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Acadia (ACHC) Reveals its Long-Term Goals: What You Should Know
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Acadia Healthcare Company, Inc. (ACHC - Free Report) provided short-term and long-term outlooks prior to its Investor Day event. It also provided a growth track in the event, showing its long-term plans for the company. It intends to address the market trends: unmet need for treatment, fragmented industry and regional shortages in treatments.
2022 Outlook Reiterated
For 2022, Acadia Healthcare reiterated revenue guidance within $2.58-$2.60 billion. The mid-point of the guidance indicates a rise of 12.6% from the 2021 reported figure. Adjusted EBITDA, excluding income from provider relief fund or PRF, is reaffirmed at $595-$605 million. Adjusted EPS guidance is reiterated within $3-$3.10, the midpoint of which indicates an increase of 19.1% from the 2021 reported figure.
The Zacks Consensus Estimate for ACHC’s current year bottom line is pegged at $3.09 per share. The consensus estimate for its top line is pegged at $2.59 billion.
Bright 2023 Outlook
The company also provided its initial guidance for 2023. It expects revenues to be within $2.79-$2.86 billion, indicating around 9% growth at the mid-point from 2022. Adjusted EBITDA, excluding income from PRF, is estimated at $630-$680 million, a 9-10% improvement at the mid-point. Adjusted EPS is estimated within $3.10-$3.45, around an 8% increase at the mid-point.
The Zacks Consensus Estimate for ACHC’s 2023 bottom line is pegged at $3.28 per share. The consensus estimate for its top line is pegged at $2.79 billion.
Operating cash flows for 2023 are expected in the $450-$500 million range. New 300-bed additions, the opening of two Acute de novo units, along with six CTC de novo units and the forging of two joint venture partnerships are likely to drive growth.
Long-term Goals
From 2022 to 2028, Acadia Healthcare expects to see a 9-11% CAGR in revenues to $4.5-$5 billion. Adjusted EBITDA is estimated to witness a 10-12% CAGR during this time to reach $1.06-$1.20 billion in 2028. The company expects 5-8% patient day growth during this time, while bed capacity might face a 7-10% jump per annum. It intends to significantly boost investments in technology to increase operational efficiency and margins in the long term.
Price Performance
Acadia Healthcare’s shares have jumped 37.8% in the past year against the 7.2% fall of the industry.
The Zacks Consensus Estimate for Elevance Health’s full-year earnings is currently pegged at $29.02 per share, indicating a year-over-year increase of 11.7%. ELV beat earnings estimates in all the past four quarters, with an average surprise of 4.1%.
The Zacks Consensus Estimate for AMN Healthcare’s current year bottom line indicates a 44% improvement from the prior-year reported number. The consensus estimate for AMN’s top line also indicates 30.1% year-over-year growth.
The Zacks Consensus Estimate for UnitedHealth’s 2022 bottom line indicates a 15.8% year-over-year improvement. UNH has witnessed three upward estimate revisions in the past 30 days against none in the opposite direction.
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Acadia (ACHC) Reveals its Long-Term Goals: What You Should Know
Acadia Healthcare Company, Inc. (ACHC - Free Report) provided short-term and long-term outlooks prior to its Investor Day event. It also provided a growth track in the event, showing its long-term plans for the company. It intends to address the market trends: unmet need for treatment, fragmented industry and regional shortages in treatments.
2022 Outlook Reiterated
For 2022, Acadia Healthcare reiterated revenue guidance within $2.58-$2.60 billion. The mid-point of the guidance indicates a rise of 12.6% from the 2021 reported figure. Adjusted EBITDA, excluding income from provider relief fund or PRF, is reaffirmed at $595-$605 million. Adjusted EPS guidance is reiterated within $3-$3.10, the midpoint of which indicates an increase of 19.1% from the 2021 reported figure.
The Zacks Consensus Estimate for ACHC’s current year bottom line is pegged at $3.09 per share. The consensus estimate for its top line is pegged at $2.59 billion.
Bright 2023 Outlook
The company also provided its initial guidance for 2023. It expects revenues to be within $2.79-$2.86 billion, indicating around 9% growth at the mid-point from 2022. Adjusted EBITDA, excluding income from PRF, is estimated at $630-$680 million, a 9-10% improvement at the mid-point. Adjusted EPS is estimated within $3.10-$3.45, around an 8% increase at the mid-point.
The Zacks Consensus Estimate for ACHC’s 2023 bottom line is pegged at $3.28 per share. The consensus estimate for its top line is pegged at $2.79 billion.
Operating cash flows for 2023 are expected in the $450-$500 million range. New 300-bed additions, the opening of two Acute de novo units, along with six CTC de novo units and the forging of two joint venture partnerships are likely to drive growth.
Long-term Goals
From 2022 to 2028, Acadia Healthcare expects to see a 9-11% CAGR in revenues to $4.5-$5 billion. Adjusted EBITDA is estimated to witness a 10-12% CAGR during this time to reach $1.06-$1.20 billion in 2028. The company expects 5-8% patient day growth during this time, while bed capacity might face a 7-10% jump per annum. It intends to significantly boost investments in technology to increase operational efficiency and margins in the long term.
Price Performance
Acadia Healthcare’s shares have jumped 37.8% in the past year against the 7.2% fall of the industry.
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Zacks Rank & Key Picks
Acadia Healthcare currently has a Zacks Rank #3 (Hold). Some better-ranked stocks in the broader medical space are Elevance Health Inc. (ELV - Free Report) , AMN Healthcare Services, Inc. (AMN - Free Report) and UnitedHealth Group Incorporated (UNH - Free Report) , each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The Zacks Consensus Estimate for Elevance Health’s full-year earnings is currently pegged at $29.02 per share, indicating a year-over-year increase of 11.7%. ELV beat earnings estimates in all the past four quarters, with an average surprise of 4.1%.
The Zacks Consensus Estimate for AMN Healthcare’s current year bottom line indicates a 44% improvement from the prior-year reported number. The consensus estimate for AMN’s top line also indicates 30.1% year-over-year growth.
The Zacks Consensus Estimate for UnitedHealth’s 2022 bottom line indicates a 15.8% year-over-year improvement. UNH has witnessed three upward estimate revisions in the past 30 days against none in the opposite direction.