Aveanna Healthcare (NASDAQ:AVAH) Releases Earnings Results, Beats Estimates By $0.05 EPS

Key Points

• Aveanna Healthcare beat Q1 estimates, reporting adjusted EPS of $0.18 versus $0.13 expected and revenue of about $648 million, above forecasts and up 15.9% year over year.
• Management raised full-year 2026 guidance to revenue of $2.56 billion-$2.58 billion and adjusted EBITDA of $328 million-$332 million, excluding the pending Family First acquisition.
• The stock jumped after the report, rising 9.9% on Thursday as investors reacted to the earnings beat and improved outlook.

Aveanna Healthcare (NASDAQ:AVAH - Get Free Report) announced its earnings results on Thursday. The company reported $0.18 EPS for the quarter, topping analysts' consensus estimates of $0.13 by $0.05, FiscalAI reports. The firm had revenue of $647.92 million during the quarter, compared to analysts' expectations of $613.22 million. Aveanna Healthcare had a return on equity of 481.69% and a net margin of 9.25%.The business's revenue for the quarter was up 15.9% on a year-over-year basis.

Here are the key takeaways from Aveanna Healthcare's conference call:

• Aveanna posted strong Q1 results with revenue of about $648 million, up 15.9% year over year, and adjusted EBITDA of $84.4 million, up 25.2%, driven by better rates, higher volumes, and operational efficiencies.
• The company raised full-year 2026 guidance to revenue of $2.56 billion-$2.58 billion and adjusted EBITDA of $328 million-$332 million, excluding the pending Family First acquisition.
• Preferred payer strategy continues to gain traction across all businesses, with 4 new PDS preferred payer agreements, 4 new Home Health agreements, and 2 new Medical Solutions agreements in Q1.
• Management said the new CMS Home Health moratorium should not affect Aveanna or its Family First acquisition, and it does not change the company’s 2026 or 2027 business plans.
• Balance sheet and cash generation remain solid, with liquidity of about $525 million and net leverage at 3.8x, while management reiterated a path toward further deleveraging alongside tuck-in acquisitions.

Aveanna Healthcare Trading Up 9.9%

Shares of AVAH stock traded up $0.67 on Thursday, reaching $7.44. 4,276,480 shares of the company's stock were exchanged, compared to its average volume of 1,274,675. Aveanna Healthcare has a 52 week low of $3.73 and a 52 week high of $10.32. The company has a current ratio of 1.32, a quick ratio of 1.32 and a debt-to-equity ratio of 6.62. The stock has a market capitalization of $1.62 billion, a PE ratio of 7.29 and a beta of 1.93. The company's fifty day simple moving average is $6.70 and its 200 day simple moving average is $7.94.

Insider Activity

In related news, CFO Matthew Buckhalter sold 13,512 shares of the firm's stock in a transaction that occurred on Thursday, February 19th. The stock was sold at an average price of $7.21, for a total transaction of $97,421.52. Following the completion of the sale, the chief financial officer directly owned 529,243 shares of the company's stock, valued at approximately $3,815,842.03. This trade represents a 2.49% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Patrick A. Cunningham sold 18,436 shares of the firm's stock in a transaction that occurred on Thursday, February 19th. The stock was sold at an average price of $7.21, for a total value of $132,923.56. Following the sale, the insider directly owned 337,755 shares of the company's stock, valued at $2,435,213.55. This represents a 5.18% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 738,957 shares of company stock worth $5,458,175 in the last three months. Corporate insiders own 5.30% of the company's stock.

Institutional Investors Weigh In On Aveanna Healthcare

Institutional investors and hedge funds have recently bought and sold shares of the company. Quantbot Technologies LP bought a new stake in Aveanna Healthcare during the 2nd quarter valued at $43,000. Oxford Asset Management LLP bought a new stake in Aveanna Healthcare during the 2nd quarter valued at $64,000. Bayesian Capital Management LP bought a new stake in Aveanna Healthcare during the 2nd quarter valued at $85,000. Jain Global LLC bought a new stake in Aveanna Healthcare during the 4th quarter valued at $102,000. Finally, Invesco Ltd. raised its position in Aveanna Healthcare by 31.1% during the 2nd quarter. Invesco Ltd. now owns 20,006 shares of the company's stock valued at $105,000 after purchasing an additional 4,742 shares in the last quarter. 87.96% of the stock is owned by institutional investors.

Analysts Set New Price Targets

AVAH has been the subject of a number of recent research reports. Raymond James Financial upgraded Aveanna Healthcare from an "outperform" rating to a "strong-buy" rating and set a $13.00 target price for the company in a report on Friday, March 20th. Truist Financial dropped their target price on Aveanna Healthcare from $9.00 to $8.00 and set a "hold" rating for the company in a report on Monday, April 13th. Zacks Research cut Aveanna Healthcare from a "strong-buy" rating to a "hold" rating in a report on Tuesday, February 3rd. BMO Capital Markets dropped their target price on Aveanna Healthcare from $11.00 to $10.00 and set an "outperform" rating for the company in a report on Friday, March 20th. Finally, Barclays dropped their target price on Aveanna Healthcare from $11.00 to $9.50 and set an "overweight" rating for the company in a report on Wednesday, March 25th. One investment analyst has rated the stock with a Strong Buy rating, four have given a Buy rating and six have given a Hold rating to the company. According to MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $10.25.

About Aveanna Healthcare

Aveanna Healthcare, Inc NASDAQ: AVAH is a national provider of in-home health care services, specializing in pediatric skilled nursing, therapy, and related support for medically complex and chronically ill children. The company delivers a range of clinical and therapeutic solutions designed to enable patients to receive care in the comfort of their own homes, reducing the need for hospital stays and long-term institutional care. Aveanna's offerings include registered nursing, physical, occupational and speech therapy, behavioral health counseling, and durable medical equipment coordination.

In addition to pediatric home health services, Aveanna operates adult home health and personal care support programs, assisting elderly and disabled adults with daily living activities, medication management, and rehabilitation therapies.

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