Concentra Group Holdings Parent, Inc. (CON) AI Stock Analysis

• Market Cap: $2.91B
• Dividend Yield: 1.27%
• Average Volume (3M): 953.02K
• Price to Earnings (P/E): 14.4
• Beta (1Y): 0.51
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: US
• Employees: 8,758
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Equipment & Services
• EPS (TTM): 0.28
• Shares Outstanding: 128,634,750
• 10 Day Avg. Volume: 711,273
• 30 Day Avg. Volume: 953,016
• PEG Ratio: 2.08
• Price to Book (P/B): 6.34
• Price to Sales (P/S): 1.15
• P/FCF Ratio: 12.65
• Enterprise Value/Market Cap: 1.70
• Enterprise Value/Revenue: 2.28
• Enterprise Value/Gross Profit: 8.05
• Enterprise Value/Ebitda: 12.06
• 1Y Price Target: $28.60
• Price Target Upside: 26.44% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5
• EPS Forecast (FY): 1.45
• Revenue Forecast (FY): $2.31B

• Rating: 66 Neutral
• Price Target: $26.00 ▲(14.94% Upside)
• Action: Downgraded Date: 02/27/26
• Date: Action: Downgraded 02/27/26

The score is driven by solid operating momentum (trend strength and positive earnings/guidance) and good cash-generation trends. The main constraint is balance-sheet risk from historically volatile/elevated leverage and questions around the comparability of profitability across periods, with valuation remaining fair rather than clearly cheap.

Positive Factors

Sustained Revenue Growth

Multi-year top-line growth and a re-acceleration in 2025 demonstrate durable demand for Concentra's occupational health services. Recurring employer contracts, fee-for-service pricing and expanding visit volumes underpin predictable revenue streams and support network scale over the next several quarters.

Improving Cash Generation

Consistent positive operating cash flow and a marked FCF improvement in 2025 enhance financial resilience. Reliable cash generation funds capex, M&A, shareholder distributions and deleveraging without reliance on volatile external financing, supporting durable operational execution over 2–6 months.

Scale and M&A Integration Capability

Demonstrated ability to integrate acquisitions and capture synergies at scale strengthens Concentra's roll-up strategy. Repeatable M&A execution plus expanding center and onsite clinic footprint lowers cost per claim, deepens employer relationships and reinforces lasting competitive advantages in occupational health.

Negative Factors

Volatile/Elevated Leverage

Sharp year-to-year swings in debt levels and historically elevated leverage increase refinancing and interest-rate sensitivity. Even with 2025's reduction, inconsistent capital structure undermines predictability and limits financial flexibility, posing continued balance-sheet risk over the medium term.

Margin Comparability Concerns

Atypical margin expansion in 2025 raises the possibility that recent profitability gains reflect transient items (acquisition timing, one-off synergies or accounting effects). This reduces confidence in sustainable margin levels and complicates medium-term operating-margin forecasting and planning.

Rising Costs and Cash Flow Pressure

Higher G&A, increased cash interest and integration capital spending reduced operating and free cash flow in recent periods. Persistent elevated interest and integration capex can constrain FCF availability for reinvestment, dividends or faster deleveraging, pressuring liquidity and strategic optionality over coming quarters.

Concentra Group Holdings Parent, Inc. Business Overview & Revenue Model

Company Description

Concentra Group Holdings Parent, Inc. provides occupational health services in the United States. The company offers occupational and consumer health services, including workers' compensation injury care, urgent care, clinical testing, preventative care, and employer services, as well as wellness programs through occupational health centers and onsite clinics. It also provides Concentra Telemed, a telemedicine solution for the treatment of work-related injuries and illnesses, and employer services; pharmacy solution under the Concentra Pharmacy name; and Concentra Medical Compliance Administration, a third-party administrator that helps to manage abuse testing programs for employers with regulated or non-regulated workforces. The company was founded in 1979 and is based in Mechanicsburg, Pennsylvania. Concentra Group Holdings Parent, Inc. operates as a subsidiary of Select Medical Corporation.

How the Company Makes Money

Concentra Group Holdings Parent, Inc. generates revenue through several key streams, primarily by owning and operating subsidiary companies in its diversified portfolio. These subsidiaries contribute to the company's earnings by providing products and services in their respective markets, such as technology solutions, real estate investments, and financial services. The revenue model includes direct sales from products, service contracts, and leasing income from real estate holdings. Additionally, strategic partnerships with other firms in complementary sectors help expand market reach and generate additional income through collaborative projects and joint ventures. The company's ability to leverage its resources and expertise across its sectors enhances profitability and positions it for long-term growth.

Concentra Group Holdings Parent, Inc. Financial Statement Overview

Summary

Steady revenue growth and strong free-cash-flow improvement support the score, but elevated/volatile leverage and unusually strong 2025 operating profitability vs. prior years raise sustainability and earnings-quality concerns.

Income Statement

Revenue has grown steadily from 2022 to 2025 (about $1.72B to $2.16B), with growth re-accelerating in 2025. Profitability is generally solid: gross margin improved versus 2022, and net margin has stayed in a high-single-digit range. A key weakness is volatility/inconsistency in operating profitability: 2025 shows unusually high reported operating and EBITDA margins versus prior years, which reduces confidence in the quality and comparability of earnings across periods.

Balance Sheet

Leverage and capital structure are the main concerns. Debt-to-equity has been volatile and elevated (peaking in 2024), indicating balance-sheet risk and potentially higher sensitivity to refinancing or earnings pressure. While 2025 shows a materially lower debt load than 2024 and a healthier leverage profile, equity remains relatively modest versus assets, and the sharp year-to-year swings in leverage suggest less stability than typical for the industry.

Cash Flow

Cash generation is a relative strength. Operating cash flow has been consistently positive, and free cash flow improved meaningfully in 2025 with strong growth versus 2024. Cash conversion is generally reasonable, with free cash flow covering a large portion of reported earnings (and reaching full coverage in 2025). A limitation is that operating cash flow has not consistently exceeded reported earnings, indicating periods where accounting profits outpace underlying cash generation.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022
Income Statement
Total Revenue	2.16B	1.90B	1.84B	1.72B
Gross Profit	613.09M	527.98M	512.43M	408.19M
EBITDA	408.88M	368.26M	360.15M	330.20M
Net Income	172.80M	166.54M	179.95M	166.73M
Balance Sheet
Total Assets	3.04B	2.52B	2.49B	2.30B
Cash, Cash Equivalents and Short-Term Investments	79.90M	183.25M	31.37M	37.66M
Total Debt	2.10B	1.95B	905.00M	1.04B
Total Liabilities	2.62B	2.22B	1.31B	1.30B
Stockholders Equity	393.28M	275.67M	1.16B	973.32M
Cash Flow
Free Cash Flow	197.06M	210.35M	164.98M	228.35M
Operating Cash Flow	279.40M	274.68M	234.32M	274.34M
Investing Cash Flow	-414.86M	-71.27M	-75.31M	-57.75M
Financing Cash Flow	32.10M	-51.53M	-165.29M	-209.86M

Concentra Group Holdings Parent, Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 22.62
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CON, the sentiment is Positive. The current price of 22.62 is below the 20-day moving average (MA) of 23.19, above the 50-day MA of 22.21, and above the 200-day MA of 21.04, indicating a neutral trend. The MACD of -0.05 indicates Positive momentum. The RSI at 43.82 is Neutral, neither overbought nor oversold. The STOCH value of 13.20 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CON.

Concentra Group Holdings Parent, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FLOC	74 Outperform	$2.05B	12.21	43.60%	1.32%	―	―
LH	70 Outperform	$21.99B	23.81	10.28%	1.14%	8.28%	97.24%
CON	66 Neutral	$2.91B	14.42	46.60%	1.27%	―	―
NVST	61 Neutral	$4.10B	77.60	1.52%	―	4.73%	―
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
BBNX	47 Neutral	$482.43M	-22.93	-24.45%	―	67.01%	-39.19%
SPAI	39 Underperform	$105.29M	-5.98	-280.16%	―	―	―

Concentra Group Holdings Parent, Inc. Corporate Events

Concentra Posts Strong Q4 Results and Declares Dividend

Concentra Group Holdings Parent, Inc. reported strong fourth-quarter and full-year 2025 results on February 26, 2026, with Q4 revenue up 15.9% to $539.1 million and net income up 58.7% to $36.2 million, driven by higher patient volume, increased revenue per visit, and continued expansion of its clinic network, including the integration of Nova Medical Centers. For 2025, revenue rose 13.9% to $2.16 billion and adjusted EBITDA grew 14.6% to $431.9 million, while the company reduced leverage, ended the year with no balance on its revolving credit facility, generated $197.8 million in free cash flow, expanded to 628 centers and 411 onsite clinics, and declared a cash dividend of $0.0625 per share payable in March 2026, signaling confidence as it guides to further revenue and earnings growth in 2026.

The most recent analyst rating on (CON) stock is a Buy with a $31.00 price target. To see the full list of analyst forecasts on Concentra Group Holdings Parent, Inc. stock, see the CON Stock Forecast page.

Concentra Posts Strong Q4 Results and Raises 2026 Outlook

On January 28, 2026, Concentra announced preliminary unaudited financial results for the fourth quarter and full year ended December 31, 2025, showing that it exceeded its prior full-year guidance and extended its lead in the U.S. occupational health market. Fourth-quarter 2025 revenue rose 15.9% year over year to $539.1 million, net income climbed 58.7% to $36.2 million, and adjusted EBITDA increased 22.9% to $95.3 million, driven by a 9% rise in daily patient visits, higher revenue per visit, significant expansion to 628 occupational health centers and 411 onsite clinics, and continued share repurchases. For full-year 2025, Concentra expects revenue of $2.16 billion, up 13.9% from 2024, adjusted EBITDA of $431.9 million, higher revenue per visit, free cash flow of $197.8 million, and a net leverage ratio of about 3.4x, underpinned by increased capital expenditures to support rapid network growth. The company also issued 2026 guidance calling for further gains, with revenue projected between $2.25 billion and $2.35 billion, adjusted EBITDA of $450 million to $470 million, free cash flow of $200 million to $225 million, and lower leverage of 3.0x or below, and scheduled the release of full 2025 results for February 26, 2026, followed by an earnings call on February 27, 2026; alongside the numbers, Concentra published its first Investor Book to deepen market understanding of its business model and growth strategy, signaling confidence in sustained expansion and an effort to reinforce its positioning with investors and other stakeholders.

The most recent analyst rating on (CON) stock is a Hold with a $22.00 price target. To see the full list of analyst forecasts on Concentra Group Holdings Parent, Inc. stock, see the CON Stock Forecast page.

Concentra Showcases Growth and Scale at Healthcare Conference

In an investor presentation prepared for the J.P. Morgan Healthcare Conference in January 2026, Concentra highlighted its position as the dominant U.S. occupational health provider, treating about one in four workplace injuries and operating more than 1,000 locations with multiple delivery channels. As of the twelve months ended September 30, 2025, the company reported $2.1 billion in revenue, a 19.8% adjusted EBITDA margin and $176 million in free cash flow, underpinned by largely inflation‑tracking fee‑for‑service pricing, minimal exposure to government reimbursement risk and long‑tenured direct relationships with major employers. Management emphasized the use of non‑GAAP metrics such as Adjusted EBITDA, Adjusted Net Income, ROIC and Free Cash Flow to evaluate segment performance and allocate resources, framing Concentra’s scale, diversified customer base and lower cost per claim as key competitive advantages for investors and employer stakeholders.

The most recent analyst rating on (CON) stock is a Buy with a $30.00 price target. To see the full list of analyst forecasts on Concentra Group Holdings Parent, Inc. stock, see the CON Stock Forecast page.