AMN Healthcare Services Inc. continues to expand its product offerings through acquisitions. The recent takeover of Peak Health Solutions is expected to prove immediately accretive for AMN Healthcare.
Moreover, Franklin, TN-based Peak Health Solutions has annualized revenues of approximately $33 million and adjusted EBITDA margin of more than 15%. The takeover will provide a steady revenue stream to AMN Healthcare as demand for Peak Health’s customizable medical coding and compliance solutions are on the rise.
The acquisition also expands AMN Healthcare’s workforce solutions and enables the company to offer services in accurately coding diagnosis and procedure codes to clients. Peak Health’s coding solutions continuously support ICD-10 compliance for healthcare providers, thereby reducing the chances of revenue loss.
Over the last few years, acquisitions have been a key growth driver for AMN Healthcare. Early this year, the company bought global healthcare staffing solutions provider B.E. Smith for $160 million in cash.
B.E. Smith is reputed for providing leadership candidates for the healthcare sector. The acquisition broadened AMH Healthcare’s presence in acute care hospitals, academic medical and children hospitals, physician practices, and post-acute care providers. The buyout will also contribute approximately $100 million to the company’s annual revenues.
In 2015, AMN Healthcare had taken over nurse and allied healthcare staffing firm Onward Healthcare (OH), national locum tenens provider Locum Leaders and SaaS-based vendor management system for healthcare facility provider Medefis.
AMN Healthcare also bought Irvine, CA-based The First String Healthcare – a leading provider of nursing staff. Further, the company added Millican Solutions, a physician executive search firm focused on serving academic medical centers and children hospitals.
Synergies from these takeovers have driven considerable top-line growth. In 2015, acquisitions contributed $161.6 million in revenues. We believe that accretive acquisitions help AMN Healthcare improve traction in the fast growing U.S. temporary staffing market, which is forecasted to value $12 billion by the end of 2016.
Meanwhile, AMN Healthcare is likely to continue to benefit from the stable employment scenario in the U.S., driven by higher demand for clinicians and nurses.
Zacks Rank & Other Key Picks
Currently, AMN Healthcare carries a Zacks Rank #1 (Strong Buy).
Other favorably ranked stocks in the broader medical sector include Air Methods , Masimo Corp (MASI - Free Report) and IRadimed (IRMD - Free Report) . All the three stocks sport the same Zacks Rank as AMN Healthcare.
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It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
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AMN Healthcare Services Inc. continues to expand its product offerings through acquisitions. The recent takeover of Peak Health Solutions is expected to prove immediately accretive for AMN Healthcare.
Moreover, Franklin, TN-based Peak Health Solutions has annualized revenues of approximately $33 million and adjusted EBITDA margin of more than 15%. The takeover will provide a steady revenue stream to AMN Healthcare as demand for Peak Health’s customizable medical coding and compliance solutions are on the rise.
The acquisition also expands AMN Healthcare’s workforce solutions and enables the company to offer services in accurately coding diagnosis and procedure codes to clients. Peak Health’s coding solutions continuously support ICD-10 compliance for healthcare providers, thereby reducing the chances of revenue loss.
Over the last few years, acquisitions have been a key growth driver for AMN Healthcare. Early this year, the company bought global healthcare staffing solutions provider B.E. Smith for $160 million in cash.
B.E. Smith is reputed for providing leadership candidates for the healthcare sector. The acquisition broadened AMH Healthcare’s presence in acute care hospitals, academic medical and children hospitals, physician practices, and post-acute care providers. The buyout will also contribute approximately $100 million to the company’s annual revenues.
In 2015, AMN Healthcare had taken over nurse and allied healthcare staffing firm Onward Healthcare (OH), national locum tenens provider Locum Leaders and SaaS-based vendor management system for healthcare facility provider Medefis.
AMN Healthcare also bought Irvine, CA-based The First String Healthcare – a leading provider of nursing staff. Further, the company added Millican Solutions, a physician executive search firm focused on serving academic medical centers and children hospitals.
Synergies from these takeovers have driven considerable top-line growth. In 2015, acquisitions contributed $161.6 million in revenues. We believe that accretive acquisitions help AMN Healthcare improve traction in the fast growing U.S. temporary staffing market, which is forecasted to value $12 billion by the end of 2016.
Meanwhile, AMN Healthcare is likely to continue to benefit from the stable employment scenario in the U.S., driven by higher demand for clinicians and nurses.
Zacks Rank & Other Key Picks
Currently, AMN Healthcare carries a Zacks Rank #1 (Strong Buy).
Other favorably ranked stocks in the broader medical sector include Air Methods , Masimo Corp (MASI - Free Report) and IRadimed (IRMD - Free Report) . All the three stocks sport the same Zacks Rank as AMN Healthcare.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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