We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Cross Country Healthcare (CCRN - Free Report) is a Zacks Rank #1 (Strong Buy) that recently reported a strong quarter but this stock has been sliding. The pandemic certainly caused demand and wages for healthcare professionals to soar, but is that run over? Let’s explore more about this stock in this Bull Of The Day article.
Description
Cross Country Healthcare, Inc. is a national leader in providing innovative healthcare workforce solutions and staffing services. Their diverse client base includes both clinical and nonclinical settings, servicing acute care hospitals, physician practice groups, outpatient and ambulatory-care centers, nursing facilities, both public schools and charter schools, rehabilitation and sports medicine clinics, government facilities, and homecare. They are able to place clinicians on travel and per diem assignments, local short-term contracts and permanent positions. They are a market leader in providing flexible workforce management solutions, which include managed services programs (MSP), internal resource pool consulting and development, electronic medical record (EMR) transition staffing, recruitment process outsourcing, predictive modeling and other outsourcing and consultative services.
Earnings History
When I look at a stock, the first thing I do is look to see if the company is beating the number. This tells me right away where the market’s expectations have been for the company and how management has communicated to the market. A stock that consistently beats has management communicating expectations to Wall Street that can be achieved. That is what you want to see.
For CCRN, I see four straight quarters where the company beat of the Zacks Consensus Estimate. That is always good to see, but by itself that is not enough to make the company a Zacks Rank #1 (Strong Buy).
The average positive earnings surprise over the course of the last year works out to be 29%.
Earnings Estimates Revisions
The Zacks Rank tells us which stocks are seeing earnings estimates move higher. For PPC, I see annual estimates moving higher.
Over the last 60 days, I see a few increases.
The full fiscal year 2022 has moved from $2.49 to $4.57.
Next has nearly doubled from $1.50 to $2.98.
Positive movement in earnings estimates like that is why this stock is a Zacks Rank #1 (Strong Buy).
Valuation
I see a great valuation for CCRN. The forward PE is 3.4x and that is very low considering the 139% topline growth the company posted in the most recent quarter. The price to book of 1.7x is very low given the growth in earnings. The price to sales comes in at 0.28x, which is super low and indicates that the market does not value each sales dollar all that highly. Margins have increased in a big way over the last couple quarters moving from 5.5% to 7.4% and if they keep that up with solid revenue growth then earnings are go to be moving a lot higher.
Chart
Cross Country Healthcare, Inc. Price, Consensus and EPS Surprise
Image: Bigstock
Bull Of The Day: Cross Country Healthcare (CCRN)
Cross Country Healthcare (CCRN - Free Report) is a Zacks Rank #1 (Strong Buy) that recently reported a strong quarter but this stock has been sliding. The pandemic certainly caused demand and wages for healthcare professionals to soar, but is that run over? Let’s explore more about this stock in this Bull Of The Day article.
Description
Cross Country Healthcare, Inc. is a national leader in providing innovative healthcare workforce solutions and staffing services. Their diverse client base includes both clinical and nonclinical settings, servicing acute care hospitals, physician practice groups, outpatient and ambulatory-care centers, nursing facilities, both public schools and charter schools, rehabilitation and sports medicine clinics, government facilities, and homecare. They are able to place clinicians on travel and per diem assignments, local short-term contracts and permanent positions. They are a market leader in providing flexible workforce management solutions, which include managed services programs (MSP), internal resource pool consulting and development, electronic medical record (EMR) transition staffing, recruitment process outsourcing, predictive modeling and other outsourcing and consultative services.
Earnings History
When I look at a stock, the first thing I do is look to see if the company is beating the number. This tells me right away where the market’s expectations have been for the company and how management has communicated to the market. A stock that consistently beats has management communicating expectations to Wall Street that can be achieved. That is what you want to see.
For CCRN, I see four straight quarters where the company beat of the Zacks Consensus Estimate. That is always good to see, but by itself that is not enough to make the company a Zacks Rank #1 (Strong Buy).
The average positive earnings surprise over the course of the last year works out to be 29%.
Earnings Estimates Revisions
The Zacks Rank tells us which stocks are seeing earnings estimates move higher. For PPC, I see annual estimates moving higher.
Over the last 60 days, I see a few increases.
The full fiscal year 2022 has moved from $2.49 to $4.57.
Next has nearly doubled from $1.50 to $2.98.
Positive movement in earnings estimates like that is why this stock is a Zacks Rank #1 (Strong Buy).
Valuation
I see a great valuation for CCRN. The forward PE is 3.4x and that is very low considering the 139% topline growth the company posted in the most recent quarter. The price to book of 1.7x is very low given the growth in earnings. The price to sales comes in at 0.28x, which is super low and indicates that the market does not value each sales dollar all that highly. Margins have increased in a big way over the last couple quarters moving from 5.5% to 7.4% and if they keep that up with solid revenue growth then earnings are go to be moving a lot higher.
Chart
Cross Country Healthcare, Inc. Price, Consensus and EPS Surprise
Cross Country Healthcare, Inc. price-consensus-eps-surprise-chart | Cross Country Healthcare, Inc. Quote