
EPS Next 2Y63.13%
EPS Next 3Y40.76%
EPS Next 5Y26.95%
Revenue Next Year2.07%
Revenue Next 2Y2.52%
Revenue Next 3Y3.51%
Revenue Next 5YN/A
3.3 Evolution
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings Ratio is negative for AHCO. In the last year negative earnings were reported.
Based on the Price/Forward Earnings ratio of 10.03, the valuation of AHCO can be described as reasonable.
AHCO's Price/Forward Earnings ratio is rather cheap when compared to the industry. AHCO is cheaper than 91.59% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.65, AHCO is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 10.03 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, AHCO is valued cheaper than 97.20% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of AHCO indicates a rather cheap valuation: AHCO is cheaper than 98.13% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.02 | ||
| EV/EBITDA | 4.29 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as AHCO's earnings are expected to grow with 40.76% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y63.13%
EPS Next 3Y40.76%
5. Dividend
5.1 Amount
No dividends for AHCO!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
8.55
+0.1 (+1.18%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)
Earnings (Next)
Inst Owners90.37%
Inst Owner Change-96.61%
Ins Owners2.96%
Ins Owner Change5.8%
Market Cap1.15B
Analysts80
Price Target11.53 (34.85%)
Short Float %7.97%
Short Ratio6.73
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-15.37%
Min EPS beat(2)-19.33%
Max EPS beat(2)-11.41%
EPS beat(4)0
Avg EPS beat(4)-332.05%
Min EPS beat(4)-1157.1%
Max EPS beat(4)-11.41%
EPS beat(8)2
Avg EPS beat(8)-160.85%
EPS beat(12)2
Avg EPS beat(12)-127.18%
EPS beat(16)2
Avg EPS beat(16)-139.07%
Revenue beat(2)0
Avg Revenue beat(2)-1.97%
Min Revenue beat(2)-2.38%
Max Revenue beat(2)-1.55%
Revenue beat(4)2
Avg Revenue beat(4)-0.27%
Min Revenue beat(4)-2.38%
Max Revenue beat(4)1.93%
Revenue beat(8)3
Avg Revenue beat(8)-0.86%
Revenue beat(12)5
Avg Revenue beat(12)-0.15%
Revenue beat(16)8
Avg Revenue beat(16)0.42%
PT rev (1m)-0.73%
PT rev (3m)-9.15%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-4.65%
EPS NY rev (1m)0%
EPS NY rev (3m)-4.01%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.05%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.27%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 10.03 | ||
| P/S | 0.28 | ||
| P/FCF | 5.02 | ||
| P/OCF | 2.1 | ||
| P/B | 0.76 | ||
| P/tB | N/A | ||
| EV/EBITDA | 4.29 |
EPS(TTM)-1.65
EYN/A
EPS(NY)0.85
Fwd EY9.97%
FCF(TTM)1.7
FCFY19.93%
OCF(TTM)4.06
OCFY47.52%
SpS30.14
BVpS11.27
TBVpS-9.7
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -4.92% | ||
| ROE | -14.49% | ||
| ROCE | 9.09% | ||
| ROIC | 6.78% | ||
| ROICexc | 6.96% | ||
| ROICexgc | 26.68% | ||
| OM | 8.78% | ||
| PM (TTM) | N/A | ||
| GM | 18.66% | ||
| FCFM | 5.65% |
ROA(3y)-3.71%
ROA(5y)-4.79%
ROE(3y)-12.24%
ROE(5y)N/A
ROIC(3y)3.75%
ROIC(5y)3.98%
ROICexc(3y)3.87%
ROICexc(5y)4.37%
ROICexgc(3y)18.21%
ROICexgc(5y)24.77%
ROCE(3y)5.02%
ROCE(5y)5.33%
ROICexcg growth 3Y-8.37%
ROICexcg growth 5YN/A
ROICexc growth 3Y14.53%
ROICexc growth 5YN/A
OM growth 3Y14.36%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.52%
GM growth 5YN/A
F-Score6
Asset Turnover0.91
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.35 | ||
| Debt/FCF | 9.02 | ||
| Debt/EBITDA | 2.82 | ||
| Cap/Depr | 86.44% | ||
| Cap/Sales | 7.83% | ||
| Interest Coverage | 2.83 | ||
| Cash Conversion | 75.61% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.24 | ||
| Quick Ratio | 1 | ||
| Altman-Z | 1.24 |
F-Score6
WACC7.82%
ROIC/WACC0.87
Cap/Depr(3y)92.79%
Cap/Depr(5y)72.14%
Cap/Sales(3y)10.67%
Cap/Sales(5y)7.96%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-375%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-64.29%
EPS Next Y141.59%
EPS Next 2Y63.13%
EPS Next 3Y40.76%
EPS Next 5Y26.95%
Revenue 1Y (TTM)29.88%
Revenue growth 3Y44.69%
Revenue growth 5YN/A
Sales Q2Q%0.23%
Revenue Next Year2.07%
Revenue Next 2Y2.52%
Revenue Next 3Y3.51%
Revenue Next 5YN/A
EBIT growth 1Y124.26%
EBIT growth 3Y65.47%
EBIT growth 5YN/A
EBIT Next Year1383.95%
EBIT Next 3Y151.9%
EBIT Next 5YN/A
FCF growth 1Y249.02%
FCF growth 3Y-2.77%
FCF growth 5YN/A
OCF growth 1Y44.7%
OCF growth 3Y34.95%
OCF growth 5YN/A