NasdaqGS:AMED

Stock Analysis Report

Executive Summary

Amedisys, Inc., together with its subsidiaries, provides healthcare services in the United States.

Rewards

Trading at 8.5% below its fair value

Earnings are forecast to grow 23.26% per year

Earnings grew by 43.8% over the past year

Risk Analysis

No risks detected for AMED from our risk checks.


Snowflake Analysis

Solid track record with reasonable growth potential.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

-2.7%

AMED

-0.8%

US Healthcare

0.6%

US Market


1 Year Return

30.6%

AMED

6.7%

US Healthcare

20.8%

US Market

Return vs Industry: AMED exceeded the US Healthcare industry which returned 6.7% over the past year.

Return vs Market: AMED exceeded the US Market which returned 20.8% over the past year.


Shareholder returns

AMEDIndustryMarket
7 Day-2.7%-0.8%0.6%
30 Day8.1%5.6%2.5%
90 Day22.3%15.3%4.9%
1 Year30.6%30.6%8.6%6.7%23.5%20.8%
3 Year278.8%278.8%47.0%40.4%46.5%37.0%
5 Year481.5%481.5%63.4%52.2%64.6%46.5%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

8.5%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: AMED ($162.3) is trading below our estimate of fair value ($177.42)

Significantly Below Fair Value: AMED is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: AMED is poor value based on its PE Ratio (41.1x) compared to the Healthcare industry average (21.8x).

PE vs Market: AMED is poor value based on its PE Ratio (41.1x) compared to the US market (18.6x).


Price to Earnings Growth Ratio

PEG Ratio: AMED is poor value based on its PEG Ratio (1.8x)


Price to Book Ratio

PB vs Industry: AMED is overvalued based on its PB Ratio (8.7x) compared to the US Healthcare industry average (2.6x).


Next Steps

Future Growth

How is Amedisys forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?

23.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AMED's forecast earnings growth (23.3% per year) is above the savings rate (1.7%).

Earnings vs Market: AMED's earnings (23.3% per year) are forecast to grow faster than the US market (14.4% per year).

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

Revenue vs Market: AMED's revenue (6.8% per year) is forecast to grow slower than the US market (7.4% per year).

High Growth Revenue: AMED's revenue (6.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: AMED's Return on Equity is forecast to be high in 3 years time (24.7%)


Next Steps

Past Performance

How has Amedisys performed over the past 5 years?

53.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: AMED has high quality earnings.

Growing Profit Margin: AMED's current net profit margins (6.7%) are higher than last year (5.4%).


Past Earnings Growth Analysis

Earnings Trend: AMED has become profitable over the past 5 years, growing earnings by 53.8% per year.

Accelerating Growth: AMED's earnings growth over the past year (43.8%) is below its 5-year average (53.8% per year).

Earnings vs Industry: AMED earnings growth over the past year (43.8%) exceeded the Healthcare industry 6.2%.


Return on Equity

High ROE: AMED's Return on Equity (21.2%) is considered high.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Amedisys's financial position?


Financial Position Analysis

Short Term Liabilities: AMED's short term assets ($299.5M) do not cover its short term liabilities ($314.7M).

Long Term Liabilities: AMED's short term assets ($299.5M) exceed its long term liabilities ($294.3M).


Debt to Equity History and Analysis

Debt Level: AMED's debt to equity ratio (39.3%) is considered satisfactory.

Reducing Debt: AMED's debt to equity ratio has increased from 29.8% to 39.3% over the past 5 years.

Debt Coverage: AMED's debt is well covered by operating cash flow (80.5%).

Interest Coverage: AMED's interest payments on its debt are well covered by EBIT (13.3x coverage).


Balance Sheet

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

Debt Coverage by Assets: AMED's debt is covered by short term assets (assets are 1.3x debt).


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage1.5%forecastin3Years0%

Current dividend yield vs market & industry

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

High Dividend: Unable to evaluate AMED'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 AMED's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if AMED'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 AMED's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

What is the CEO of Amedisys's salary, the management and board of directors tenure and is there insider trading?

3.0yrs

Average management tenure


CEO

Paul Kusserow (58yo)

5yrs

Tenure

US$4,866,439

Compensation

Mr. Paul Berthold Kusserow has been the Chief Executive Officer and President of Amedisys, Inc. since December 16, 2014. He serves as Chairman of the Advisory Board of Care Innovations. He has been the Cha ...


CEO Compensation Analysis

Compensation vs Market: Paul's total compensation ($USD4.87M) is about average for companies of similar size in the US market ($USD6.69M).

Compensation vs Earnings: Paul's compensation has increased by more than 20% in the past year.


Management Age and Tenure

3.0yrs

Average Tenure

53yo

Average Age

Experienced Management: AMED's management team is considered experienced (3 years average tenure).


Board Age and Tenure

3.7yrs

Average Tenure

62yo

Average Age

Experienced Board: AMED's board of directors are considered experienced (3.7 years average tenure).


Insider Trading

Insider Buying: AMED insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$167,56012 Dec 19
Jake Netterville
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,000
Max PriceUS$167.56
SellUS$1,299,72115 Nov 19
Donald Washburn
EntityIndividual
Shares8,667
Max PriceUS$149.96
SellUS$238,70008 Nov 19
Scott Ginn
EntityIndividual
Role
Chief Financial Officer
Chief Financial Officer
Shares1,641
Max PriceUS$145.46
SellUS$135,64211 Sep 19
Jake Netterville
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,000
Max PriceUS$135.64
SellUS$143,09414 Aug 19
Sharon Brunecz
EntityIndividual
Role
Head of Human Resources
Chief Human Resources Officer
Shares1,050
Max PriceUS$136.28
SellUS$643,28408 Aug 19
Scott Ginn
EntityIndividual
Role
Chief Financial Officer
Chief Financial Officer
Shares4,871
Max PriceUS$132.34
SellUS$555,12008 Aug 19
David Pearce
EntityIndividual
Shares4,228
Max PriceUS$132.35
SellUS$220,15118 Jun 19
Jake Netterville
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,863
Max PriceUS$118.17
SellUS$577,33213 Jun 19
Scott Ginn
EntityIndividual
Role
Chief Financial Officer
Chief Financial Officer
Shares4,872
Max PriceUS$118.50
SellUS$501,22807 Jun 19
David Kemmerly
EntityIndividual
Role
Chief Legal Officer
Senior VP of Government Affairs & General Counsel
Shares4,420
Max PriceUS$113.40
SellUS$603,57207 Jun 19
Michael North
EntityIndividual
Role
Chief Information Officer
Chief Information Officer
Shares5,248
Max PriceUS$115.01
BuyUS$279,59718 May 19
Bruce Perkins
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares2,500
Max PriceUS$111.84
SellUS$297,40013 Mar 19
Christopher Gerard
EntityIndividual
Role
Chief Operating Officer
Chief Operating Officer
Shares2,500
Max PriceUS$118.96
SellUS$524,44413 Mar 19
David Pearce
EntityIndividual
Shares4,370
Max PriceUS$120.01
SellUS$171,54907 Mar 19
Jeffrey Rideout
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,411
Max PriceUS$122.69

Ownership Breakdown

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


Management Team

  • Paul Kusserow (58yo)

    Chairman

    • Tenure: 5yrs
    • Compensation: US$4.87m
  • John Nugent

    Chief Acquisitions Officer

    • Tenure: 0yrs
  • Scott Ginn (50yo)

    Chief Financial Officer

    • Tenure: 2.2yrs
    • Compensation: US$1.41m
  • Pete Hartley

    CTO & Senior VP of Business Operations Systems

    • Tenure: 0yrs
  • Chris Gerard (52yo)

    Chief Operating Officer

    • Tenure: 2.9yrs
    • Compensation: US$1.19m
  • Dave Kemmerly (56yo)

    Senior VP of Government Affairs & General Counsel

    • Tenure: 4.2yrs
    • Compensation: US$1.09m
  • Sharon Brunecz (52yo)

    Chief Human Resources Officer

    • Tenure: 1.6yrs
    • Compensation: US$2.44m
  • Kendra Kimmons

    Vice President of Marketing & Communications

    • Tenure: 0yrs
  • Michael North (54yo)

    Chief Information Officer

    • Tenure: 3.1yrs
    • Compensation: US$1.39m
  • Denise Bohnert

    Chief Compliance Officer

    • Tenure: 0yrs

Board Members

  • Paul Kusserow (58yo)

    Chairman

    • Tenure: 5yrs
    • Compensation: US$4.87m
  • Bruce Perkins (63yo)

    Independent Director

    • Tenure: 4.7yrs
    • Compensation: US$122.00k
  • Linda J. Keller (70yo)

    Independent Director

    • Tenure: 6.8yrs
    • Compensation: US$121.00k
  • Rich Lechleiter (61yo)

    Lead Independent Director

    • Tenure: 0.2yrs
    • Compensation: US$125.33k
  • Jake Netterville (81yo)

    Independent Director

    • Tenure: 22.9yrs
    • Compensation: US$134.00k
  • Molly Coye (72yo)

    Director

    • Tenure: 0.08yrs
  • Julie Klapstein (64yo)

    Independent Director

    • Tenure: 3.7yrs
    • Compensation: US$121.67k
  • Nat Zilkha (43yo)

    Independent Director

    • Tenure: 5.8yrs
    • Compensation: US$113.67k
  • Jeff Rideout (57yo)

    Independent Director

    • Tenure: 3.7yrs
    • Compensation: US$105.00k
  • Terri Kline (61yo)

    Director

    • Tenure: 0.08yrs

Company Information

Amedisys, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Amedisys, Inc.
  • Ticker: AMED
  • Exchange: NasdaqGS
  • Founded: 1982
  • Industry: Health Care Services
  • Sector: Healthcare
  • Market Cap: US$5.271b
  • Shares outstanding: 32.26m
  • Website: https://www.amedisys.com

Number of Employees


Location

  • Amedisys, Inc.
  • 3854 American Way
  • Suite A
  • Baton Rouge
  • Louisiana
  • 70816
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AMEDNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDJan 1994
ADYDB (Deutsche Boerse AG)YesCommon StockDEEURJan 1994
AMED *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNJan 1994

Biography

Amedisys, Inc., together with its subsidiaries, provides healthcare services in the United States. It operates through three segments: Home Health, Hospice, and Personal Care. The Home Health segment offer ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/12/13 23:34
End of Day Share Price2019/12/13 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.