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OPCH

Option Care HealthNasdaqGS:OPCH Stock Report

Last Price

US$22.06

Market Cap

US$4.0b

7D

-9.3%

1Y

12.6%

Updated

23 Jan, 2022

Data

Company Financials +
OPCH fundamental analysis
Snowflake Score
Valuation2/6
Future Growth3/6
Past Performance3/6
Financial Health1/6
Dividends0/6

OPCH Stock Overview

Option Care Health, Inc. offers home and alternate site infusion services in the United States.

Price History & Performance

Summary of all time highs, changes and price drops for Option Care Health
Historical stock prices
Current Share PriceUS$22.06
52 Week HighUS$28.86
52 Week LowUS$16.02
Beta1.86
1 Month Change-21.10%
3 Month Change-17.81%
1 Year Change12.61%
3 Year Changen/a
5 Year Changen/a
Change since IPO99.10%

Recent News & Updates

Jan 07
At US$25.88, Is Option Care Health, Inc. (NASDAQ:OPCH) Worth Looking At Closely?

At US$25.88, Is Option Care Health, Inc. (NASDAQ:OPCH) Worth Looking At Closely?

While Option Care Health, Inc. ( NASDAQ:OPCH ) might not be the most widely known stock at the moment, it received a...

Nov 23
Here's Why Option Care Health (NASDAQ:OPCH) Can Manage Its Debt Responsibly

Here's Why Option Care Health (NASDAQ:OPCH) Can Manage Its Debt Responsibly

Howard Marks put it nicely when he said that, rather than worrying about share price volatility, 'The possibility of...

Nov 08
Option Care Health (NASDAQ:OPCH) Shareholders Will Want The ROCE Trajectory To Continue

Option Care Health (NASDAQ:OPCH) Shareholders Will Want The ROCE Trajectory To Continue

If we want to find a potential multi-bagger, often there are underlying trends that can provide clues. Typically, we'll...

Shareholder Returns

OPCHUS HealthcareUS Market
7D-9.3%-3.5%-6.1%
1Y12.6%12.7%4.2%

Return vs Industry: OPCH matched the US Healthcare industry which returned 12.7% over the past year.

Return vs Market: OPCH exceeded the US Market which returned 4.2% over the past year.

Price Volatility

Is OPCH's price volatile compared to industry and market?
OPCH volatility
OPCH Average Weekly Movement5.3%
Healthcare Industry Average Movement8.0%
Market Average Movement6.7%
10% most volatile stocks in US Market15.5%
10% least volatile stocks in US Market2.4%

Stable Share Price: OPCH is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: OPCH's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
n/a5,499John Rademacherhttps://www.optioncarehealth.com

Option Care Health, Inc. offers home and alternate site infusion services in the United States. The company provides immunoglobulin infusion therapies for the treatment of immune deficiencies; anti-infective therapies and services; home infusion services to treat heart failures; and treatments for chronic inflammatory disorders, including Crohn’s disease, plaque psoriasis, psoriatic arthritis, rheumatoid arthritis, ulcerative colitis, and other chronic inflammatory disorders; and immunoglobulin infusion therapies. It also offers infusion therapies for bleeding disorders; home parenteral nutrition and enteral nutrition support services for numerous acute and chronic conditions, such as stroke, cancer, and gastrointestinal diseases; and other infusion therapies to treat various conditions, including pain management, chemotherapy, and respiratory medications.

Option Care Health Fundamentals Summary


Earnings & Revenue

Key profitability statistics from the latest earnings report
OPCH income statement (TTM)
RevenueUS$3.32b
Cost of RevenueUS$2.56b
Gross ProfitUS$751.17m
ExpensesUS$668.90m
EarningsUS$82.27m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.46
Gross Margin22.65%
Net Profit Margin2.48%
Debt/Equity Ratio102.9%

How did OPCH perform over the long term?

See historical performance and comparison

Valuation

Is Option Care Health undervalued compared to its fair value and its price relative to the market?

33.6%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: OPCH ($22.06) is trading below our estimate of fair value ($33.24)

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


Price To Earnings Ratio

PE vs Industry: OPCH is poor value based on its PE Ratio (48.2x) compared to the US Healthcare industry average (19.9x).

PE vs Market: OPCH is poor value based on its PE Ratio (48.2x) compared to the US market (16.5x).


Price to Earnings Growth Ratio

PEG Ratio: OPCH is poor value based on its PEG Ratio (1.7x)


Price to Book Ratio

PB vs Industry: OPCH is overvalued based on its PB Ratio (3.6x) compared to the US Healthcare industry average (2.5x).


Future Growth

How is Option Care Health forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?

28.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: OPCH's forecast earnings growth (28.5% per year) is above the savings rate (2%).

Earnings vs Market: OPCH's earnings (28.5% per year) are forecast to grow faster than the US market (12.9% per year).

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

Revenue vs Market: OPCH's revenue (7.6% per year) is forecast to grow slower than the US market (9.1% per year).

High Growth Revenue: OPCH's revenue (7.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: OPCH's Return on Equity is forecast to be low in 3 years time (14.6%).


Past Performance

How has Option Care Health performed over the past 5 years?

13.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: OPCH has high quality earnings.

Growing Profit Margin: OPCH became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: OPCH has become profitable over the past 5 years, growing earnings by 13.8% per year.

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

Earnings vs Industry: OPCH has become profitable in the last year, making it difficult to compare its past year earnings growth to the Healthcare industry (32.5%).


Return on Equity

High ROE: OPCH's Return on Equity (7.5%) is considered low.


Financial Health

How is Option Care Health's financial position?


Financial Position Analysis

Short Term Liabilities: OPCH's short term assets ($811.2M) exceed its short term liabilities ($485.7M).

Long Term Liabilities: OPCH's short term assets ($811.2M) do not cover its long term liabilities ($1.2B).


Debt to Equity History and Analysis

Debt Level: OPCH's net debt to equity ratio (84.6%) is considered high.

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

Debt Coverage: OPCH's debt is not well covered by operating cash flow (15%).

Interest Coverage: OPCH's interest payments on its debt are not well covered by EBIT (2.3x coverage).


Balance Sheet


Dividend

What is Option Care Health current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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

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


Next Steps

Management

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

6.3yrs

Average management tenure


CEO

John Rademacher (54 yo)

4.42yrs

Tenure

US$694,171

Compensation

Mr. John C. Rademacher is the President of Option Care Health, Inc. (formerly known as Option Care Enterprises Inc.) and has serves as a Director since 2019. Mr. Rademacher is the Chief Executive Officer o...


CEO Compensation Analysis

Compensation vs Market: John's total compensation ($USD694.17K) is below average for companies of similar size in the US market ($USD5.28M).

Compensation vs Earnings: John's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: OPCH's management team is seasoned and experienced (6.3 years average tenure).


Board Members

Experienced Board: OPCH's board of directors are considered experienced (3 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

Option Care Health, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Option Care Health, Inc.
  • Ticker: OPCH
  • Exchange: NasdaqGS
  • Founded: NaN
  • Industry: Health Care Services
  • Sector: Healthcare
  • Implied Market Cap: US$3.968b
  • Shares outstanding: 179.88m
  • Website: https://www.optioncarehealth.com

Number of Employees


Location

  • Option Care Health, Inc.
  • 3000 Lakeside Drive
  • Suite 300N
  • Bannockburn
  • Illinois
  • 60015
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/23 23:19
End of Day Share Price2022/01/21 00:00
Earnings2021/09/30
Annual Earnings2020/12/31


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.