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American Shared Hospital Services (AMS)
:AMS
US Market

American Shared Hospital Services (AMS) AI Stock Analysis

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American Shared Hospital Services

(NYSE MKT:AMS)

Rating:64Neutral
Price Target:
$3.00
▲(21.46%Upside)
AMS shows strong revenue growth and a strategic shift towards direct services, but faces challenges with negative cash flow and recent losses. Technical indicators and valuation suggest caution, though corporate leadership changes are promising for long-term growth.

American Shared Hospital Services (AMS) vs. SPDR S&P 500 ETF (SPY)

American Shared Hospital Services Business Overview & Revenue Model

Company DescriptionAmerican Shared Hospital Services (AMS) is a company that provides turnkey technology solutions for advanced medical treatments, primarily focusing on radiation therapy and radiosurgery services. The company operates in the healthcare sector, serving hospitals and medical centers by offering state-of-the-art equipment and technology necessary for treating cancer and other serious medical conditions.
How the Company Makes MoneyAMS makes money through a revenue model that involves leasing advanced medical equipment and providing associated services to hospitals and medical providers. The company generates revenue by entering into long-term contracts with healthcare institutions, where it supplies and maintains sophisticated medical technology such as linear accelerators and gamma knife systems used in radiation therapy. This model allows hospitals to access cutting-edge technology without the significant upfront capital expenditure. AMS also capitalizes on partnerships with major equipment manufacturers and healthcare providers to enhance its service offerings and expand its market reach.

American Shared Hospital Services Earnings Call Summary

Earnings Call Date:May 15, 2025
(Q1-2025)
|
% Change Since: -17.11%|
Next Earnings Date:Aug 13, 2025
Earnings Call Sentiment Neutral
While the company experienced significant revenue growth driven by strategic acquisitions and international expansion, it also faced challenges in its Equipment Leasing segment and recorded a net loss. The sentiment is balanced by both positive growth initiatives and negative financial metrics.
Q1-2025 Updates
Positive Updates
Revenue and Growth
Total revenue increased 17% to $6.1 million in Q1 2025 compared to $5.2 million in Q1 2024, driven by the acquisition of the Rhode Island radiation therapy operations and launch of operations in Puebla, Mexico.
Expansion and Strategic Initiatives
The acquisition of a 60% majority interest in three Rhode Island radiation therapy treatment centers and the launch of operations in Puebla, Mexico, represent significant growth steps. Additionally, the upcoming opening of a new center in Guadalajara, Mexico, is expected to further drive growth.
International Business Development
The company is expanding its international presence with the only Gamma Knife centers in Peru and Ecuador, and a new center in Puebla, Mexico. A new center in Guadalajara, Mexico is expected to open by the end of the year.
Negative Updates
Decline in Equipment Leasing Segment
Revenue from the Equipment Leasing segment decreased to $3 million from $4.3 million in Q1 2024. Gamma Knife revenue declined 18% to $2.1 million for Q1 2025 compared to $2.6 million in Q1 2024.
Proton Beam Therapy Revenue Decline
Revenue from proton beam radiation therapy decreased 38% to $1.6 million in Q1 2025 compared to $2.7 million in Q1 2024, due to lower volumes.
Loss in Operating Income and Net Income
Operating income was a loss of $1.3 million compared to a loss of $85,000 in Q1 2024. Net loss attributable to the company was $625,000 or $0.10 per diluted share compared to net income of $119,000 or $0.02 per diluted share for Q1 2024.
Company Guidance
In the first quarter of 2025, American Shared Hospital Services (AMS) reported a 17% increase in revenue year-over-year, reaching $6.1 million. This growth was primarily driven by the Direct Patient Services segment, which saw a remarkable 224% increase in revenue to $3.1 million, largely due to the acquisition of Rhode Island radiation therapy operations and the launch of a facility in Puebla, Mexico. Despite a decline in Equipment Leasing revenue to $3 million, the company is optimistic about future growth, especially with the opening of new international centers. Adjusted EBITDA for the quarter was $949,000, down from $1.75 million in the previous year, primarily due to lower treatment volumes. The company remains confident in its long-term growth strategy, supported by a strong balance sheet with $11.5 million in cash and cash equivalents.

American Shared Hospital Services Financial Statement Overview

Summary
The company shows strong revenue growth and a stable balance sheet with low leverage, though challenges remain with negative free cash flow and fluctuating equity. Continued focus on operational efficiency is needed.
Income Statement
76
Positive
American Shared Hospital Services shows a positive revenue growth trajectory, with TTM revenue increasing to $29.2M from $28.3M annually. Gross profit margins remain healthy, though there is a notable decrease to 27.1% TTM from 32.4% annually. Net profit margin is positive at 4.9% TTM, reflecting improved profitability from a challenging past. The company shows volatility in EBIT, with a negative margin at -10.3% TTM, indicating operational challenges. EBITDA remains strong, highlighting potential operational efficiency.
Balance Sheet
68
Positive
The balance sheet indicates a stable financial position with a debt-to-equity ratio of 0.15 TTM, which is relatively low and manageable. However, stockholder equity decreased substantially, leading to an inflated equity ratio calculation. Return on equity for TTM stands at 5.9%, showcasing moderate efficiency in generating profits from shareholders' investments. Overall, the company's leverage appears well-managed, though equity fluctuations could pose risks.
Cash Flow
65
Positive
Operating cash flow to net income ratio is strong at 3.1 TTM, which indicates efficient cash generation relative to net income. However, the free cash flow is negative, highlighting potential challenges in covering capital expenditures. The free cash flow to net income ratio is also negative, indicating that the company needs to improve its cash flow management to support growth and investment activities.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue29.24M28.34M21.32M19.75M17.63M17.84M
Gross Profit7.92M9.19M9.34M8.38M6.73M4.47M
EBITDA7.87M8.91M6.97M8.44M6.97M-1.14M
Net Income1.44M2.19M610.00K1.33M678.00K-7.06M
Balance Sheet
Total Assets63.31M60.20M48.16M43.96M45.43M43.65M
Cash, Cash Equivalents and Short-Term Investments11.24M11.03M13.69M12.45M8.26M3.96M
Total Debt3.67M23.23M15.68M14.31M16.13M14.40M
Total Liabilities34.10M30.17M21.88M22.33M21.19M20.00M
Stockholders Equity24.65M25.18B22.62M21.63M24.24M19.27M
Cash Flow
Free Cash Flow-6.24M-7.77M-555.00K6.85M4.59M9.29M
Operating Cash Flow4.54M167.00K5.72M7.24M6.27M9.74M
Investing Cash Flow-9.94M-7.07M-6.27M-388.00K-1.67M-2.39M
Financing Cash Flow3.85M4.41M1.91M-2.66M-655.00K-4.81M

American Shared Hospital Services Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price2.47
Price Trends
50DMA
2.51
Negative
100DMA
2.66
Negative
200DMA
2.91
Negative
Market Momentum
MACD
<0.01
Negative
RSI
51.12
Neutral
STOCH
26.22
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AMS, the sentiment is Neutral. The current price of 2.47 is above the 20-day moving average (MA) of 2.43, below the 50-day MA of 2.51, and below the 200-day MA of 2.91, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 51.12 is Neutral, neither overbought nor oversold. The STOCH value of 26.22 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for AMS.

American Shared Hospital Services Risk Analysis

American Shared Hospital Services disclosed 20 risk factors in its most recent earnings report. American Shared Hospital Services reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

American Shared Hospital Services Peers Comparison

Overall Rating
UnderperformOutperform
Sector (52)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
AMAMS
64
Neutral
$16.06M11.226.16%35.25%175.21%
52
Neutral
$7.59B0.30-61.86%2.27%16.72%1.10%
49
Neutral
$53.54M-951.52%-0.70%-2.38%
39
Underperform
$21.08M-201.88%
39
Underperform
$21.51M-30.97%-97.79%86.73%
34
Underperform
$16.78M-616.17%71.39%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AMS
American Shared Hospital Services
2.47
-0.78
-24.00%
MODV
ModivCare
3.21
-21.51
-87.01%
GOVX
GeoVax Labs
0.68
-2.13
-75.80%
SCNX
Scienture Holdings
1.59
-17.99
-91.88%
IXHL
Incannex Healthcare Limited Sponsored ADR
0.22
-2.47
-91.82%

American Shared Hospital Services Corporate Events

Executive/Board ChangesBusiness Operations and StrategyFinancial Disclosures
American Shared Hospital Services Appoints New CEO
Positive
Apr 4, 2025

On April 3, 2025, American Shared Hospital Services announced the appointment of Gary Delanois as the new Chief Executive Officer, succeeding Raymond Stachowiak, who will remain as Executive Chairman. The company reported strong financial results for 2024, with a 32.9% increase in revenue driven by strategic expansion and operational strength. The acquisition of radiation therapy centers and new facility openings have been pivotal in this growth. The company is transitioning from a leasing model to a direct provider of radiation therapy services, aiming for sustainable long-term growth through increased patient volumes and operational enhancements.

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.Date of analysis: Jun 10, 2025