DB:PRF

Stock Analysis Report

Providence Service

Executive Summary

The Providence Service Corporation provides healthcare services in the United States.

Rewards

Trading at 58.4% below its fair value

Earnings are forecast to grow 105.18% per year

Risk Analysis

No risks detected for PRF from our risk checks.


Snowflake Analysis

Flawless balance sheet with moderate growth potential.


Similar Companies

Share Price & News

How has Providence Service's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: PRF has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

5.9%

PRF

1.9%

DE Healthcare

1.7%

DE Market


1 Year Return

-1.4%

PRF

4.4%

DE Healthcare

15.0%

DE Market

Return vs Industry: PRF underperformed the German Healthcare industry which returned 4.4% over the past year.

Return vs Market: PRF underperformed the German Market which returned 15% over the past year.


Shareholder returns

PRFIndustryMarket
7 Day5.9%1.9%1.7%
30 Day5.9%4.1%0.8%
90 Day9.6%4.7%3.7%
1 Year-1.4%-1.4%6.3%4.4%18.5%15.0%
3 Year65.3%65.3%-20.1%-23.0%17.1%6.9%
5 Year76.9%76.9%13.3%7.1%24.3%7.3%

Price Volatility Vs. Market

How volatile is Providence Service's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Providence Service undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: PRF (€63) is trading below our estimate of fair value (€151.38)

Significantly Below Fair Value: PRF is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: PRF is unprofitable, so we can't compare its PE Ratio to the Healthcare industry average.

PE vs Market: PRF is unprofitable, so we can't compare its PE Ratio to the German market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate PRF's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: PRF is overvalued based on its PB Ratio (2.8x) compared to the DE Healthcare industry average (1.5x).


Next Steps

Future Growth

How is Providence Service forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

105.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PRF is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (-0.4%).

Earnings vs Market: PRF is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: PRF's is expected to become profitable in the next 3 years.

Revenue vs Market: PRF's revenue (3.4% per year) is forecast to grow slower than the German market (5% per year).

High Growth Revenue: PRF's revenue (3.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if PRF's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Providence Service performed over the past 5 years?

13.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PRF is currently unprofitable.

Growing Profit Margin: PRF is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: PRF is unprofitable, but has reduced losses over the past 5 years at a rate of 13% per year.

Accelerating Growth: Unable to compare PRF's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: PRF is unprofitable, making it difficult to compare its past year earnings growth to the Healthcare industry (-6.8%).


Return on Equity

High ROE: PRF has a negative Return on Equity (1.27%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Providence Service's financial position?


Financial Position Analysis

Short Term Liabilities: PRF's short term assets ($254.9M) exceed its short term liabilities ($165.8M).

Long Term Liabilities: PRF's short term assets ($254.9M) exceed its long term liabilities ($57.8M).


Debt to Equity History and Analysis

Debt Level: PRF is debt free.

Reducing Debt: PRF has no debt compared to 5 years ago when its debt to equity ratio was 111.1%.


Balance Sheet

Inventory Level: PRF has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if PRF's debt is covered by short term assets.


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: PRF has been profitable on average in the past, therefore cash runway is not a concern.

Forecast Cash Runway: PRF has been profitable on average in the past, therefore cash runway is not a concern.


Next Steps

Dividend

What is Providence Service's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.3%markettop25%3.6%industryaverage1.8%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate PRF's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate PRF's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if PRF's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if PRF's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of PRF's dividend in 3 years as they are not forecast to pay a notable one for the German market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.0yrs

Average management tenure


CEO

Dan Greenleaf (54yo)

0.2yrs

Tenure

0

Mr. Daniel E. Greenleaf, also known as Dan, has been President and Chief Executive Officer of The Providence Service Corporation and LogistiCare Solutions, LLC since December 11, 2019. He serves as Directo ...


Leadership Team

NamePositionTenureCompensationOwnership
Daniel Greenleaf
President0.2yrsno datano data
Kevin Dotts
Chief Financial Officer1.5yrsno data0.027% $221.7k
Suzanne Smith
Chief Accounting Officer1yrsno data0.014% $115.3k
Julie Correll
Chief Compliance Officer0.8yrsno datano data
Kathryn Stalmack
Senior VP0.5yrsno data0.045% $370.7k
Walter Cooper
Chief Executive Officer of Matrix Medical Network5.3yrsno datano data
Jack Sawyer
Chief Executive Officer of Ingeus4.3yrsno datano data
Albert Cortina
Interim Chief Executive Officer of Logisticare0yrsno datano data

1.0yrs

Average Tenure

54yo

Average Age

Experienced Management: PRF's management team is not considered experienced ( 1 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Daniel Greenleaf
President0.2yrsno datano data
David Coulter
Independent Director3.6yrsUS$223.67k0.14% $1.1m
Francis Wright
Independent Director3.6yrsUS$231.86k0.082% $671.5k
Todd Carter
Independent Director3.6yrsUS$218.07k0.069% $565.0k
Leslie Norwalk
Independent Director4.3yrsUS$238.73k0.085% $695.4k
Christopher Shackelton
Chairman of the Board7.3yrsUS$251.23kno data
Richard Kerley
Independent Director9.8yrsUS$249.98k0.26% $2.1m

3.9yrs

Average Tenure

56yo

Average Age

Experienced Board: PRF's board of directors are considered experienced (3.9 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

The Providence Service Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: The Providence Service Corporation
  • Ticker: PRF
  • Exchange: DB
  • Founded: 1996
  • Industry: Health Care Services
  • Sector: Healthcare
  • Market Cap: US$886.836m
  • Listing Market Cap: US$818.550m
  • Shares outstanding: 12.90m
  • Website: https://www.prscholdings.com

Number of Employees


Location

  • The Providence Service Corporation
  • 700 Canal Street
  • Third Floor
  • Stamford
  • Connecticut
  • 6902
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PRSCNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDAug 2003
PRFDB (Deutsche Boerse AG)YesCommon StockDEEURAug 2003

Biography

The Providence Service Corporation provides healthcare services in the United States. It operates through Non-Emergency Transportation Services (NET Services) and Matrix Investment segments. The NET Services segment offers non-emergency medical transportation services for Medicaid or Medicare eligible members, whose limited mobility or financial resources hinder their ability to access necessary healthcare and social services. The Matrix Investment segment provides home and mobile-based healthcare services, including comprehensive health assessments, quality gap closure visits, level of service needs assessments, and post-acute and chronic care management services through a network of community-based clinicians, and a fleet of mobile health clinics. The company was founded in 1996 and is headquartered in Stamford, Connecticut. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/17 20:32
End of Day Share Price2020/02/14 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.