Adapthealth Corp Cl. A Down 11.04% To $7.52 After Earnings Beat

Tuesday, November 7, 2023 - Adapthealth Corp Cl. A (AHCO) reported upside earnings and revenues today.

The consensus among analysts for Adapthealth Corp Cl. A was for an earnings per share (EPS) of $0.20. The firm was able to surpass those projections, reporting an EPS of $0.36, a positive surprise of $0.16 (80%). Profits rose 227% year-over-year after reporting an EPS of $0.11 in its year-ago quarter. The positive growth rate signals that the Healthcare company is performing well amid recent economic conditions.

Consensus estimates for Adapthealth Corp Cl. A revenue averaged out to $796.6 million, with the business managing to beat those expectations with reported third-quarter revenue of $804 million. The $7.4 million (1%) positive revenue surprise led to 6% growth year-over-year as the firm reported revenue of $756.5 million in its year-ago quarter. The higher earnings growth compared to revenue points to Adapthealth Corp Cl. A improving its profit margin.

The stock is down 11.04% to $7.52 after the report.

The firm's lower revenue growth to earnings signals that the firm has been able to reduce costs and improve its profit margin overall.

Wall Street Analysts had an average rating of Buy on the stock prior to the report.

Trading in the five days leading up to the report earned Adapthealth Corp Cl. A a Bullish Sentiment Rank from InvestorsObserver.

Adapthealth Corp Cl. A has performed poorly during the past few months, garnering a low Long-Term Technical Rank by InvestorsObserver of 16, putting Adapthealth Corp Cl. A in the bottom 25% of stocks. The firm was recently trading at a 52-week low of $6.92 on November 1, 2023 and set a 52-week high on November 14, 2022 at $23.09.

AdaptHealth Corp is a provider of home healthcare equipment and related services. Its products portfolio includes Mobility Products, Sleep Therapy and Sleep Therapy Supplies, Respiratory Therapy, Non-invasive Ventilation, Nutrition Supplies, Bed Lifts, Seat Lift Chairs, Home Modifications, Power Mobility, and Bath Aids.