MODV stock touches 52-week low at $2.89 amid market challenges

Published 07/03/2025, 21:22
MODV stock touches 52-week low at $2.89 amid market challenges

In a turbulent market environment, ModivCare Inc. (MODV) stock has reached a 52-week low, dipping to $2.89, marking a stark contrast to its 52-week high of $33.64. With a current market capitalization of just $42.17 million and EBITDA of $122 million, InvestingPro analysis suggests the stock is currently undervalued. This significant downturn reflects a broader trend for the healthcare services company, which has seen its shares plummet over the past year. The 1-year change data paints a stark picture, with The Providence Service, ModivCare’s parent company, experiencing a dramatic -90.89% shift. While analysts maintain price targets ranging from $5.25 to $24, InvestingPro data reveals concerning trends, including significant debt burden and rapid cash burn. Investors are closely monitoring the stock as it navigates through these challenging financial waters, with the hope for potential recovery or strategic corporate developments that could influence future performance. For deeper insights into MODV’s financial health and growth prospects, access the comprehensive Pro Research Report, available exclusively on InvestingPro.

In other recent news, ModivCare Inc. reported its fourth-quarter and full-year 2024 financial results, which showed a miss on both earnings per share (EPS) and revenue forecasts. The company’s Q4 EPS was $0.19, significantly below the projected $0.76, while revenue reached $702.8 million, falling short of the anticipated $718.94 million. Despite these misses, ModivCare’s stock saw an increase in aftermarket trading, possibly due to strategic initiatives like the launch of new digital health services and AI technologies. Operational cost savings of $35 million were also achieved, contributing to investor optimism. The full-year revenue for 2024 was $2.79 billion, marking a 1.1% increase from the previous year, though the consolidated adjusted EBITDA declined by 20% to $161.1 million. Analysts have noted the company’s strategic focus on strengthening its platforms and monetizing its monitoring and personal care services. While ModivCare did not provide formal fiscal 2025 guidance, executives expressed confidence in achieving contract pricing improvements and further cost efficiencies.

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