NYSE:EVH

Stock Analysis Report

Executive Summary

Evolent Health, Inc., through its subsidiary, Evolent Health LLC, provides health care delivery and payment solutions in the United States.

Snowflake

Fundamentals

Reasonable growth potential and fair value.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

9.8%

EVH

1.4%

US Healthcare Services

1.8%

US Market


1 Year Return

-68.4%

EVH

15.6%

US Healthcare Services

7.3%

US Market

Return vs Industry: EVH underperformed the US Healthcare Services industry which returned 15.6% over the past year.

Return vs Market: EVH underperformed the US Market which returned 7.3% over the past year.


Shareholder returns

EVHIndustryMarket
7 Day9.8%1.4%1.8%
30 Day-4.3%-0.9%-0.7%
90 Day13.4%-5.3%0.06%
1 Year-68.4%-68.4%15.8%15.6%9.7%7.3%
3 Year-67.5%-67.5%57.1%56.6%46.3%36.9%
5 Yearn/a49.8%48.7%64.5%46.5%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: EVH ($7.54) is trading below our estimate of fair value ($20.43)

Significantly Undervalued: EVH is trading below fair value by more than 20%.


Price To Earnings Ratio

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

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


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: EVH is good value based on its PB Ratio (0.6x) compared to the US Healthcare Services industry average (3.7x).


Next Steps

Future Growth

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

71.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: EVH is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2.7%).

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

High Growth Earnings: EVH's loss is forecast to worsen by 0% next year.

Revenue vs Market: EVH's revenue (13.7% per year) is forecast to grow faster than the US market (7.3% per year).

High Growth Revenue: EVH's revenue (13.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

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


Next Steps

Past Performance

How has Evolent Health performed over the past 5 years?

-41.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: EVH is unprofitable, and losses have increased over the past 5 years at a rate of -41% per year.

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

Earnings vs Industry: EVH is unprofitable, making it difficult to compare its past year earnings growth to the Healthcare Services industry (3.3%).


Return on Equity

High ROE: EVH has a negative Return on Equity (-9.65%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: EVH is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: EVH is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Evolent Health's financial position?


Financial Position Analysis

Short Term Liabilities: EVH's short term assets ($240.9M) exceeds its short term liabilities ($172.9M)

Long Term Liabilities: EVH's short term assets (240.9M) do not cover its long term liabilities (332.6M)


Debt to Equity History and Analysis

Debt Level: EVH's debt to equity ratio (19.7%) is considered satisfactory

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


Balance Sheet

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

Debt Coverage by Assets: EVH's debt is covered by short term assets (assets are 1.067460x debt).


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: EVH has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if EVH has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%1.5%markettop25%3.7%industryaverage1.0%forecastin3Years0%

Current dividend yield vs market & industry


Stability and Growth of Payments

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

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

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

Growing Dividend: Insufficient data to determine if EVH'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 EVH'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 Evolent Health's salary, the management and board of directors tenure and is there insider trading?

3.7yrs

Average management tenure


CEO

Frank Williams (52yo)

8.2yrs

Tenure

US$3,311,000

Compensation

Mr. Frank J. Williams co-founded Evolent Health, Inc. in 2011 and serves as its Chief Executive Officer since August 2011. Mr. Williams is a Director at Business Talent Group, LLC and Peer Health Exchange. ...


CEO Compensation Analysis

Compensation vs. Market: Frank's total compensation ($USD3.31M) is about average for companies of similar size in the US market ($USD2.67M).

Compensation vs Earnings: Frank's compensation has increased whilst the company is unprofitable.


Management Age and Tenure

3.7yrs

Average Tenure

50yo

Average Age

Experienced Management: EVH's management team is considered experienced (3.7 years average tenure).


Board Age and Tenure

4.0yrs

Average Tenure

60.5yo

Average Age

Experienced Board: EVH's board of directors are considered experienced (4 years average tenure).


Insider Trading

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


Recent Insider Transactions

BuyUS$50,68819 Aug 19
Kenneth Samet
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares7,200
Max PriceUS$7.04
BuyUS$124,50014 Aug 19
Michael D’Amato
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares10,000
Max PriceUS$12.45
BuyUS$105,45013 Aug 19
Michael D’Amato
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares15,000
Max PriceUS$7.03

Ownership Breakdown


Management Team

  • Norman Payson (70yo)

    • Tenure: 0.3yrs
    • Compensation: US$430.46k
  • Frank Williams (52yo)

    Co-Founder

    • Tenure: 8.2yrs
    • Compensation: US$3.31m
  • Nicky McGrane (51yo)

    Executive Vice President of Corporate Performance

    • Tenure: 0.3yrs
    • Compensation: US$1.01m
  • Jordan Flynn

    VP & Chief Compliance Officer

    • Tenure: 3.2yrs
  • Seth Blackley (40yo)

    Co-Founder

    • Tenure: 1.5yrs
    • Compensation: US$2.21m
  • Tom Peterson (49yo)

    Co-Founder & COO

    • Tenure: 8.8yrs
    • Compensation: US$1.09m
  • Jonathan Weinberg (51yo)

    Chief Legal Officer

    • Tenure: 3.7yrs
    • Compensation: US$636.00k
  • Lydia Stone (43yo)

    VP, Chief Accounting Officer & Corporate Controller

    • Tenure: 4.1yrs
  • Bob East

    Investor Contact

    • Tenure: 0yrs
  • John Johnson (35yo)

    Chief Financial Officer

    • Tenure: 0.3yrs

Board Members

  • Bruce Felt (61yo)

    Presiding Director

    • Tenure: 0yrs
    • Compensation: US$195.00k
  • Michael D’Amato (65yo)

    Independent Director

    • Tenure: 3.5yrs
    • Compensation: US$175.00k
  • Frank Williams (52yo)

    Co-Founder

    • Tenure: 8.2yrs
    • Compensation: US$3.31m
  • Cheryl Scott (69yo)

    Independent Director

    • Tenure: 3.9yrs
    • Compensation: US$175.00k
  • Matt Hobart (48yo)

    Independent Director

    • Tenure: 6.1yrs
  • Diane Holder (69yo)

    Director

    • Tenure: 8.2yrs
    • Compensation: US$190.00k
  • Ken Samet (61yo)

    Independent Director

    • Tenure: 4.1yrs
    • Compensation: US$175.00k
  • Seth Blackley (40yo)

    Co-Founder

    • Tenure: 1.5yrs
    • Compensation: US$2.21m
  • David Farner (55yo)

    Director

    • Tenure: 5.1yrs
    • Compensation: US$175.00k
  • M. Duffy (60yo)

    Independent Director

    • Tenure: 2.1yrs
    • Compensation: US$175.00k

Company Information

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


Key Information

  • Name: Evolent Health, Inc.
  • Ticker: EVH
  • Exchange: NYSE
  • Founded: 2011
  • Industry: Health Care Technology
  • Sector: Healthcare
  • Implied Market Cap: US$614.454m
  • Market Cap: US$631.949m
  • Shares outstanding: 84.52m
  • Website: https://www.evolenthealth.com

Number of Employees


Location

  • Evolent Health, Inc.
  • 800 North Glebe Road
  • Suite 500
  • Arlington
  • Virginia
  • 22203
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
EVHNYSE (New York Stock Exchange)YesClass A Common StockUSUSDJun 2015
9EHDB (Deutsche Boerse AG)YesClass A Common StockDEEURJun 2015

Biography

Evolent Health, Inc., through its subsidiary, Evolent Health LLC, provides health care delivery and payment solutions in the United States. The company operates through two segments, Services and True Heal ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/18 01:07
End of Day Share Price2019/10/17 00:00
Earnings2019/06/30
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.