American Well (AMWL) AI Stock Analysis

• Market Cap: $81.57M
• Dividend Yield: N/A
• Average Volume (3M): 92.39K
• Price to Earnings (P/E): ―
• Beta (1Y): 2.22
• 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: 14,504,796
• 10 Day Avg. Volume: 92,069
• 30 Day Avg. Volume: 92,385
• 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: $8.83
• Price Target Upside: 57.40% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 5
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 45 Neutral
• Price Target: $4.00 ▼(-28.70% Downside)

American Well's overall stock score is primarily impacted by its financial performance and technical analysis. The company faces significant financial challenges with declining revenues and persistent losses. Technical indicators suggest bearish momentum, with the stock trading below key moving averages and showing oversold conditions. Valuation metrics are also unfavorable, with a negative P/E ratio and no dividend yield. While the earnings call highlighted some positive developments, such as subscription revenue growth and cost reductions, these are not enough to offset the broader financial and technical challenges.

Positive Factors

Subscription Revenue Growth

The increase in subscription revenue indicates a strengthening core business model, enhancing recurring revenue streams and long-term stability.

Improved Gross Margin

Improved gross margins reflect better cost management and a favorable revenue mix, contributing to potential profitability improvements.

Strong Cash Position

A strong cash position with no debt provides financial flexibility and resilience, supporting future growth initiatives and operational stability.

Negative Factors

Decline in Total Revenue

A decline in total revenue indicates challenges in maintaining market share and could impact long-term growth prospects if not addressed.

Decrease in Total Visit Volume

Reduced visit volumes suggest declining user engagement, which could hinder revenue growth and market penetration efforts.

Negative Cash Flow

Persistent negative cash flow indicates operational inefficiencies and may limit the company's ability to invest in growth opportunities.

American Well Business Overview & Revenue Model

Company Description

American Well (AMWL) is a telehealth technology company that provides a platform connecting patients with healthcare professionals through video calls and other digital communication methods. The company operates primarily in the healthcare sector, offering services such as virtual visits, remote patient monitoring, and integrated telehealth solutions for health systems and insurers. American Well aims to enhance access to healthcare while improving the patient experience through innovative technology and partnerships.

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: 5.61
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• 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 5.61 is above the 20-day moving average (MA) of 5.30, below the 50-day MA of 5.99, and below the 200-day MA of 7.60, indicating a bearish trend. The MACD of -0.45 indicates Positive momentum. The RSI at 21.71 is Positive, neither overbought nor oversold. The STOCH value of 5.20 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	58 Neutral	$351.62M	―	0.03%	―	24.19%	―
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
EVH	49 Neutral	$746.18M	―	-13.63%	―	-16.65%	-71.92%
TDOC	48 Neutral	$1.35B	―	-15.42%	―	-2.37%	77.85%
HCAT	48 Neutral	$214.64M	―	-28.42%	―	5.55%	-0.99%
DH	48 Neutral	$396.10M	-1.05	-64.27%	―	-5.24%	23.59%
AMWL	45 Neutral	$81.57M	―	-38.35%	―	4.33%	50.50%

American Well Corporate Events

Amwell’s Earnings Call: Mixed Results and Strategic Focus

The recent earnings call for American Well Corporation (Amwell) presented a mixed sentiment, highlighting both achievements and challenges. While the company celebrated significant strides in subscription revenue growth, cost reduction, and improved margins, these were tempered by declines in total revenue and visit volumes. The management emphasized their strategic focus on AI integration and divestitures to bolster future performance.

Amwell Reports Strong Q3 2025 Financial Performance

American Well Corporation, commonly known as Amwell, is a prominent provider of a comprehensive SaaS-based technology-enabled healthcare platform, specializing in telehealth services that integrate AI-driven automation with certified care providers to enhance clinical and financial outcomes.

American Well’s Earnings Call: Strategic Wins and Challenges

American Well Corporation’s recent earnings call presented a balanced sentiment, highlighting both strategic wins and challenges. The company reported significant improvements in software revenue and EBITDA, but also faced hurdles such as the exclusion of certain programs from the Military Health System contract extension and a decline in visit metrics, leading to revised revenue guidance. Despite these challenges, cost reduction initiatives and strategic wins suggest a cautiously optimistic outlook.