In-Depth Examination Of 10 Analyst Recommendations For R1 RCM

R1 RCM RCM underwent analysis by 10 analysts in the last quarter, revealing a spectrum of viewpoints from bullish to bearish.

The following table provides a quick overview of their recent ratings, highlighting the changing sentiments over the past 30 days and comparing them to the preceding months.

Analysts' evaluations of 12-month price targets offer additional insights, showcasing an average target of $16.69, with a high estimate of $20.00 and a low estimate of $14.30. A 4.63% drop is evident in the current average compared to the previous average price target of $17.50.

Decoding Analyst Ratings: A Detailed Look

The analysis of recent analyst actions sheds light on the perception of R1 RCM by financial experts. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to R1 RCM. This information offers a snapshot of how analysts perceive the current state of the company.
• Rating: Delving into assessments, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings communicate expectations for the relative performance of R1 RCM compared to the broader market.
• Price Targets: Analysts navigate through adjustments in price targets, providing estimates for R1 RCM's future value. Comparing current and prior targets offers insights into analysts' evolving expectations.

Capture valuable insights into R1 RCM's market standing by understanding these analyst evaluations alongside pertinent financial indicators. Stay informed and make strategic decisions with our Ratings Table.

Stay up to date on R1 RCM analyst ratings.

Get to Know R1 RCM Better

R1 RCM Inc is a provider of technology-driven solutions that transform the patient experience and financial performance of healthcare providers. Its services help healthcare providers generate sustainable improvements in their operating margins and cash flows while also enhancing patient, physician, and staff satisfaction for the customers, Its service offering consists of end-to-end RCM services for health systems, hospitals, and physician groups that provide comprehensive revenue cycle infrastructure to providers, including all revenue cycle personnel, technology solutions, and process workflow. The majority of the revenue comes from the operating fees received.

R1 RCM's Financial Performance

Market Capitalization: With restricted market capitalization, the company is positioned below industry averages. This reflects a smaller scale relative to peers.

Positive Revenue Trend: Examining R1 RCM's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 10.69% as of 31 March, 2024, showcasing a substantial increase in top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Health Care sector.

Net Margin: R1 RCM's net margin is below industry standards, pointing towards difficulties in achieving strong profitability. With a net margin of -5.81%, the company may encounter challenges in effective cost control.

Return on Equity (ROE): R1 RCM's financial strength is reflected in its exceptional ROE, which exceeds industry averages. With a remarkable ROE of -1.26%, the company showcases efficient use of equity capital and strong financial health.

Return on Assets (ROA): R1 RCM's ROA is below industry standards, pointing towards difficulties in efficiently utilizing assets. With an ROA of -0.65%, the company may encounter challenges in delivering satisfactory returns from its assets.

Debt Management: With a below-average debt-to-equity ratio of 0.85, R1 RCM adopts a prudent financial strategy, indicating a balanced approach to debt management.

Understanding the Relevance of Analyst Ratings

Analysts are specialists within banking and financial systems that typically report for specific stocks or within defined sectors. These people research company financial statements, sit in conference calls and meetings, and speak with relevant insiders to determine what are known as analyst ratings for stocks. Typically, analysts will rate each stock once a quarter.

In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.

This article was generated by Benzinga's automated content engine and reviewed by an editor.