Option Care Health (NASDAQ:OPCH) Rating Lowered to Neutral at Bank of America

Key Points

• Bank of America downgraded Option Care Health from a "buy" to a "neutral" rating and set a $22 price target, implying roughly an 8% upside from the current share price.
• Recent Q1 results featured a revenue miss and a full‑year FY2026 revenue guidance cut to $5.7–$5.8B, sparking a sell‑off and prompting multiple securities‑fraud investigations.
• Shares trade near $20.33 (close to a 12‑month low of $18.01) even though analysts’ consensus is a "Moderate Buy" with a $35.70 average target, and about 98% institutional ownership.

Option Care Health (NASDAQ:OPCH - Get Free Report) was downgraded by research analysts at Bank of America from a "buy" rating to a "neutral" rating in a note issued to investors on Friday. They currently have a $22.00 target price on the stock. Bank of America's price objective would indicate a potential upside of 8.21% from the stock's current price.

Other research analysts have also recently issued reports about the company. Wall Street Zen cut Option Care Health from a "buy" rating to a "hold" rating in a report on Saturday, February 28th. Barrington Research increased their price objective on Option Care Health from $38.00 to $42.00 and gave the company an "outperform" rating in a report on Friday, January 16th. National Bank Financial set a $37.00 target price on shares of Option Care Health in a research note on Tuesday, January 27th. Citizens Jmp restated a "market outperform" rating and issued a $38.00 price target (up from $36.00) on shares of Option Care Health in a research report on Tuesday, January 13th. Finally, Morgan Stanley increased their price objective on Option Care Health from $35.00 to $38.00 and gave the stock an "overweight" rating in a research report on Tuesday, January 13th. One equities research analyst has rated the stock with a Strong Buy rating, six have given a Buy rating and three have given a Hold rating to the company. According to MarketBeat.com, the stock has an average rating of "Moderate Buy" and a consensus target price of $35.70.

Option Care Health Stock Performance

OPCH opened at $20.33 on Friday. Option Care Health has a twelve month low of $18.01 and a twelve month high of $36.80. The firm has a market capitalization of $3.19 billion, a PE ratio of 15.88, a PEG ratio of 1.50 and a beta of 0.95. The company has a current ratio of 1.53, a quick ratio of 0.96 and a debt-to-equity ratio of 0.87. The firm's 50-day moving average price is $29.15 and its 200 day moving average price is $30.69.

Option Care Health (NASDAQ:OPCH - Get Free Report) last released its earnings results on Tuesday, February 24th. The company reported $0.46 earnings per share for the quarter, hitting analysts' consensus estimates of $0.46. Option Care Health had a net margin of 3.67% and a return on equity of 18.57%. The business had revenue of $1.47 billion for the quarter, compared to analyst estimates of $1.46 billion. During the same period last year, the company posted $0.44 EPS. The business's revenue was up 8.8% on a year-over-year basis. As a group, sell-side analysts expect that Option Care Health will post 1.69 EPS for the current fiscal year.

Institutional Trading of Option Care Health

A number of institutional investors have recently modified their holdings of OPCH. Sumitomo Mitsui Trust Group Inc. purchased a new position in Option Care Health in the first quarter worth $70,287,000. Oregon Public Employees Retirement Fund boosted its stake in shares of Option Care Health by 2.5% during the first quarter. Oregon Public Employees Retirement Fund now owns 32,530 shares of the company's stock valued at $876,000 after acquiring an additional 800 shares during the last quarter. Fideuram Intesa Sanpaolo Private Banking S.P.A. purchased a new stake in Option Care Health during the 1st quarter worth about $5,193,000. Janney Montgomery Scott LLC acquired a new position in Option Care Health in the 1st quarter valued at about $248,000. Finally, Fort Washington Investment Advisors Inc. OH lifted its stake in shares of Option Care Health by 2.9% during the 1st quarter. Fort Washington Investment Advisors Inc. OH now owns 1,479,728 shares of the company's stock worth $39,834,000 after purchasing an additional 42,317 shares during the period. 98.05% of the stock is currently owned by hedge funds and other institutional investors.

Key Stories Impacting Option Care Health

Here are the key news stories impacting Option Care Health this week:

• Positive Sentiment: Q1 EPS beat consensus — Option Care reported $0.40 EPS vs. the Street $0.37, beating estimates and showing stable profitability. Read More.
• Neutral Sentiment: Company released full Q1 materials — press release, slide deck and earnings‑call transcript are available for detail on segment performance and management commentary. Review the release and slides for guidance context. Read More.
• Negative Sentiment: Revenue miss — Q1 revenue was $1.35B vs. analysts' ~$1.40B estimate (growth only ~1.3% Y/Y), a core reason for the sell‑off. Read More.
• Negative Sentiment: Full‑year revenue guidance cut — management set FY2026 revenue $5.7–$5.8B vs. consensus ~$5.9B; EPS guide of $1.82–$1.92 roughly in line with consensus but the revenue shortfall drove downward revisions. Read More.
• Negative Sentiment: Multiple securities‑fraud investigations launched — several law firms (Levi & Korsinsky, Holzer & Holzer, Block & Leviton, Johnson Fistel) have issued investor alerts/investigations citing the revenue miss and guidance cut, raising legal and disclosure risk. Read More.
• Negative Sentiment: Wide media coverage of the decline and investor concern — outlets and analysts highlighted the revenue shortfall, guidance cut and ensuing investigations, amplifying selling pressure. Read More.

About Option Care Health

Option Care Health NASDAQ: OPCH is a leading provider of home and alternate site infusion services in the United States. The company specializes in the administration of injectable therapies, including antibiotics, nutrition, hydration, immunoglobulin, pain management and specialty pharmaceuticals. Through its nationwide network of infusion pharmacies and nursing professionals, Option Care Health delivers customized care plans and in-home nursing visits to patients managing complex or chronic conditions outside of a hospital setting.

Option Care Health traces its current structure to the completion of its merger with BioScrip in early 2021, combining two of the industry's most experienced home infusion businesses.

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