ADUS

Addus HomeCare

Fundamental data last updated:April 13, 2026

company profile

SECTOR

Healthcare

industry

Medical Care Facilities

Exchange

Nasdaq

County of HQ

United States

Next Earnings Date

05/04/26

Business Summary

Addus HomeCare generates cash by delivering in-home personal care, hospice, and related medical support services, reimbursed primarily through government and managed care programs. Its moat is rooted in localized scale, regulatory licensing, caregiver networks, and long-standing payer relationships that create switching friction. The business converts steady demand for non-discretionary home-based care into recurring service revenue with relatively predictable utilization patterns. Over time, disciplined capital allocation and density expansion in existing markets drive incremental margin improvement and cash flow durability.

VALUATION

P/E

17.7

Market Cap ($M USD)

$1,719

Forward P/E

12.4

PEG

1.2

PRICE TO SALES

1.2

PRICE TO BOOK

1.6

EV / EBITDA

11.5

5-Year Average P/E

DIVIDEND

Yield

-

Annual Payout

-

Payout Ratio

-

Consecutive Years of Dividend Growth

0

5-Year Dividend Growth Rate

-

Financial Health & Profitability

Earnings Per Share

$5.31

Next Year EPS Growth Estimate

$7.44

Next Year Revenue Growth Estimate

4.70%

Return on Equity (ROE)

8.80%

Operating Margin

9.70%

Debt-to-Equity

0.2

Piotroski F-Score

7

Altman Z-Score

4.8

Return on Invested Capital (ROIC)

8.30%%

Current Ratio

1.8

Quick Ratio

Gainseekers Quantitative Analysis

Summary

The market is pricing ADUS like a steady but unspectacular operator, and that may be a misread. At 17.7x earnings with a Forward P/E of 12.4, the multiple compression implies earnings acceleration that the market is not fully capitalizing into today’s price, especially with a PEG Forward of 1.2 suggesting growth is being priced reasonably rather than aggressively. The Altman Z-Score of 4.8 signals very low bankruptcy risk, and a Piotroski F-Score of 7 reinforces fundamental stability. This is not a distressed balance sheet story — it’s a financially sound healthcare operator trading at a GARP multiple with improving forward valuation optics.

AI Exposure / Tech Reliance

As a Medical Care Facilities operator within Healthcare, ADUS operates in a labor-intensive, service-based segment that is less vulnerable to full AI displacement but highly leverageable through workflow optimization and care coordination software. AI-driven scheduling, patient monitoring, and cost controls can enhance its 8.80% operating margin over time. The resilience lies in human-delivered care augmented by technology rather than replaced by it.

The Bull Case

A disciplined GARP investor buys this because the internal metrics are quietly strong. A Piotroski F-Score of 7 indicates solid profitability, leverage control, and operating efficiency trends, while ROIC at 8.30% exceeds many traditional healthcare service peers in low-margin environments. Operating margins of 8.80% combined with a modest Debt/Equity of 9.70% show prudent balance sheet management, and a Current Ratio of 1.8 confirms liquidity strength. The forward valuation gap (17.7x trailing vs. 12.4x forward) suggests earnings momentum, and with an Altman Z-Score of 4.8, institutions can underwrite this name without solvency anxiety — a classic steady compounder setup with downside protection.

The Bear Case

The red flags are subtle but real. Return on Equity of just 4.70% is underwhelming and suggests limited equity efficiency relative to its 17.7 P/E multiple. A PEG Forward of 1.2 is reasonable but not screamingly cheap, especially when Sales Growth Next Year is listed as $7.44 without a clear high-growth signal, and the lack of dividend support (0 payout, 0 five-year average) means total return depends entirely on execution. If margin compression hits this 8.80% operating margin base in a labor-cost inflation environment, the valuation cushion disappears quickly.

Market Sentiment & Smart Money

Short Interest %

6.70%

Analyst Consensus

1.67

Average Analyst Price Target

$139.46

Institutional Ownership %

104.30%

1-Year Beta

0.53

Insider Buying % (6 Mo)

2.60%%

Distance to 52-Week High

74.10%%

Distance to 52-Week Low

101.50%%