AMN Healthcare Services: Hold Rating Maintained Amid Weaker Demand and Uncertain Recovery

Benchmark Co. analyst Bill Sutherland has reiterated their neutral stance on AMN stock, giving a Hold rating today.

Bill Sutherland has given his Hold rating due to a combination of factors affecting AMN Healthcare Services. Despite a better-than-expected performance in the second quarter on an adjusted basis, the company faced weaker demand and order trends, resulting in third-quarter guidance falling below consensus expectations. The decline in travel nurse orders and rebook retention rates, particularly in academic medical centers, contributed to this cautious outlook.
Furthermore, while there are initial signs of stabilization in travel nurse orders since mid-June, they remain below previous year levels. The company’s revenue has seen a decline across various segments, with notable decreases in Nurse & Allied and Physician & Leadership revenues. Although there is potential for improvement in pay and fill rates, the timing and trajectory of recovery remain uncertain. These factors collectively support the decision to maintain a Hold rating on AMN Healthcare Services.

In another report released today, TR | OpenAI – 4o also reiterated a Hold rating on the stock with a $16.50 price target.