Accendra Health (ACH)
NYSE:ACH
Want to see ACH full AI Analyst Report?
Top Page
Accendra Health
(NYSE:ACH)
Select Model
Select Model
Rating:47Neutral
Price Target:
$3.50
▲(36.19% Upside)
Action:ReiteratedDate:04/21/26
The score is primarily pressured by weak recent financial performance (large losses, cash burn, and negative equity) and limited valuation support (negative P/E, no dividend yield). Technicals provide some near-term momentum but appear overbought, while earnings-call guidance is balanced—near-term revenue/EBITDA headwinds from a major payer loss partially offset by deleveraging actions and free-cash-flow targets.
Positive Factors
Strategic divestiture and proceeds
The completed divestiture materially simplifies the company into a pure‑play home-based care operator and provided $342M in proceeds used to reduce debt. That improves capital structure, focuses management on higher‑margin core operations and supports long‑term deleveraging targets.
Negative Factors
Balance-sheet stress and negative equity
Negative equity and elevated debt materially weaken financial flexibility and heighten refinancing and covenant risk. Structural balance‑sheet weakness constrains capital allocation, increases borrowing costs, and reduces the firm's ability to absorb shocks or fund strategic initiatives without external capital.
Read all positive and negative factors
Positive Factors
Negative Factors
Strategic divestiture and proceeds
The completed divestiture materially simplifies the company into a pure‑play home-based care operator and provided $342M in proceeds used to reduce debt. That improves capital structure, focuses management on higher‑margin core operations and supports long‑term deleveraging targets.
Read all positive factors
Accendra Health (ACH) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$273.65M
Dividend YieldN/A
Average Volume (3M)1.12M
Price to Earnings (P/E)―
Beta (1Y)1.21
Revenue Growth-55.89%
EPS Growth-203.85%
CountryUS
Employees23,200
SectorHealthcare
Sector Strength45
IndustryMedical - Distribution
Share Statistics
EPS (TTM)-14.29
Shares Outstanding76,437,920
10 Day Avg. Volume949,424
30 Day Avg. Volume1,122,390
Financial Highlights & Ratios
PEG Ratio>-0.01
Price to Book (P/B)-0.47
Price to Sales (P/S)0.08
P/FCF Ratio-0.74
Enterprise Value/Market Cap8.13
Enterprise Value/Revenue0.47
Enterprise Value/Gross Profit1.52
Enterprise Value/Ebitda9.46
Forecast
1Y Price Target
$2.83Price Target Upside10.25% Upside
Rating ConsensusHold
Number of Analyst Covering3
EPS Forecast (FY)0.7
Revenue Forecast (FY)$2.59B
Accendra Health Business Overview & Revenue Model
Company Description
Accendra Health, Inc., together with its subsidiaries, operates as a healthcare solutions company worldwide. The company operates in two segments, Products & Healthcare Services and Patient Direct. The Products & Healthcare Services segment offers...
Accendra Health Earnings Call Summary
Earnings Call Date:Feb 19, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:May 11, 2026
Earnings Call Sentiment Neutral
The call presented a balanced picture: structurally positive strategic actions and improving cash generation following the divestiture (completed sale proceeds, strong continuing-operations cash flow, debt reduction, a clear deleveraging target and targeted technology investments). However, material near-term challenges remain — most notably the large commercial payer contract loss (~$300M headwind in 2026), margin pressure from inflationary product costs and one-time separation and stranded costs — which depress near-term revenue and adjusted EBITDA guidance. Management outlined clear remediation actions (cost reduction, technology, preferred agreements and capital structure optimization) and expects improvements over 2026 and into 2027, resulting in a neutral overall outlook in the near term while leaving upside potential if replacement volume and cost initiatives succeed.Positive Updates
Completed Strategic Divestiture
Sold Products & Healthcare Services (Owens & Minor) to Platinum Equity on December 31, 2025; received $342 million of net proceeds at closing with an expected additional $12–15 million of purchase price adjustments, enabling a leaner, higher-margin pure-play home-based care company and enabling immediate use of proceeds to reduce debt (including $66 million to settle PNHS-related AR securitization).
Negative Updates
Significant Large Commercial Payer Contract Loss
A previously disclosed loss and price impact from a large commercial payer reduced Q4 revenue by ~1% relative to what would have been >3% growth. Management expects the aggregate impact to be approximately $300 million of incremental revenue reduction in 2026 vs 2025 and an additional ~$40 million in 2027, with the company not fully replacing that volume and expecting to fully lap the impact by end of Q1 2027.
Read all updates
Q4-2025 Updates
Positive
Negative
Completed Strategic Divestiture
Sold Products & Healthcare Services (Owens & Minor) to Platinum Equity on December 31, 2025; received $342 million of net proceeds at closing with an expected additional $12–15 million of purchase price adjustments, enabling a leaner, higher-margin pure-play home-based care company and enabling immediate use of proceeds to reduce debt (including $66 million to settle PNHS-related AR securitization).
Read all positive updates
Company Guidance
The company guided 2026 net revenue of $2.55–$2.65 billion and adjusted EBITDA of $335–$355 million, with levered free cash flow at the midpoint of the plan of at least $100 million; management said the loss of a large commercial payer will reduce 2026 revenue by roughly $300 million versus 2025 (about $40 million more in 2027) with ~15% of that reduction in Q1 and 25–30% in each of Q2–Q4, and noted they expect to fully lap the impact by the end of Q1 2027. For context, 2025 revenue was ~$2.8 billion (up ~3%), adjusted EBITDA was $375 million (Q4 adj. EBITDA $90 million), Q4 free cash flow was $18 million and FY free cash flow $98 million; patient CapEx was $45 million in Q4 and $189 million for 2025 (expected to be ~95% of total CapEx going forward). Balance sheet metrics: net debt $1.8 billion (down $315 million from Sept. 30), cash $282 million at 12/31 plus ~$220 million revolver capacity and $16 million AR securitization availability, $342 million divestiture proceeds received (with an additional ~$12–$15 million expected), and a long‑range leverage target of ~3x adjusted EBITDA.Accendra Health Financial Statement Overview
Summary
Income Statement
28
Negative
Balance Sheet
14
Very Negative
Cash Flow
22
Negative
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 2.76B | 10.70B | 10.33B | 9.96B | 9.79B |
| Gross Profit | 1.20B | 2.22B | 2.13B | 1.83B | 1.51B |
| EBITDA | 241.77M | 51.22M | 390.57M | 368.45M | 415.46M |
| Net Income | -1.10B | -362.69M | -41.30M | 22.39M | 221.59M |
Balance Sheet | |||||
| Total Assets | 2.45B | 4.66B | 5.09B | 5.39B | 3.54B |
| Cash, Cash Equivalents and Short-Term Investments | 281.99M | 49.38M | 243.04M | 69.47M | 55.71M |
| Total Debt | 2.23B | 2.14B | 2.41B | 2.79B | 1.15B |
| Total Liabilities | 2.91B | 4.09B | 4.17B | 4.44B | 2.60B |
| Stockholders Equity | -460.98M | 565.23M | 924.17M | 945.60M | 938.50M |
Cash Flow | |||||
| Free Cash Flow | -292.75M | -66.67M | 532.82M | 158.42M | 74.49M |
| Operating Cash Flow | -101.79M | 161.50M | 740.71M | 325.01M | 124.18M |
| Investing Cash Flow | 144.42M | -116.53M | -137.25M | -1.80B | -53.63M |
| Financing Cash Flow | 188.08M | -267.60M | -417.33M | 1.50B | -129.48M |
Accendra Health Peers Comparison
UnderperformOutperform
Sector (51)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
51 Neutral | $7.86B | -0.30 | -43.30% | 2.27% | 22.53% | -2.21% |
* Healthcare Sector Average
Performance Comparison
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.