Aveanna Healthcare Holdings (AVAH) AI Stock Analysis

• Market Cap: $1.50B
• Dividend Yield: N/A
• Average Volume (3M): 1.12M
• Price to Earnings (P/E): 94.1
• Beta (1Y): 1.57
• Revenue Growth: 11.53%
• EPS Growth: N/A
• Country: US
• Employees: 33,500
• Sector: Healthcare
• Sector Strength: 41
• Industry: Medical - Care Facilities
• EPS (TTM): 0.18
• Shares Outstanding: 208,896,380
• 10 Day Avg. Volume: 2,600,104
• 30 Day Avg. Volume: 1,115,155
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.63
• Enterprise Value/Revenue: 1.17
• Enterprise Value/Gross Profit: 3.65
• Enterprise Value/Ebitda: 12.59
• 1Y Price Target: $6.89
• Price Target Upside: -2.68% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 7

• Rating: 47 Neutral
• Price Target: $6.50 ▼(-8.19% Downside)

Aveanna Healthcare Holdings' overall stock score is primarily impacted by its financial instability due to negative equity and high leverage. While there is positive momentum in technical analysis and earnings call sentiment, the high P/E ratio and lack of dividend yield suggest caution. Corporate events provide some positive reinforcement, but financial risks remain significant.

Positive Factors

Financial Performance

AVAH reported $45.6m of EBITDA on $505m of revenue, which beat consensus estimates by 22.8% and 2.3%, respectively.

Growth Outlook

Aveanna Healthcare is experiencing above-average volume growth in its core PDS segment, enhancing its long-term growth outlook.

Operational Momentum

Improved state reimbursement and Preferred Payer strategy are driving operational momentum for Aveanna Healthcare Holdings.

Negative Factors

Debt Management

Net leverage is ~1.5x lower than it was just one year ago.

Profitability Challenges

2Q24 marks the first quarter since 2Q22 that EBITDA exceeded interest expense.

Aveanna Healthcare Holdings Business Overview & Revenue Model

Company Description

Aveanna Healthcare Holdings Inc., a diversified home care platform company, provides private duty nursing (PDN), adult home health and hospice, home-based pediatric therapy, and enteral nutrition services in the United States. Its patient- centered care delivery platform allows patients to remain in their homes and minimizes the overutilization of high-cost care settings, such as hospitals. The company operates through three segments: Private Duty Services (PDS), Home Health & Hospice (HHH), and Medical Solutions (MS). The PDS segment offers PDN services, which include in-home skilled nursing services to medically fragile children; nursing services in school settings in which its caregivers accompany patients to school; services to patients in its pediatric day healthcare centers; and employer of record support and personal care services, as well as in-clinic and home-based pediatric therapy services, such as physical, occupational, and speech services. The HHH segment provides home health services, including in-home skilled nursing services; physical, occupational, and speech therapy services; and medical social and aide services, as well as hospice services for patients and their families when a life-limiting illness no longer responds to cure-oriented treatments. The MS segment offers enteral nutrition supplies and other products to adults and children delivered on a periodic or as-needed basis. The company was incorporated in 2016 and is headquartered in Atlanta, Georgia.

How the Company Makes Money

Aveanna Healthcare Holdings generates revenue through a diversified model that includes several key streams. The primary source of income comes from providing home health services, which involve skilled nursing and therapy services delivered in a patient's home. Additionally, the company earns from its private duty services, which include non-medical personal care and support for daily living activities, as well as medically intensive care for patients with chronic conditions. Hospice care also contributes to their revenue, offering end-of-life care and support. Aveanna collaborates with various healthcare payers including Medicare, Medicaid, and private insurers, which reimburse the company for services rendered based on specific agreements and care plans. These partnerships and reimbursements are crucial to the company's financial performance.

Aveanna Healthcare Holdings Financial Statement Overview

Summary

Aveanna Healthcare Holdings shows moderate revenue growth and improving cash flow metrics, but the financial health is undermined by negative equity and high leverage. The company's stability is at risk due to significant debt and negative equity.

Income Statement

The income statement shows moderate revenue growth over recent years, with a notable increase from $1.89 billion in 2023 to $2.09 billion TTM (Trailing-Twelve-Months). Gross profit margins are stable, rising slightly from 31.4% in 2024 to 32% in TTM. However, the net profit margin is low at 0.73% TTM due to significant interest and operating expenses, though it has improved from negative in previous years. EBIT and EBITDA margins are relatively weak at 8.16% and 5.68% TTM, respectively, indicating room for operational efficiency improvements.

Balance Sheet

The balance sheet is concerning, showing negative stockholders' equity of -$98.7 million TTM, indicating financial instability. The debt-to-equity ratio is not calculable due to negative equity, but the high total debt of $1.32 billion suggests leverage risks. Return on Equity (ROE) is also unmeasurable due to negative equity, but the consistent negative equity ratio highlights the potential risk of insolvency.

Cash Flow

Cash flow analysis reveals improvements in free cash flow, which increased from $16.56 million in 2023 to $28.62 million TTM, reflecting a positive trend. The operating cash flow to net income ratio is robust at 2.35 TTM, indicating good cash conversion despite low net income. The free cash flow to net income ratio is high at 1.87, suggesting efficient cash generation relative to profit levels. However, fluctuations in operating cash flows in previous years indicate potential volatility.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.09B	2.02B	1.90B	1.79B	1.68B	1.50B
Gross Profit	670.41M	635.54M	595.43M	553.23M	542.40M	454.51M
EBITDA	194.34M	187.38M	44.35M	-517.28M	-9.26M	22.13M
Net Income	5.44M	-10.93M	-134.52M	-662.03M	-117.04M	-57.05M
Balance Sheet
Total Assets	1.66B	1.66B	1.61B	1.71B	2.33B	1.84B
Cash, Cash Equivalents and Short-Term Investments	71.49M	84.29M	43.94M	19.22M	30.49M	137.34M
Total Debt	1.32B	1.33B	1.50B	1.36B	1.30B	1.23B
Total Liabilities	1.76B	1.79B	1.74B	1.72B	1.70B	1.58B
Stockholders Equity	-98.67M	-122.09M	-127.44M	-4.17M	637.95M	267.17M
Cash Flow
Free Cash Flow	28.62M	26.32M	16.56M	-60.41M	-27.30M	101.38M
Operating Cash Flow	35.98M	32.64M	22.67M	-48.40M	-11.35M	116.62M
Investing Cash Flow	-7.36M	-6.32M	-8.79M	-25.29M	-681.83M	-193.54M
Financing Cash Flow	269.00K	14.03M	10.85M	62.42M	586.33M	210.94M

Aveanna Healthcare Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 7.08
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AVAH, the sentiment is Positive. The current price of 7.08 is above the 20-day moving average (MA) of 4.93, above the 50-day MA of 4.80, and above the 200-day MA of 4.93, indicating a bullish trend. The MACD of 0.72 indicates Negative momentum. The RSI at 80.24 is Negative, neither overbought nor oversold. The STOCH value of 87.84 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AVAH.

Aveanna Healthcare Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
USPH	71 Outperform	$1.31B	37.61	7.02%	2.08%	16.24%	116.58%
PNTG	71 Outperform	$853.68M	31.59	11.44%	―	30.58%	24.86%
HCSG	65 Neutral	$1.09B	106.15	2.28%	―	5.17%	-65.33%
Sector *	51 Neutral	$7.46B	-0.16	-46.00%	2.25%	22.82%	-2.28%
AMN	48 Neutral	$715.51M	18.62	-40.13%	―	-14.33%	-398.68%
AVAH	47 Neutral	$1.50B	94.15	42.49%	―	11.53%	―
BKD	44 Neutral	$1.74B	―	-108.91%	―	3.99%	-14.74%

Aveanna Healthcare Holdings Corporate Events

Aveanna Healthcare Highlights Strong Financial Performance

On August 8, 2025, Aveanna Healthcare Holdings Inc. released a financial presentation to investors, highlighting key operating statistics and financial metrics. The presentation reported over $2.3 billion in revenue, a gross margin of 34.3%, and an adjusted EBITDA exceeding $270 million. The company operates 366 locations with 29,000 caregivers, delivering 43.9 million homecare hours annually. This announcement underscores Aveanna’s robust operational scale and financial performance, reinforcing its position as a major player in the home healthcare sector.

The most recent analyst rating on (AVAH) stock is a Hold with a $6.50 price target. To see the full list of analyst forecasts on Aveanna Healthcare Holdings stock, see the AVAH Stock Forecast page.

Aveanna Healthcare Reports Strong Q2 2025 Financial Growth

Aveanna Healthcare Holdings announced its second-quarter financial results for 2025, showing significant growth in revenue and adjusted EBITDA compared to the previous year. The company reported a 16.8% increase in revenue to $589.6 million and a 93.6% increase in adjusted EBITDA to $88.4 million. The acquisition of Thrive Skilled Pediatric Care has expanded Aveanna’s pediatric services, contributing to its strategic transformation and market expansion. The company has raised its full-year 2025 revenue guidance to over $2.3 billion and adjusted EBITDA to over $270 million, reflecting strong operational performance and growth momentum.

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

Aveanna Healthcare Expands Receivables Financing Agreement

On June 25, 2025, Aveanna Healthcare Holdings Inc.’s subsidiaries, Aveanna Healthcare LLC and Aveanna SPV I, LLC, entered into a seventh amendment to their Receivables Financing Agreement with a bank. This amendment increased the facility limit to $275 million and extended the termination date by three years, impacting the company’s financial flexibility and operational strategy.

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