Acadia Healthcare Company, Inc. (ACHC) Buy or Sell Stock Guide

Last updated: Apr 12, '19

Are you looking for the analysis of Acadia Healthcare Company, Inc. (ACHC) stock? Are you wondering what the bulls and the bears say about it?

If so, you came to the right place. In this stock guide, we will share with you 5 reasons to buy and 4 reasons to sell ACHC stock. You’ll get a perspective on what the bulls and the bears say about it.

The analysis below may be also helpful to you if you have any of the following questions about ACHC stock:

  • Is ACHC a buy or a sell?
  • Should I sell or hold ACHC stock today?
  • Is ACHC a good buy / investment?
  • What are ACHC analyst opinions, recommendations and ratings?

Let’s start with the bull case. Here are the reasons to buy ACHC stock:

1. ACHC profitability is improving. The YoY profit margin change was 6.83pp. See ACHC profitability chart.

2. ACHC Price/Book ratio is 1.11, and it’s low compared to its industry peers’ P/B ratios. See ACHC forward Price/Book ratio chart.

3. ACHC Price/Sales ratio is 0.87, and it’s low compared to its industry peers’ P/S ratios. See ACHC forward Price/Sales ratio chart.

4. ACHC average analyst rating is Buy. See ACHC analyst rating chart.

5. ACHC average analyst price target ($35.88) is above its current price ($29.30). See ACHC price target chart.

Now that you understand the bull case, let’s look at the reasons to sell ACHC stock (i.e., the bear case):

1. ACHC quarterly revenue growth was 2.60%, lower than the industry and sector average revenue growth (4.89% and 3.10%, respectively). See ACHC revenue growth chart.

2. ACHC PEG ratio (P/E adjusted for growth) is 2.03, and it’s high compared to its industry peers’ PEG ratios. See ACHC PEG chart.

3. ACHC short share of float is 20.74%. The stock is much more frequently shorted than the average industry, sector or S&P 500 stock. See ACHC short share of float chart.

4. ACHC short interest (days to cover the shorts) ratio is 9.68. The stock garners more short interest than the average industry, sector or S&P 500 stock. See ACHC short interest ratio chart.

Now let's look at the key statistics for ACHC:

Metrics ACHC
Price $32.09
Average Price Target / Upside $35.88 / 11.81%
Average Analyst Rating Buy
Industry Medical Care
Sector Healthcare
Number of Employees 42,100
Market Cap $2.61B
Forward P/E Ratio 12.04
Price/Book Ratio 0.87
PEG 2.68
Revenue (TTM) $3.01B
YoY Quarterly Revenue Growth 2.6%
Profit Margin -5.83%

What are your thoughts on ACHC?

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