Amedisys, Inc.
Amedisys, Inc. Fundamental Analysis
Amedisys, Inc. (AMED) shows weak financial fundamentals with a PE ratio of 30.65, profit margin of 5.96%, and ROE of 9.10%. The company generates $1.8B in annual revenue with moderate year-over-year growth of 5.01%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 47.6/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze AMED's fundamental strength across five key dimensions:
Efficiency Score
WeakAMED struggles to generate sufficient returns from assets.
Valuation Score
ModerateAMED shows balanced valuation metrics.
Growth Score
ModerateAMED shows steady but slowing expansion.
Financial Health Score
ExcellentAMED maintains a strong and stable balance sheet.
Profitability Score
WeakAMED struggles to sustain strong margins.
Key Financial Metrics
Is AMED Expensive or Cheap?
P/E Ratio
AMED trades at 30.65 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, AMED's PEG of 1.00 indicates fair valuation.
Price to Book
The market values Amedisys, Inc. at 2.69 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 23.13 times EBITDA. This signals the market has high growth expectations.
How Well Does AMED Make Money?
Net Profit Margin
For every $100 in sales, Amedisys, Inc. keeps $5.96 as profit after all expenses.
Operating Margin
Core operations generate 3.82 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $9.10 in profit for every $100 of shareholder equity.
ROA
Amedisys, Inc. generates $4.89 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Amedisys, Inc. generates limited operating cash flow of $133.96M, signaling weaker underlying cash strength.
Free Cash Flow
Amedisys, Inc. produces free cash flow of $130.30M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $3.96 in free cash annually.
FCF Yield
AMED converts 3.92% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
30.65
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
1.003
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.69
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.83
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.37
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.36
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.09
vs 25 benchmark
ROA
Return on assets percentage
0.05
vs 25 benchmark
ROCE
Return on capital employed
0.04
vs 25 benchmark
How AMED Stacks Against Its Sector Peers
| Metric | AMED Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 30.65 | 28.96 | Neutral |
| ROE | 9.10% | 716.00% | Weak |
| Net Margin | 5.96% | -46137.00% (disorted) | Weak |
| Debt/Equity | 0.37 | 0.35 | Neutral |
| Current Ratio | 1.36 | 4.52 | Neutral |
| ROA | 4.89% | -17407.00% (disorted) | Weak |
AMED outperforms its industry in 0 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Amedisys, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
17.97%
Industry Style: Defensive, Growth, Innovation
High GrowthEPS CAGR
-66.52%
Industry Style: Defensive, Growth, Innovation
DecliningFCF CAGR
7.80%
Industry Style: Defensive, Growth, Innovation
Growing