TD Cowen analyst Ryan Langston reiterated a Hold rating on P3 Health Partners today and set a price target of $8.00.
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Ryan Langston has given his Hold rating due to a combination of factors affecting P3 Health Partners. The company reported an adjusted EBITDA significantly below consensus expectations, primarily due to unfavorable mid-year settlements. This has led to a downward revision of their fiscal year 2025 EBITDA guidance. Despite these challenges, management is actively pursuing opportunities for EBITDA expansion, targeting improvements in risk-coding, clinical and operational programs, contract enhancements, and product and benefit environment.
Langston’s analysis also considers the company’s efforts to normalize adjusted EBITDA by excluding prior year items, which they believe better reflects the underlying business performance. However, the continued underperformance compared to estimates and the need for additional capital in 2026 for liquidity purposes are concerns. These factors, along with the unchanged price target of $8, contribute to the decision to maintain a Hold rating, indicating a cautious outlook while acknowledging potential for improvement.
According to TipRanks, Langston is an analyst with an average return of -4.8% and a 43.75% success rate. Langston covers the Healthcare sector, focusing on stocks such as UnitedHealth, Elevance Health, and Molina Healthcare.