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AMN Healthcare Services (AMN) Outpaces Stock Market Gains: What You Should Know

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AMN Healthcare Services (AMN - Free Report) closed the most recent trading day at $99.34, moving +1.03% from the previous trading session. This change outpaced the S&P 500's 0.22% gain on the day. Meanwhile, the Dow lost 0.13%, and the Nasdaq, a tech-heavy index, added 0.22%.

Coming into today, shares of the health care staffing company had gained 12.26% in the past month. In that same time, the Medical sector lost 5.2%, while the S&P 500 lost 10.02%.

Wall Street will be looking for positivity from AMN Healthcare Services as it approaches its next earnings report date. In that report, analysts expect AMN Healthcare Services to post earnings of $3 per share. This would mark year-over-year growth of 82.93%. Meanwhile, our latest consensus estimate is calling for revenue of $1.37 billion, up 59.67% from the prior-year quarter.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $10.46 per share and revenue of $5.02 billion. These totals would mark changes of +30.26% and +25.91%, respectively, from last year.

Any recent changes to analyst estimates for AMN Healthcare Services should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 3.26% higher. AMN Healthcare Services is currently sporting a Zacks Rank of #1 (Strong Buy).

In terms of valuation, AMN Healthcare Services is currently trading at a Forward P/E ratio of 9.5. This valuation marks a discount compared to its industry's average Forward P/E of 19.68.

Meanwhile, AMN's PEG ratio is currently 8.56. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Medical Services stocks are, on average, holding a PEG ratio of 1.58 based on yesterday's closing prices.

The Medical Services industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 177, which puts it in the bottom 31% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

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