Almost Family, Inc.

Almost Family, Inc. (AFAM) has been on a big rally since early summer, advancing along a longer-term trend line that is still very much in play. Analysts raised their earnings projections after the company reported strong quarterly results last month.

Company Description

Almost Family and its subsidiaries provide home and institutional healthcare services in the United States. The company has a market of $366 million.

Third-Quarter Results

Almost Family is operating in a segment of the market, healthcare services, that has performed well in a challenging environment. The company's third-quarter results, reported in early November, showcased the company's success.

Net services revenue was up 84% to $58.7 million. Income jumped to $4.7 million, up from $1.9 million last year. This produced earnings of 56 cents per share, safely ahead of analyst estimates of 45 cents.

Consistent Results

It was the fourth time in four quarters that the company has surprised and beat estimates, having done so by an average of 9 cents, or 23%.

Capital Initiatives

While reporting its quarterly results, Almost Family also announced that it filed with the SEC in order to increase its capital base from $30 to $150 million in order to provide financial flexibility and fund future projects.

Analyst Estimates Analyst estimates ticked higher after the solid quarter, with the current-year estimate climbing to $2.08 from $1.89 per share. The next-year estimate is pegged at $2.51 per share, a 21% earnings growth projection.

The Chart

Shares of AFAM have been rallying since early spring along a fairly aggressive trend line. The 52-week high is just above $53. Take a look below.

Read the full analyst report on AFAM