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AHCO

AdaptHealth NasdaqCM:AHCO Stock Report

Last Price

US$17.35

Market Cap

US$2.4b

7D

1.3%

1Y

-33.3%

Updated

24 May, 2022

Data

Company Financials +
AHCO fundamental analysis
Snowflake Score
Valuation6/6
Future Growth4/6
Past Performance3/6
Financial Health1/6
Dividends0/6

AHCO Stock Overview

AdaptHealth Corp., together with its subsidiaries, provides home medical equipment (HME), medical supplies, and home and related services in the United States.

AdaptHealth Competitors

Price History & Performance

Summary of all time highs, changes and price drops for AdaptHealth
Historical stock prices
Current Share PriceUS$17.35
52 Week HighUS$30.33
52 Week LowUS$11.40
Beta0.62
1 Month Change20.82%
3 Month Change11.50%
1 Year Change-33.32%
3 Year Changen/a
5 Year Changen/a
Change since IPO80.73%

Recent News & Updates

May 19

AdaptHealth: Strongest Home DME Distributor, But Industry Outlook Weak

AHCO distributes home medical supplies and equipment and is a major beneficiary of the pandemic. As with most beneficiaries, growth has stalled and uncertainty about the future is causing the valuations to plummet. While growth and profitability are above average, debt is now in-line with peers and may cause a reversion to the norm. For those interested, I am sure beginning to accumulate shares now may pay off over the years, but I will remain neutral.

Shareholder Returns

AHCOUS HealthcareUS Market
7D1.3%0.1%-0.5%
1Y-33.3%3.5%-12.3%

Return vs Industry: AHCO underperformed the US Healthcare industry which returned 3.5% over the past year.

Return vs Market: AHCO underperformed the US Market which returned -12.3% over the past year.

Price Volatility

Is AHCO's price volatile compared to industry and market?
AHCO volatility
AHCO Average Weekly Movement12.6%
Healthcare Industry Average Movement10.5%
Market Average Movement7.8%
10% most volatile stocks in US Market16.9%
10% least volatile stocks in US Market2.9%

Stable Share Price: AHCO is more volatile than 75% of US stocks over the past 3 months, typically moving +/- 13% a week.

Volatility Over Time: AHCO's weekly volatility (13%) has been stable over the past year, but is still higher than 75% of US stocks.

About the Company

FoundedEmployeesCEOWebsite
n/a10,700Steve Griggshttps://adapthealth.com

AdaptHealth Corp., together with its subsidiaries, provides home medical equipment (HME), medical supplies, and home and related services in the United States. The company provides sleep therapy equipment, supplies, and related services, such as CPAP and bi-PAP services to individuals suffering from obstructive sleep apnea; medical devices and supplies, including continuous glucose monitors and insulin pumps to patients for the treatment of diabetes; HME to patients discharged from acute care and other facilities; oxygen and related chronic therapy services in the home; and other HME devices and supplies on behalf of chronically ill patients with wound care, urological, incontinence, ostomy, and nutritional supply needs. It serves beneficiaries of Medicare, Medicaid, and commercial insurance payors.

AdaptHealth Fundamentals Summary

How do AdaptHealth's earnings and revenue compare to its market cap?
AHCO fundamental statistics
Market CapUS$2.36b
Earnings (TTM)US$183.98m
Revenue (TTM)US$2.69b

12.7x

P/E Ratio

0.9x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
AHCO income statement (TTM)
RevenueUS$2.69b
Cost of RevenueUS$2.13b
Gross ProfitUS$555.14m
Other ExpensesUS$371.17m
EarningsUS$183.98m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)1.37
Gross Margin20.64%
Net Profit Margin6.84%
Debt/Equity Ratio103.8%

How did AHCO perform over the long term?

See historical performance and comparison

Valuation

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

Valuation Score

6/6

Valuation Score 6/6

  • Below Fair Value

  • Significantly Below Fair Value

  • PE vs Industry

  • PE vs Market

  • PEG Ratio

  • PB vs Industry


>50%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: AHCO ($17.35) is trading below our estimate of fair value ($44)

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


Price To Earnings Ratio

PE vs Industry: AHCO is good value based on its Price-To-Earnings Ratio (12.7x) compared to the US Healthcare industry average (18.7x).

PE vs Market: AHCO is good value based on its Price-To-Earnings Ratio (12.7x) compared to the US market (15.1x).


Price to Earnings Growth Ratio

PEG Ratio: AHCO is good value based on its PEG Ratio (0.6x)


Price to Book Ratio

PB vs Industry: AHCO is good value based on its Price-To-Book Ratio (1.1x) compared to the US Healthcare industry average (2.5x).


Future Growth

How is AdaptHealth forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

Future Growth Score

4/6

Future Growth Score 4/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


22.2%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AHCO's forecast earnings growth (22.2% per year) is above the savings rate (1.9%).

Earnings vs Market: AHCO's earnings (22.2% per year) are forecast to grow faster than the US market (12.3% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: AHCO's revenue (11.1% per year) is forecast to grow faster than the US market (7.8% per year).

High Growth Revenue: AHCO's revenue (11.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: AHCO's Return on Equity is forecast to be low in 3 years time (9.8%).


Past Performance

How has AdaptHealth performed over the past 5 years?

Past Performance Score

3/6

Past Performance Score 3/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


18.8%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: AHCO has high quality earnings.

Growing Profit Margin: AHCO became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: AHCO has become profitable over the past 5 years, growing earnings by 18.8% per year.

Accelerating Growth: AHCO has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: AHCO has become profitable in the last year, making it difficult to compare its past year earnings growth to the Healthcare industry (9.6%).


Return on Equity

High ROE: AHCO's Return on Equity (9.6%) is considered low.


Financial Health

How is AdaptHealth's financial position?

Financial Health Score

1/6

Financial Health Score 1/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: AHCO's short term assets ($615.0M) exceed its short term liabilities ($443.6M).

Long Term Liabilities: AHCO's short term assets ($615.0M) do not cover its long term liabilities ($2.6B).


Debt to Equity History and Analysis

Debt Level: AHCO's net debt to equity ratio (98.2%) is considered high.

Reducing Debt: Insufficient data to determine if AHCO's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: AHCO's debt is not well covered by operating cash flow (14.7%).

Interest Coverage: AHCO's interest payments on its debt are not well covered by EBIT (2.9x coverage).


Balance Sheet


Dividend

What is AdaptHealth current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage

Dividend Yield vs Market

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

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


Stability and Growth of Payments

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

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


Earnings Payout to Shareholders

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


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as AHCO has not reported any payouts.


Discover strong dividend paying companies

Management

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

1.1yrs

Average management tenure


CEO

Steve Griggs (63 yo)

0.92

Tenure

US$3,980,508

Compensation

Mr. Stephen P. Griggs, also known as Steve, serves as a Member of Growth Fund Advisory Board at SV Health Investors, LLC He has been Chief Executive Officer at AdaptHealth Corp. since June 14, 2021 and its...


CEO Compensation Analysis

Compensation vs Market: Steve's total compensation ($USD3.98M) is about average for companies of similar size in the US market ($USD5.43M).

Compensation vs Earnings: Insufficient data to compare Steve's compensation with company performance.


Leadership Team

Experienced Management: AHCO's management team is not considered experienced ( 1.1 years average tenure), which suggests a new team.


Board Members

Experienced Board: AHCO's board of directors are not considered experienced ( 2.2 years average tenure), which suggests a new board.


Ownership

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


Insider Trading Volume

Insider Buying: AHCO insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 3.9%.


Top Shareholders

Company Information

AdaptHealth Corp.'s employee growth, exchange listings and data sources


Key Information

  • Name: AdaptHealth Corp.
  • Ticker: AHCO
  • Exchange: NasdaqCM
  • Founded: NaN
  • Industry: Health Care Distributors
  • Sector: Healthcare
  • Implied Market Cap: US$2.361b
  • Shares outstanding: 134.29m
  • Website: https://adapthealth.com

Number of Employees


Location

  • AdaptHealth Corp.
  • 220 West Germantown Pike
  • Suite 250
  • Plymouth Meeting
  • Pennsylvania
  • 19462
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/05/24 00:00
End of Day Share Price2022/05/24 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


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.