ADAPTHEALTH CORP (AHCO) Stock Fundamental Analysis
NASDAQ:AHCO - Nasdaq - US00653Q1022 - Common Stock
AHCO gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 108 industry peers in the Health Care Providers & Services industry. While AHCO is still in line with the averages on profitability rating, there are concerns on its financial health. AHCO has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
AHCO had negative earnings in the past year.
In the past year AHCO had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: AHCO reported negative net income in multiple years.
AHCO had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
AHCO has a Return On Assets of -4.92%. This is in the lower half of the industry: AHCO underperforms 63.55% of its industry peers.
The Return On Equity of AHCO (-14.49%) is worse than 60.75% of its industry peers.
AHCO has a better Return On Invested Capital (6.78%) than 71.03% of its industry peers.
The Average Return On Invested Capital over the past 3 years for AHCO is below the industry average of 8.27%.
The last Return On Invested Capital (6.78%) for AHCO is above the 3 year average (3.75%), which is a sign of increasing profitability.
| 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 Operating Margin of 8.78%. This is in the better half of the industry: AHCO outperforms 79.44% of its industry peers.
In the last couple of years the Operating Margin of AHCO has grown nicely.
With a Gross Margin value of 18.66%, AHCO is not doing good in the industry: 64.49% of the companies in the same industry are doing better.
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.
The number of shares outstanding for AHCO has been reduced compared to 1 year ago.
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 1.30, we must say that AHCO is in the distress zone and has some risk of bankruptcy.
AHCO has a worse Altman-Z score (1.30) than 65.42% of its industry peers.
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.
The Debt to FCF ratio of AHCO (9.02) is better than 62.62% of its industry peers.
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 | 1.3 |
ROIC/WACC0.94
WACC7.21%
2.3 Liquidity
AHCO has a Current Ratio of 1.24. This is a normal value and indicates that AHCO is financially healthy and should not expect problems in meeting its short term obligations.
AHCO's Current ratio of 1.24 is on the low side compared to the rest of the industry. AHCO is outperformed by 63.55% of its industry peers.
AHCO has a Quick Ratio of 1.24. This is a bad value and indicates that AHCO is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 1.00, AHCO is not doing good in the industry: 71.03% of the companies in the same industry are doing better.
| 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%.
The Revenue has grown by 29.88% in the past year. This is a very strong growth!
AHCO shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 44.69% yearly.
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
The Earnings Per Share is expected to grow by 27.07% on average over the next years. This is a very strong growth
AHCO is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.51% yearly.
EPS Next Y141.59%
EPS Next 2Y63.47%
EPS Next 3Y41.42%
EPS Next 5Y27.07%
Revenue Next Year2.07%
Revenue Next 2Y2.49%
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
AHCO reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
A Price/Forward Earnings ratio of 12.11 indicates a correct valuation of AHCO.
83.18% of the companies in the same industry are more expensive than AHCO, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of AHCO to the average of the S&P500 Index (24.44), we can say AHCO is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 12.11 |
4.2 Price Multiples
97.20% of the companies in the same industry are more expensive than AHCO, based on the Enterprise Value to EBITDA ratio.
AHCO's Price/Free Cash Flow ratio is rather cheap when compared to the industry. AHCO is cheaper than 96.26% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.16 | ||
| EV/EBITDA | 4.68 |
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 41.42% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y63.47%
EPS Next 3Y41.42%
5. Dividend
5.1 Amount
No dividends for AHCO!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
ADAPTHEALTH CORP
NASDAQ:AHCO (1/21/2025, 8:00:00 PM)
After market: 10.5 0 (0%)10.5
-0.02 (-0.19%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)
Earnings (Next)
Inst Owners80.13%
Inst Owner Change0.04%
Ins Owners2.46%
Ins Owner Change0.26%
Market Cap1.41B
Analysts80
Price Target11.62 (10.67%)
Short Float %8.23%
Short Ratio6.62
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%
PT rev (3m)-8.48%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-26.35%
EPS NY rev (1m)0%
EPS NY rev (3m)-11.45%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-5.99%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.29%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 12.11 | ||
| P/S | 0.35 | ||
| P/FCF | 6.16 | ||
| P/OCF | 2.58 | ||
| P/B | 0.93 | ||
| P/tB | N/A | ||
| EV/EBITDA | 4.68 |
EPS(TTM)-1.65
EYN/A
EPS(NY)0.87
Fwd EY8.26%
FCF(TTM)1.7
FCFY16.23%
OCF(TTM)4.06
OCFY38.7%
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 | 1.3 |
F-Score6
WACC7.21%
ROIC/WACC0.94
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 2Y63.47%
EPS Next 3Y41.42%
EPS Next 5Y27.07%
Revenue 1Y (TTM)29.88%
Revenue growth 3Y44.69%
Revenue growth 5YN/A
Sales Q2Q%0.23%
Revenue Next Year2.07%
Revenue Next 2Y2.49%
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