Investors seeking opportunities in the healthcare sector should pay close attention to agilon health, inc. (NYSE: AGL), a company that provides healthcare services for seniors through primary care physicians across the United States. With a current market capitalization of $890 million, agilon health operates within the Medical Care Facilities industry, focusing on a subscription-like model that addresses the total healthcare needs of its patients.
Currently trading at $2.15, agilon health’s stock has experienced a modest change of 0.04 (0.02%) in its recent price movement. The stock’s 52-week range has fluctuated significantly, spanning from a low of $1.57 to a high of $7.52, highlighting the volatility investors have seen over the past year.
One of the standout aspects of agilon health’s financial profile is its potential upside of 97.84%. This figure is derived from the average target price of $4.25, as suggested by analysts, which is nearly double its current trading price. This potential upside is notable, especially when considering the mix of analyst ratings: 4 Buy, 14 Hold, and 2 Sell ratings. The target price range stretches from a low of $1.00 to a high of $7.50, indicating varied opinions on the stock’s future trajectory.
In terms of valuation metrics, agilon health presents a rather complex picture. The company currently has a forward P/E ratio of -9.76, reflecting challenges in profitability as it continues its operations. With negative earnings per share (EPS) of -0.62 and a return on equity (ROE) of -42.97%, the company is not yet profitable. However, it boasts free cash flow of $1,115,125, signaling some level of financial resilience.
Revenue growth is currently negative at -4.50%, which may concern growth-oriented investors. Despite these challenges, the company does not distribute dividends, maintaining a payout ratio of 0.00%, which might appeal to investors who prioritize reinvestment into the business over immediate income.
Technical indicators offer additional insights into agilon health’s stock performance. The 50-day moving average stands at 3.13, while the 200-day moving average is slightly lower at 3.11, suggesting recent price stabilization. The Relative Strength Index (RSI) of 50.54 indicates a neutral position, neither overbought nor oversold. Meanwhile, the MACD of -0.23, with a signal line of -0.28, suggests a slight bearish trend.
Founded in 2016 and based in Westerville, Ohio, agilon health has been building its platform to manage the healthcare needs of seniors efficiently. As the company continues to evolve, investors will need to weigh the potential upside against the current financial challenges. With a significant potential upside and a focus on long-term growth, agilon health presents an intriguing opportunity for investors willing to navigate the complexities of the healthcare sector.
