P3 Health Partners (PIII) AI Stock Analysis

• Market Cap: $37.38M
• Dividend Yield: N/A
• Average Volume (3M): 7.40K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.60
• 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: 5.80
• Enterprise Value/Revenue: 0.15
• Enterprise Value/Gross Profit: 0.31
• Enterprise Value/Ebitda: -1.46
• 1Y Price Target: $10.25
• Price Target Upside: 107.07% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 39 Underperform
• Price Target: $5.00 ▲(1.01% Upside)

P3 Health Partners' overall stock score is primarily impacted by its weak financial performance, characterized by negative profitability and high leverage. Technical indicators suggest bearish momentum, and valuation metrics are unattractive due to ongoing losses. While the earnings call and corporate events provide some positive strategic insights, they are overshadowed by the company's financial challenges.

Positive Factors

Revenue Growth

The increase in capitated revenue indicates successful clinical programs and utilization management, supporting long-term revenue growth.

Strategic Joint Venture

The joint venture enhances profitability and cash flow, strengthening P3's market position and operational efficiency.

Operational Efficiency

Significant reduction in operating expenses reflects improved operational efficiency, aiding long-term financial health.

Negative Factors

High Leverage

High leverage poses financial stability risks, limiting flexibility and increasing vulnerability to economic downturns.

Negative Cash Flow

Inability to generate positive cash flow from operations can strain resources, impacting long-term sustainability and growth.

Nasdaq Compliance Challenge

Nasdaq compliance issues could lead to delisting risks, affecting investor confidence and access to capital markets.

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

P3 Health Partners is experiencing revenue growth but struggles with profitability and financial stability. High leverage and negative margins pose significant risks, and the company needs to focus on improving operational efficiency and reducing debt to strengthen its financial position.

Income Statement

P3 Health Partners has shown a notable revenue growth from the previous year, with a 18.48% increase in 2024. Despite this, the company struggles with profitability, evidenced by negative gross profit margins and a significant net loss. EBIT and EBITDA margins are also negative, indicating challenges in covering operational costs and interest expenses.

Balance Sheet

The balance sheet reflects high leverage with a debt-to-equity ratio standing at 1.01, indicating potential risk in financial stability. The equity ratio is low at 9.69%, suggesting limited buffer against liabilities. Return on equity is highly negative, reflecting the net losses impacting shareholder value.

Cash Flow

The cash flow statement reveals negative free cash flow, indicating challenges in generating cash from operations. The operating cash flow to net income ratio is negative, highlighting inefficiencies in converting profits into cash. However, there's a positive cash inflow from financing activities which may provide temporary relief.

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: 4.95
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Positive
• STOCH: Positive

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 4.95 is below the 20-day moving average (MA) of 5.50, below the 50-day MA of 7.32, and below the 200-day MA of 7.73, indicating a bearish trend. The MACD of -0.66 indicates Negative momentum. The RSI at 27.77 is Positive, neither overbought nor oversold. The STOCH value of 11.48 is Positive, 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	73 Outperform	$1.03B	39.30	10.87%	―	29.89%	10.33%
INNV	57 Neutral	$732.68M	-45.12	-6.86%	―	12.48%	-9.28%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
DCGO	49 Neutral	$89.86M	-1.76	-17.32%	―	-47.03%	-274.41%
TOI	47 Neutral	$371.88M	-5.86	-3407.86%	―	21.67%	16.74%
AGL	42 Neutral	$298.08M	-0.85	-73.31%	―	5.21%	5.21%
PIII	39 Underperform	$37.38M	-0.12	-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.

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.