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Aveanna Healthcare Holdings Inc. (AVAH) Soars to 52-Week High, Time to Cash Out?

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Have you been paying attention to shares of Aveanna Healthcare (AVAH - Free Report) ? Shares have been on the move with the stock up 37.4% over the past month. The stock hit a new 52-week high of $6.2 in the previous session. Aveanna has gained 27.1% since the start of the year compared to the -8.1% move for the Zacks Medical sector and the 0.3% return for the Zacks Medical - Outpatient and Home Healthcare industry.

What's Driving the Outperformance?

The stock has an impressive record of positive earnings surprises, as it hasn't missed our earnings consensus estimate in any of the last four quarters. In its last earnings report on August 7, 2025, Aveanna reported EPS of $0.18 versus consensus estimate of $0.04 while it beat the consensus revenue estimate by 9.93%.

Valuation Metrics

While Aveanna has moved to its 52-week high over the past few weeks, investors need to be asking, what is next for the company? A key aspect of this question is taking a look at valuation metrics in order to determine if the company has run ahead of itself.

On this front, we can look at the Zacks Style Scores, as these give investors a variety of ways to comb through stocks (beyond looking at the Zacks Rank of a security). The individual style scores for Value, Growth, Momentum and the combined VGM Score run from A through F. The idea behind the style scores is to help investors pick the most appropriate Zacks Rank stocks based on their individual investment style.

Aveanna has a Value Score of B. The stock's Growth and Momentum Scores are B and F, respectively, giving the company a VGM Score of B.

In terms of its value breakdown, the stock currently trades at 26.4X current fiscal year EPS estimates, which is a premium to the peer industry average of 19.6X. On a trailing cash flow basis, the stock currently trades at 35.4X versus its peer group's average of 15.8X. This isn't enough to put the company in the top echelon of all stocks we cover from a value perspective.

Zacks Rank

We also need to consider the stock's Zacks Rank, as this is even more important than the company's VGM Score. Fortunately, Aveanna currently has a Zacks Rank of #1 (Strong Buy) thanks to rising earnings estimates.

Since we recommend that investors select stocks carrying Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, it looks as if Aveanna fits the bill. Thus, it seems as though Aveanna shares could still be poised for more gains ahead.


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