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Addus Homecare (ADUS)
NASDAQ:ADUS
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Addus Homecare (ADUS) AI Stock Analysis

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ADUS

Addus Homecare

(NASDAQ:ADUS)

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Outperform 80 (OpenAI - Gpt-5.6Sol)
Rating:80Outperform
Price Target:
$137.00
▲(16.09% Upside)
Action:Reiterated
Date:09/07/26
The score is driven primarily by strong financial performance (revenue growth, improving profitability over time, robust free cash flow, and materially lower leverage). Technicals add support with an established uptrend and positive MACD, while valuation is only moderately attractive at a ~20.9 P/E and no dividend yield provided.
Positive Factors
Revenue and earnings growth
Sustained revenue expansion alongside a higher net margin indicates that Addus is converting scale into stronger profitability. This combination supports reinvestment, improves the earnings base, and suggests the business can compound results if growth and cost control continue over the next several quarters.
Negative Factors
Senior leadership transition
The departure of a senior operating leader creates execution and succession risk during a period of expansion. Although the interim appointment provides continuity, Addus must maintain service delivery, integration discipline, and growth execution while establishing a durable long-term operating leadership structure.
Read all positive and negative factors
Positive Factors
Negative Factors
Revenue and earnings growth
Sustained revenue expansion alongside a higher net margin indicates that Addus is converting scale into stronger profitability. This combination supports reinvestment, improves the earnings base, and suggests the business can compound results if growth and cost control continue over the next several quarters.
Read all positive factors

Addus Homecare (ADUS) vs. SPDR S&P 500 ETF (SPY)

Addus Homecare Business Overview & Revenue Model

Company Description
Addus HomeCare Corporation, through its various subsidiaries, offers essential personal support services across the United States. The company primarily assists seniors, individuals with chronic illnesses or disabilities, and those at risk of hosp...
How the Company Makes Money
Addus HomeCare makes money by delivering home-based care services and receiving reimbursement from third-party payers based on authorized visits/hours of care or episodes of care, depending on the service line. Key revenue streams: 1) Personal Ca...

Addus Homecare Earnings Call Summary

Earnings Call Date:May 04, 2026
(Q1-2026)
|
% Change Since: |
Next Earnings Date:Nov 02, 2026
Earnings Call Sentiment Positive
The call presented a broadly positive operational and financial picture: solid top-line growth (+7.7% revenue), meaningful EPS and adjusted EBITDA improvements, strong operating cash flow ($52.4M) and a strengthened balance sheet with reduced bank debt and sizable revolver availability. Personal Care and Hospice were key growth drivers (Personal Care same-store +6.5%; Hospice ADC +8.2%). Management also highlighted progress on productivity (caregiver app), hiring, and targeted M&A (entry into Indiana). Challenges noted include a weather-driven $1.5M revenue hit, elevated DSOs (timing-driven), a YoY decline in home health revenue, and a reversion in hospice revenue-per-day dynamics. Overall, positives (multiple strong metrics, cash flow and M&A runway, operating improvements) outweigh the contained challenges and one-time items.
Positive Updates
Revenue Growth
Total revenue of $363.6M for Q1 2026, up 7.7% vs. $337.7M in Q1 2025.
Negative Updates
Weather-Related Revenue Impact
Widespread late-January weather event caused missed personal care visits and approximately $1.5M of lost revenue in Q1 2026; some missed visits could not be made up.
Read all updates
Q1-2026 Updates
Negative
Revenue Growth
Total revenue of $363.6M for Q1 2026, up 7.7% vs. $337.7M in Q1 2025.
Read all positive updates
Company Guidance
Management guided that full‑year 2026 adjusted EBITDA margin should remain above 12% and the company expects an effective tax rate in the mid‑20% range (Q1 rate was 22.7%); gross margin was 31.9% in Q1 and is expected to remain relatively stable while adjusted G&A ran 19.6% of revenue (G&A 21.4%). Q1 results that frame the outlook included revenue of $363.6M (+7.7% YoY), adjusted EBITDA $44.5M (+9.7%), adjusted EPS $1.62 (+14.1%), operating cash flow $52.4M, cash on hand $103.1M, revolver capacity $650M (availability $547.8M), and total bank debt $94.3M (down $30M QoQ, with $10M revolver paydown in Q2 to date). Segment metrics noted: Personal Care $281.1M (77.3% of rev, +8.8% overall, same‑store +6.5%, same‑store hours +2.2% with a 2.0–2.5% hours target), Hospice $65.8M (18.1%, same‑store +7.7%, ADC 3,804, median LOS 23 days), Home Health $16.7M (4.6%).

Addus Homecare Financial Statement Overview

Summary
Strong overall fundamentals: accelerating revenue, rising net profitability over time, robust free cash flow, and a sharply de-risked balance sheet after a major debt reduction. Key watch item is operating margin variability and ensuring cash flow continues to support earnings as the company scales.
Income Statement
84
Very Positive
Balance Sheet
90
Very Positive
Cash Flow
86
Very Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue1.48B1.42B1.15B1.06B951.12M864.50M
Gross Profit477.75M461.87M375.02M339.88M299.74M269.85M
EBITDA167.37M153.44M120.61M106.56M83.14M80.70M
Net Income105.31M95.91M73.60M62.52M46.02M45.13M
Balance Sheet
Total Assets1.46B1.44B1.41B1.02B937.99M947.59M
Cash, Cash Equivalents and Short-Term Investments99.57M81.62M98.91M64.79M79.96M168.90M
Total Debt108.82M208.62M273.13M175.18M178.05M263.55M
Total Liabilities308.33M352.00M442.14M317.73M304.45M373.24M
Stockholders Equity1.15B1.09B970.49M706.69M633.54M574.34M
Cash Flow
Free Cash Flow153.06M103.79M110.38M102.79M96.81M34.84M
Operating Cash Flow162.41M111.51M116.43M112.25M105.11M39.49M
Investing Cash Flow-48.01M-32.50M-354.61M-119.24M-106.59M-42.02M
Financing Cash Flow-106.00M-96.30M272.30M-8.18M-87.45M26.34M

Addus Homecare Technical Analysis

Technical Analysis Sentiment
Positive
Last Price118.01
Price Trends
50DMA
114.29
Positive
100DMA
104.39
Positive
200DMA
105.67
Positive
Market Momentum
MACD
1.09
Positive
RSI
57.53
Neutral
STOCH
55.89
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ADUS, the sentiment is Positive. The current price of 118.01 is below the 20-day moving average (MA) of 118.17, above the 50-day MA of 114.29, and above the 200-day MA of 105.67, indicating a bullish trend. The MACD of 1.09 indicates Positive momentum. The RSI at 57.53 is Neutral, neither overbought nor oversold. The STOCH value of 55.89 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ADUS.

Addus Homecare Risk Analysis

Addus Homecare disclosed 32 risk factors in its most recent earnings report. Addus Homecare reported the most risks in the "Ability to Sell" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Addus Homecare Peers Comparison

Overall Rating
UnderperformOutperform
Sector (51)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
85
Outperform
$3.42B24.4712.94%1.17%7.19%32.91%
80
Outperform
$2.22B21.019.57%15.88%25.01%
77
Outperform
$2.96B10.29150.20%19.52%1337.90%
65
Neutral
$1.18B463.00-1.27%2.32%11.32%-92.59%
62
Neutral
$1.33B41.829.51%37.90%15.84%
51
Neutral
$7.86B-0.30-43.30%2.27%22.53%-2.21%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
ADUS
Addus Homecare
119.32
6.27
5.55%
NHC
National Healthcare
220.97
108.86
97.10%
USPH
US Physical Therapy
78.71
-3.53
-4.29%
PNTG
Pennant Group
39.31
14.48
58.32%
AVAH
Aveanna Healthcare Holdings
13.66
5.40
65.38%

Addus Homecare Corporate Events

Business Operations and StrategyExecutive/Board Changes
Addus HomeCare Announces Leadership Transition and Interim COO
Neutral
Aug 13, 2026
Addus HomeCare announced that President and Chief Operating Officer Heather Dixon left the company on August 7, 2026, marking a significant change in its senior leadership. The board and management publicly thanked Dixon for her service, noting he...
Business Operations and StrategyFinancial DisclosuresM&A Transactions
Addus HomeCare Reports Strong Q2 2026 Financial Growth
Positive
Aug 3, 2026
Addus HomeCare reported on August 3, 2026, that second-quarter 2026 net service revenues rose 8.0% year over year to $377.4 million, with net income up 25.2% to $27.6 million, or $1.49 per diluted share, and adjusted EBITDA increasing 11.9% to $49...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Sep 07, 2026