ADAPTHEALTH CORP (AHCO)
US00653Q1022 - Common Stock
We assign a fundamental rating of 3 out of 10 to AHCO. AHCO was compared to 117 industry peers in the Health Care Providers & Services industry. There are concerns on the financial health of AHCO while its profitability can be described as average. AHCO has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year AHCO has reported negative net income.
In the past year AHCO had a positive cash flow from operations.
In multiple years AHCO reported negative net income over the last 5 years.
In the past 5 years AHCO always reported a positive cash flow from operatings.
1.2 Ratios
AHCO has a Return On Assets of -15.06%. This is in the lower half of the industry: AHCO underperforms 73.28% of its industry peers.
With a Return On Equity value of -46.55%, AHCO is not doing good in the industry: 64.66% of the companies in the same industry are doing better.
AHCO's Return On Invested Capital of 4.39% is fine compared to the rest of the industry. AHCO outperforms 61.21% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for AHCO is below the industry average of 8.59%.
The 3 year average ROIC (3.75%) for AHCO is below the current ROIC(4.39%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -15.06% | ||
| ROE | -46.55% | ||
| ROIC | 4.39% |
ROA(3y)-3.71%
ROA(5y)-4.79%
ROE(3y)-12.24%
ROE(5y)N/A
ROIC(3y)3.75%
ROIC(5y)3.98%
1.3 Margins
AHCO has a better Operating Margin (7.30%) than 77.59% of its industry peers.
In the last couple of years the Operating Margin of AHCO has grown nicely.
AHCO's Gross Margin of 17.82% is on the low side compared to the rest of the industry. AHCO is outperformed by 65.52% of its industry peers.
AHCO's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.3% | ||
| PM (TTM) | N/A | ||
| GM | 17.82% |
OM growth 3Y14.36%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.52%
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so AHCO is destroying value.
AHCO has less shares outstanding than it did 1 year ago.
AHCO has more shares outstanding than it did 5 years ago.
AHCO has a worse debt/assets ratio than last year.
2.2 Solvency
AHCO has an Altman-Z score of 0.97. This is a bad value and indicates that AHCO is not financially healthy and even has some risk of bankruptcy.
AHCO has a Altman-Z score of 0.97. This is comparable to the rest of the industry: AHCO outperforms 42.24% of its industry peers.
The Debt to FCF ratio of AHCO is 15.22, which is on the high side as it means it would take AHCO, 15.22 years of fcf income to pay off all of its debts.
AHCO has a Debt to FCF ratio of 15.22. This is comparable to the rest of the industry: AHCO outperforms 55.17% of its industry peers.
A Debt/Equity ratio of 1.45 is on the high side and indicates that AHCO has dependencies on debt financing.
The Debt to Equity ratio of AHCO (1.45) is worse than 65.52% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.45 | ||
| Debt/FCF | 15.22 | ||
| Altman-Z | 0.97 |
ROIC/WACC0.62
WACC7.06%
2.3 Liquidity
A Current Ratio of 1.21 indicates that AHCO should not have too much problems paying its short term obligations.
AHCO has a Current ratio of 1.21. This is comparable to the rest of the industry: AHCO outperforms 42.24% of its industry peers.
A Quick Ratio of 1.00 indicates that AHCO may have some problems paying its short term obligations.
AHCO has a worse Quick ratio (1.00) than 64.66% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.21 | ||
| Quick Ratio | 1 |
3. Growth
3.1 Past
AHCO shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -596.15%.
AHCO shows a small growth in Revenue. In the last year, the Revenue has grown by 7.73%.
AHCO shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 44.69% yearly.
EPS 1Y (TTM)-596.15%
EPS 3YN/A
EPS 5YN/A
EPS growth Q2Q-9450%
Revenue 1Y (TTM)7.73%
Revenue growth 3Y44.69%
Revenue growth 5YN/A
Revenue growth Q2Q9.99%
3.2 Future
AHCO is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 32.16% yearly.
The Revenue is expected to grow by 6.32% on average over the next years.
EPS Next Y163.14%
EPS Next 2Y67.8%
EPS Next 3Y44.83%
EPS Next 5Y32.16%
Revenue Next Year4.7%
Revenue Next 2Y5.39%
Revenue Next 3Y6.32%
Revenue Next 5YN/A
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
AHCO reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
Based on the Price/Forward Earnings ratio of 12.09, the valuation of AHCO can be described as correct.
Based on the Price/Forward Earnings ratio, AHCO is valued cheaply inside the industry as 89.66% of the companies are valued more expensively.
AHCO is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 21.02, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 12.09 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, AHCO is valued cheaply inside the industry as 96.55% of the companies are valued more expensively.
87.93% of the companies in the same industry are more expensive than AHCO, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.14 | ||
| EV/EBITDA | 5.6 |
4.3 Compensation for Growth
AHCO's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as AHCO's earnings are expected to grow with 44.83% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y67.8%
EPS Next 3Y44.83%
5. Dividend
5.1 Amount
AHCO does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
ADAPTHEALTH CORP
NASDAQ:AHCO (4/30/2024, 7:00:00 PM)
After market: 9.85 0 (0%)9.85
-0.28 (-2.76%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap1.31B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
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EPS beat(4)
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EPS beat(8)
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EPS beat(12)
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EPS beat(16)
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Revenue beat(2)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
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EPS NY rev (3m)
Revenue NQ rev (1m)
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Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 12.09 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -15.06% | ||
| ROE | -46.55% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 7.3% | ||
| PM (TTM) | N/A | ||
| GM | 17.82% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.71
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.45 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.21 | ||
| Quick Ratio | 1 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-596.15%
EPS 3YN/A
EPS 5Y
EPS growth Q2Q
EPS Next Y163.14%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)7.73%
Revenue growth 3Y44.69%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y