P3 Health Partners (PIII) AI Stock Analysis

• Market Cap: $13.91M
• Dividend Yield: N/A
• Average Volume (3M): 7.40K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.62
• Revenue Growth: -2.15%
• EPS Growth: -6.72%
• Country: US
• Employees: 360
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Care Facilities
• EPS (TTM): -9.67
• Shares Outstanding: 3,286,465
• 10 Day Avg. Volume: 4,406
• 30 Day Avg. Volume: 7,400
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.43
• Price to Sales (P/S): 0.02
• P/FCF Ratio: -0.30
• Enterprise Value/Market Cap: 1.37
• Enterprise Value/Revenue: 0.01
• Enterprise Value/Gross Profit: 0.03
• Enterprise Value/Ebitda: -0.13
• 1Y Price Target: $10.25
• Price Target Upside: 192.86% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 43 Neutral
• Price Target: $2.00 ▼(-42.86% Downside)

The score is held down primarily by weak financial performance (persistent losses, negative cash flow, and negative equity) and bearish technicals (price below key moving averages with negative MACD). Offsetting factors include encouraging operational progress and a stated profitability trajectory from the latest earnings call, but guidance remains significantly negative, keeping the overall score in the low range.

Positive Factors

Deleveraging

A meaningful reduction in total debt materially eases near-term financing pressure and interest burden. Lower leverage improves runway for operational fixes, increases optionality for strategic deals or JV funding, and reduces refinancing risk while the company pursues sustainable profitability.

Operational Improvement Program

Documented $100M YoY EBITDA improvement, alongside a 33% cut in operating expenses and material PMPM medical margin gains, shows scalable cost and care reforms. These structural efficiency gains support lasting margin expansion if maintained across provider networks and growing member volumes.

Strategic JV / MSO Growth

Formation of an MSO and a JV that adds accretive ACO members plus a 25k MA lives pipeline builds durable revenue bases and operational scale. Management fees, shared-savings upside, and tighter provider alignment from the MSO model increase predictability and potential cash generation over time.

Negative Factors

Negative Cash Flow

Persistent negative operating and free cash flow (~-$123M TTM) means the company cannot self-fund operations or growth. Ongoing cash burn forces reliance on external financing or asset actions, constraining investment in provider networks and clinical programs needed to reach sustainable margins.

Negative Equity

Negative stockholders' equity erodes the balance-sheet cushion and limits financial flexibility. It can hinder contract negotiations, raise counterparty concerns, and complicate capital raises or covenant compliance, making it harder to support scaling initiatives while losses persist.

Nasdaq Compliance Risk

A Nasdaq non-compliance notice tied to minimum equity is a concrete regulatory and listing risk. Potential delisting or remediation demands can divert management, restrict access to public capital, and harm stakeholder confidence, exacerbating funding and partnership challenges during a critical turnaround.

P3 Health Partners Business Overview & Revenue Model

Company Description

P3 Health Partners Inc., a patient-centered and physician-led population health management company, provides superior care services in the United States. It operates clinics and wellness centers. The company is based in Henderson, Nevada.

How the Company Makes Money

P3 Health Partners generates revenue primarily through capitation payments and performance-based incentives from Medicare Advantage plans and other payers. Under the capitation model, PIII receives a fixed amount per enrolled member to provide a range of healthcare services, allowing the company to manage costs effectively while focusing on preventive care and patient management. Additionally, P3 may earn bonuses for meeting specific quality metrics and improving patient outcomes, which further contributes to its revenue streams. Strategic partnerships with healthcare providers and payers enhance its service offerings and market reach, playing a significant role in its financial success.

P3 Health Partners Financial Statement Overview

Summary

Overall fundamentals are weak: the company is consistently loss-making with deeply negative TTM margins, negative operating and free cash flow (about -$123M), and stockholders’ equity has turned negative despite lower TTM debt. Revenue growth over 2020–2024 is a positive, but TTM revenue is down versus the prior annual period, keeping the financial risk elevated.

Income Statement

Revenue expanded strongly from 2020–2024, but TTM (Trailing-Twelve-Months) revenue declined versus the prior annual period (down to ~$1.44B from ~$1.50B). Profitability remains weak: the company is consistently loss-making, with negative operating profit and negative net income in every period provided. While losses improved materially versus the extreme 2022 downturn, margins are still deeply negative in TTM, indicating the business has not yet reached sustainable scale or cost structure.

Balance Sheet

Leverage improved meaningfully versus prior years as total debt fell in TTM (to ~$51M from ~$166M in 2024), which reduces financial pressure. However, the capital structure remains a key risk: stockholders’ equity turned negative in TTM (about -$18.7M), reversing the positive equity position in 2023–2024 and limiting balance-sheet flexibility. Total assets also stepped down from 2023–2024 levels, suggesting less balance-sheet cushion as the company works through ongoing losses.

Cash Flow

Cash generation is a major weakness: operating cash flow is negative across all periods, including TTM (about -$123M), and free cash flow is also negative (about -$123M). Free cash flow also deteriorated versus the prior annual period, and the company is not self-funding operations—implying continued reliance on financing or balance-sheet actions to support the business until profitability and working-capital dynamics improve.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.44B	1.50B	1.27B	1.05B	637.36M	491.06M
Gross Profit	696.16M	1.50B	1.27B	1.05B	-30.70M	491.06M
EBITDA	-147.95M	-197.76M	-81.07M	-1.46B	-184.61M	-28.08M
Net Income	-131.05M	-135.85M	-57.77M	-270.13M	-156.48M	-31.41M
Balance Sheet
Total Assets	683.56M	783.42M	860.97M	876.74M	2.36B	106.44M
Cash, Cash Equivalents and Short-Term Investments	37.71M	38.82M	36.32M	18.46M	140.48M	36.26M
Total Debt	50.66M	166.16M	124.64M	107.54M	92.02M	51.29M
Total Liabilities	664.64M	633.89M	427.31M	354.08M	299.94M	236.65M
Stockholders Equity	-18.69M	75.94M	142.13M	5.85M	273.55M	-130.22M
Cash Flow
Free Cash Flow	-122.87M	-110.13M	-77.86M	-128.25M	-69.88M	-27.52M
Operating Cash Flow	-122.75M	-110.13M	-76.03M	-126.02M	-66.47M	-24.60M
Investing Cash Flow	-544.00K	14.53M	-1.83M	-7.73M	-56.07M	-3.17M
Financing Cash Flow	93.66M	98.77M	100.33M	11.38M	223.47M	34.76M

P3 Health Partners Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3.50
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PIII, the sentiment is Negative. The current price of 3.5 is above the 20-day moving average (MA) of 2.66, below the 50-day MA of 3.85, and below the 200-day MA of 6.76, indicating a bearish trend. The MACD of -0.60 indicates Positive momentum. The RSI at 30.39 is Neutral, neither overbought nor oversold. The STOCH value of 20.97 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for PIII.

P3 Health Partners Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PNTG	69 Neutral	$1.00B	38.23	10.87%	―	29.89%	10.33%
INNV	58 Neutral	$1.06B	167.31	2.56%	―	12.48%	-9.28%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
DCGO	47 Neutral	$66.99M	-1.31	-17.32%	―	-47.03%	-274.41%
TOI	46 Neutral	$254.81M	-4.03	-3407.86%	―	21.67%	16.74%
AGL	46 Neutral	$285.77M	-0.88	-73.31%	―	5.21%	5.21%
PIII	43 Neutral	$13.91M	-0.04	-257.39%	―	-2.15%	-6.72%

P3 Health Partners Corporate Events

P3 Health Partners Faces Nasdaq Compliance Challenge

On November 21, 2025, P3 Health Partners Inc. received a notification from Nasdaq indicating non-compliance with the requirement to maintain a minimum of $2.5 million in stockholders’ equity. The company has 45 days to submit a compliance plan, and if accepted, could receive an extension to meet the requirements. The company is actively working to address this issue and remains committed to its long-term growth and profitability goals.

The most recent analyst rating on (PIII) stock is a Sell with a $5.50 price target. To see the full list of analyst forecasts on P3 Health Partners stock, see the PIII Stock Forecast page.

P3 Health Partners Forms New MSO with Commonwealth

On November 11, 2025, P3 Health Partners REACH ACO, LLC entered into an agreement with Commonwealth Primary Care ACO, LLC to form P3 Commonwealth Innovation MSO, LLC. This new entity will manage and coordinate activities for ACOs, focusing on shared services, financial management, and clinical integration. The MSO will receive management fees and a portion of net shared savings from the ACOs, with P3 ACO holding an 80% membership interest. The formation of this MSO is expected to enhance the operational efficiency and quality of care provided by the involved ACOs.

The most recent analyst rating on (PIII) stock is a Sell with a $6.50 price target. To see the full list of analyst forecasts on P3 Health Partners stock, see the PIII Stock Forecast page.