Benchmark maintains Hold rating on AMN Healthcare stock

Published 06/03/2025, 17:06
Benchmark maintains Hold rating on AMN Healthcare stock

On Thursday, Benchmark analyst firm maintained a Hold rating on shares of AMN Healthcare Services Inc . (NYSE:AMN), a company that provides healthcare workforce solutions and staffing services. The decision to keep the rating unchanged was announced without an accompanying price target adjustment. According to InvestingPro data, analyst targets range from $26 to $40, while eight analysts have recently revised their earnings expectations downward for the upcoming period.

AMN Healthcare, recognized as a leader in healthcare staffing, operates in a dynamic industry where the demand for healthcare professionals continues to grow. The Hold rating suggests that Benchmark analysts believe the stock is currently valued appropriately in the market, considering the company’s performance and industry conditions. The company’s current market capitalization stands at approximately $998 million, with InvestingPro analysis indicating the stock is currently undervalued based on its Fair Value assessment.

The decision by Benchmark to reiterate the Hold rating comes as investors look for signs of stability and growth potential in the healthcare sector. AMN Healthcare’s position in the market is particularly significant given the ongoing challenges in healthcare staffing, driven by factors such as an aging population and the evolving needs of healthcare facilities. Want deeper insights? InvestingPro subscribers get access to exclusive analysis, including 6 additional ProTips and a comprehensive Pro Research Report that provides actionable intelligence for smarter investing decisions.

The company has not issued any new financial information or corporate developments that might have influenced Benchmark’s decision to maintain the rating. The Hold rating indicates that the analysts do not see significant short-term drivers that would substantially change the company’s stock value in the near future. Recent financial data shows the company generated revenues of $2.98 billion in the last twelve months, with a strong free cash flow yield and a gross profit margin of approximately 31%.

Investors and market watchers typically monitor such ratings closely, as they can reflect the market’s current sentiment and expectations about a company’s performance. AMN Healthcare’s stock performance will continue to be observed in the context of Benchmark’s rating and the broader trends in the healthcare staffing industry. The stock currently trades at $26.14, having experienced a significant decline of about 55% over the past year, though it has shown signs of recovery with a 9% gain year-to-date.

In other recent news, AMN Healthcare reported fourth-quarter 2024 earnings that exceeded analyst expectations, with an adjusted EPS of $0.75 compared to the forecasted $0.49. The company also achieved revenues of $735 million, surpassing the expected $694.36 million, driven by labor disruption revenue within the Nurse and Allied Solutions segment. Despite a 28% decrease in adjusted EBITDA to $75.1 million year-over-year, the figure still exceeded both JMP Securities’ and consensus estimates. JMP Securities maintained a Market Outperform rating on AMN Healthcare while adjusting the price target from $34 to $33. Benchmark reiterated a Hold rating, citing stabilization in AMN’s business units and improved demand trends. The company launched new technology platforms, such as the Shiftwise Flex (NASDAQ:FLEX) VMS platform and the Passport app, to enhance service delivery. Additionally, AMN Healthcare repaid $250 million in revolver debt throughout 2024, demonstrating its focus on financial stability. Management remains optimistic about positive sequential trends in the second half of 2025 as international headwinds ease.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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