The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Amedisys missed estimates on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue dropped slightly. Non-GAAP earnings per share contracted significantly. GAAP earnings per share shrank to a loss.
Margins dropped across the board.
Amedisys logged revenue of $362.9 million. The 11 analysts polled by S&P Capital IQ anticipated a top line of $373.3 million on the same basis. GAAP reported sales were the same as the prior-year quarter's.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.23. The 10 earnings estimates compiled by S&P Capital IQ predicted $0.22 per share. Non-GAAP EPS of $0.23 for Q4 were 53% lower than the prior-year quarter's $0.49 per share. (The prior-year quarter included -$0.10 per share in earnings from discontinued operations.) GAAP EPS were -$3.52 for Q4 compared to $0.15 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 43.2%, 230 basis points worse than the prior-year quarter. Operating margin was 2.0%, 350 basis points worse than the prior-year quarter. Net margin was -29.4%, much worse than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $374.9 million. On the bottom line, the average EPS estimate is $0.19.
Next year's average estimate for revenue is $1.52 billion. The average EPS estimate is $0.78.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 816 members out of 903 rating the stock outperform, and 87 members rating it underperform. Among 214 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 186 give Amedisys a green thumbs-up, and 28 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Amedisys is hold, with an average price target of $11.00.
Is Amedisys the best health care stock for you? Learn how to maximize your investment income and "Secure Your Future With 9 Rock-Solid Dividend Stocks," including one above-average health care logistics company. Click here for instant access to this free report.
- Add Amedisys to My Watchlist.
Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.