Financial Review: Aveanna Healthcare (AVAH) & Its Peers

Aveanna Healthcare (NASDAQ:AVAH) is one of 26 publicly-traded companies in the “MED – OUTP/HM CRE” industry, but how does it compare to its rivals? We will compare Aveanna Healthcare to similar businesses based on the strength of its risk, valuation, analyst recommendations, earnings, profitability, dividends and institutional ownership.

Analyst Ratings

This is a breakdown of recent recommendations for Aveanna Healthcare and its rivals, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Aveanna Healthcare	1	2	1	0	2.00
Aveanna Healthcare Competitors	107	900	1355	57	2.56

Aveanna Healthcare presently has a consensus price target of $5.13, suggesting a potential upside of 8.58%. As a group, “MED – OUTP/HM CRE” companies have a potential upside of 25.11%. Given Aveanna Healthcare’s rivals stronger consensus rating and higher possible upside, analysts clearly believe Aveanna Healthcare has less favorable growth aspects than its rivals.

Profitability

This table compares Aveanna Healthcare and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Aveanna Healthcare	0.26%	-15.16%	1.14%
Aveanna Healthcare Competitors	-12.27%	-0.50%	-4.12%

Volatility and Risk

Aveanna Healthcare has a beta of 2.03, indicating that its stock price is 103% more volatile than the S&P 500. Comparatively, Aveanna Healthcare’s rivals have a beta of 1.18, indicating that their average stock price is 18% more volatile than the S&P 500.

Earnings & Valuation

This table compares Aveanna Healthcare and its rivals top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Aveanna Healthcare	$2.02 billion	-$10.93 million	236.00
Aveanna Healthcare Competitors	$3.78 billion	$179.91 million	20.26

Aveanna Healthcare’s rivals have higher revenue and earnings than Aveanna Healthcare. Aveanna Healthcare is trading at a higher price-to-earnings ratio than its rivals, indicating that it is currently more expensive than other companies in its industry.

Insider & Institutional Ownership

88.0% of Aveanna Healthcare shares are owned by institutional investors. Comparatively, 71.8% of shares of all “MED – OUTP/HM CRE” companies are owned by institutional investors. 7.8% of Aveanna Healthcare shares are owned by company insiders. Comparatively, 9.9% of shares of all “MED – OUTP/HM CRE” companies are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Summary

Aveanna Healthcare rivals beat Aveanna Healthcare on 8 of the 13 factors compared.

About Aveanna Healthcare

Aveanna Healthcare Holdings Inc., a diversified home care platform company, provides pediatric and adult healthcare 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 or skilled nursing facilities. 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 and adults; 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 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, including formulas, supplies, and pumps to adults and children delivered on a periodic or as-needed basis. The company was incorporated in 2016 and is headquartered in Atlanta, Georgia.