American Well (AMWL) AI Stock Analysis

• Market Cap: $77.11M
• Dividend Yield: N/A
• Average Volume (3M): 118.39K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.89
• Revenue Growth: 4.33%
• EPS Growth: 50.50%
• Country: US
• Employees: 877
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Healthcare Information Services
• EPS (TTM): -2.00
• Shares Outstanding: 14,723,951
• 10 Day Avg. Volume: 87,443
• 30 Day Avg. Volume: 118,386
• PEG Ratio: <0.01
• Price to Book (P/B): 0.36
• Price to Sales (P/S): 0.43
• P/FCF Ratio: -0.76
• Enterprise Value/Market Cap: 0.00
• Enterprise Value/Revenue: 0.00
• Enterprise Value/Gross Profit: 0.00
• Enterprise Value/Ebitda: 0.00
• 1Y Price Target: $6.33
• Price Target Upside: 34.39% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 6
• EPS Forecast (FY): -4.85
• Revenue Forecast (FY): $240.43M

• Rating: 55 Neutral
• Price Target: $5.50 ▲(16.77% Upside)

The score is most constrained by weak financial performance (large ongoing losses and negative free cash flow), partially offset by a low-leverage balance sheet and improving profitability metrics highlighted on the latest earnings call. Technical indicators are supportive in the near term but less convincing over longer moving averages, and valuation is limited by negative earnings and no dividend.

Positive Factors

Low Leverage / Balance Sheet Strength

Very low debt and minimal leverage materially reduce financial distress risk and preserve strategic optionality. Over the next 2–6 months this provides runway to execute efficiency initiatives and product investments without immediate refinancing pressure, supporting a sustainable turnaround.

Shift to Recurring Subscription Revenue

A rising mix of subscription revenue increases revenue predictability and margins relative to transaction-driven fees. This structural shift supports steadier cash flows and customer stickiness, improving the business model's durability and aiding margin recovery over the medium term.

Renewed Elevance Health Partnership

Extending operation of the LiveHealth Online platform secures a large enterprise relationship and recurring subscription and services revenue. Multi-year terms with renewal mechanics materially reduce near-term churn risk and underpin predictable enterprise demand for 2–6 months and beyond.

Negative Factors

Negative Operating and Free Cash Flow

Persistent negative operating and free cash flow means the business is not yet self-funding; this requires continued liquidity support or capital markets access. Over the medium term, weak cash generation constrains investments and raises execution risk if revenue recovery stalls.

Declining Revenue and Visit Volumes

Shrinking top-line and a sizable drop in visit volumes signal demand weakness or lower utilization of core services. Without sustained revenue growth or reaccelerating visits, margin improvements may be fragile and profitability targets toward breakeven could be delayed.

Large Ongoing Losses and Negative Margins

Deep negative net margins and continued operating losses indicate the company still consumes shareholder capital despite improvements. Structurally, this limits reinvestment capacity, increases sensitivity to revenue setbacks, and prolongs reliance on non-operating liquidity support.

American Well Business Overview & Revenue Model

Company Description

American Well Corporation operates as a telehealth software company that enables digital delivery of care for healthcare. The company products offer urgent care; scheduled visits; acute behavioral health; telestroke; pediatrics; retail health, school health, and home settings. Its application offers urgent care; pediatrics; therapy; menopause nutrition; end-stage renal disease and dialysis; dermatology care; behavioral health therapy; and musculoskeletal care. The company also provides telemedicine equipment, including telemedicine carts, peripherals, tyto care, TV kits, tablets, and kiosks. American Well Corporation was incorporated in 2006 and is headquartered in Boston, Massachusetts.

How the Company Makes Money

American Well generates revenue through several key streams, primarily by charging health systems, insurers, and employers for access to its telehealth platform. The company typically operates on a subscription model, where clients pay for the use of the platform based on the number of virtual visits or a fixed monthly fee. Additionally, American Well may earn revenue from transaction fees for each telehealth consultation conducted via its platform. Significant partnerships with major health insurers and healthcare systems also contribute to its earnings by expanding its user base and increasing service adoption. The company may also explore other revenue opportunities through data analytics and value-added services, providing insights to healthcare providers based on telehealth usage patterns.

American Well Financial Statement Overview

Summary

American Well faces significant financial challenges, with declining revenues and persistent losses impacting its income statement. The balance sheet is supported by a strong equity base, although asset values are declining. Cash flows remain negative, indicating difficulty in turning operations into positive cash generation. Continued focus on improving operational efficiency and revenue growth is critical for financial stability.

Income Statement

American Well's income statement indicates declining revenues and persistent losses. The TTM shows a decrease in revenue with a total of $194.8 million compared to $254.4 million in the previous annual report. The company continues to operate at a loss with a negative net profit margin of -79.4% for TTM, reflecting significant challenges in achieving profitability.

Balance Sheet

The balance sheet shows a relatively strong equity position, with an equity ratio of 70.1% in the TTM, suggesting a low reliance on debt. However, the company has seen a reduction in total assets and equity over time, which could indicate challenges in asset management and growth.

Cash Flow

The cash flow statement highlights negative free cash flow of -$105 million in the TTM, indicating ongoing operational cash challenges. The operating cash flow to net income ratio is negative, underscoring inefficiencies in cash generation relative to reported losses.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	265.02M	254.36M	259.05M	277.19M	252.79M	245.26M
Gross Profit	105.24M	65.98M	63.27M	90.61M	88.23M	78.32M
EBITDA	-74.97M	-173.34M	-640.80M	-242.96M	-162.20M	-214.79M
Net Income	-113.43M	-208.14M	-675.16M	-270.43M	-176.33M	-224.43M
Balance Sheet
Total Assets	359.43M	435.97M	589.71M	1.22B	1.45B	1.38B
Cash, Cash Equivalents and Short-Term Investments	200.89M	228.32M	372.04M	538.55M	746.42M	1.04B
Total Debt	5.46M	8.20M	11.79M	14.84M	16.61M	7.65M
Total Liabilities	92.06M	119.72M	109.52M	133.71M	184.96M	130.45M
Stockholders Equity	254.91M	304.77M	464.22M	1.06B	1.24B	1.22B
Cash Flow
Free Cash Flow	-64.46M	-142.56M	-163.59M	-202.77M	-142.10M	-115.78M
Operating Cash Flow	-62.03M	-127.34M	-148.34M	-192.32M	-141.54M	-112.46M
Investing Cash Flow	15.26M	-18.65M	-19.17M	-11.63M	-59.63M	-66.76M
Financing Cash Flow	839.00K	1.38M	2.15M	-3.61M	5.75M	983.12M

American Well Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 4.71
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AMWL, the sentiment is Negative. The current price of 4.71 is below the 20-day moving average (MA) of 4.83, above the 50-day MA of 4.42, and below the 200-day MA of 6.35, indicating a neutral trend. The MACD of 0.09 indicates Positive momentum. The RSI at 48.22 is Neutral, neither overbought nor oversold. The STOCH value of 13.75 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AMWL.

American Well Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
OPRX	61 Neutral	$226.48M	-4,673.08	0.03%	―	24.19%	―
AMWL	55 Neutral	$77.11M	-0.65	-38.35%	―	4.33%	50.50%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
HCAT	50 Neutral	$163.39M	-1.46	-31.33%	―	4.64%	-17.17%
DH	49 Neutral	$338.55M	-1.42	-47.69%	―	-5.30%	46.01%
EVH	48 Neutral	$420.74M	-2.40	-13.63%	―	-16.65%	-71.92%
TDOC	47 Neutral	$1.11B	-4.91	-15.42%	―	-2.37%	77.85%

American Well Corporate Events

American Well Extends Elevance Health Digital Care Partnership

On January 5, 2026, American Well Corporation announced it had entered into an Amended and Restated Statement of Work with Elevance Health, effective January 1, 2026, replacing their prior 2023 agreement and extending American Well’s operation of the LiveHealth Online-branded, white-labelled digital care delivery platform for Elevance Health. The renewed three-year arrangement, running through January 1, 2029 with automatic one-year renewals, establishes ongoing annual subscription payments and opportunities for American Well to provide additional professional, development, innovation and engagement marketing services, while outlining detailed termination rights that underscore both parties’ focus on contractual flexibility, operational continuity and risk management in their long-term digital health partnership.

The most recent analyst rating on (AMWL) stock is a Hold with a $6.00 price target. To see the full list of analyst forecasts on American Well stock, see the AMWL Stock Forecast page.

American Well Extends Elevance Health Digital Care Partnership

On December 24–25, 2025, American Well Corporation and Elevance Health amended and extended their existing Master Services Agreement and related Statement of Work, with the updated Healthy Impact service offerings and renewed Statement of Work becoming effective January 1, 2026. The agreements, under which American Well operates the LiveHealth Online digital care platform for Elevance Health in exchange for annual subscription fees and potential professional services revenue, were extended for a three-year term from January 1, 2026 through January 1, 2029, with automatic one-year renewals thereafter unless terminated under specified conditions, including material breach, bankruptcy, change-of-control triggers, and, for Elevance Health, a convenience termination right with one year’s notice. On December 24, 2025, Online Care Group, PC, American Well’s clinical partner, also entered amendments to its provider agreements with Elevance Health-related entities, ensuring continued prioritized access to a nationwide network of clinicians who deliver digital consultations via LiveHealth Online through at least January 1, 2029, with similar automatic renewals and termination provisions, thereby reinforcing the long-term stability and scope of the digital care services offered to Elevance Health members.

The most recent analyst rating on (AMWL) stock is a Hold with a $6.00 price target. To see the full list of analyst forecasts on American Well stock, see the AMWL Stock Forecast page.