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Accendra Health
(NYSE:ACH)
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Rating:43Neutral
Price Target:
$0.59
â–¼(-51.16% Downside)
Action:Reiterated
Date:09/30/26
The score is held down primarily by severely weak financial performance (large losses, negative equity, and current cash burn). Technicals add additional downside pressure with a strong downtrend despite oversold readings. The earnings call provides some offset via cost cuts, deleveraging progress, and guidance pointing toward breakeven free cash flow, but near-term collections and liquidity risks remain material.
Positive Factors
Structural Cost Reduction
Removing more than $125 million of annualized costs can permanently lower the operating base and improve profitability once revenue stabilizes. Additional actions underway may further reduce cost to serve, creating operating leverage and supporting the company’s transition toward sustainable cash generation.
Negative Factors
Negative Equity and Deep Losses
Negative equity and a very large net loss signal a stressed capital structure and limited financial resilience. Although gross margins remain strong, operating costs or other charges are overwhelming them, leaving the company dependent on successful restructuring and improved earnings to restore stability.
Read all positive and negative factors
Positive Factors
Negative Factors
Structural Cost Reduction
Removing more than $125 million of annualized costs can permanently lower the operating base and improve profitability once revenue stabilizes. Additional actions underway may further reduce cost to serve, creating operating leverage and supporting the company’s transition toward sustainable cash generation.
Read all positive factors
Accendra Health (ACH) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$47.07M
Dividend Yield0.02%
Average Volume (3M)1.37M
Price to Earnings (P/E)―
Beta (1Y)1.18
Revenue Growth-69.68%
EPS Growth74.88%
CountryUS
Employees6,500
SectorHealthcare
Sector Strength45
IndustryMedical - Distribution
Share Statistics
EPS (TTM)-3.91
Shares Outstanding76,904,700
10 Day Avg. Volume1,564,022
30 Day Avg. Volume1,369,623
Financial Highlights & Ratios
PEG Ratio>-0.01
Price to Book (P/B)-0.47
Price to Sales (P/S)0.08
P/FCF Ratio-0.71
Enterprise Value/Market Cap<0.01
Enterprise Value/Revenue<0.01
Enterprise Value/Gross Profit<0.01
Enterprise Value/Ebitda<0.01
Forecast
1Y Price Target
$1.45Price Target Upside19.83% Upside
Rating ConsensusHold
Number of Analyst Covering5
EPS Forecast (FY)0.02
Revenue Forecast (FY)$2.49B
Accendra Health Business Overview & Revenue Model
Company Description
Accendra Health, Inc., along with its subsidiaries, operates globally as a comprehensive provider of healthcare solutions. The organization is structured into two primary operational divisions: Products & Healthcare Services and Patient Direct. Th...
Accendra Health Earnings Call Summary
Earnings Call Date:Aug 10, 2026
(Q2-2026)
| % Change Since: |
Next Earnings Date:Nov 04, 2026
Earnings Call Sentiment Neutral
The call highlighted meaningful strategic and financial progress — notably >$125M of annualized cost reductions, a successful balance sheet optimization (debt down ~ $400M and extended maturities), improving growth in sleep and diabetes, and commercial wins and operational initiatives positioned to drive late‑2026/2027 upside. However, near‑term performance was impaired by several material operational headwinds: unusually large payor audit activity that depressed collections (≈$10M in Q2, $20M H1), worsening AR and cash pressure, category weakness in respiratory and wound, and later-than-expected timing of cost benefits. Management has clear remediation plans (cost actions, collections fixes, logistics partnerships, asset sales, ATM program) and expects a stronger Q4 and improved 2027, but the near-term mix of execution and cash challenges tempers the positive long‑term narrative.Positive Updates
Cost Reduction Actions
Identified and eliminated more than $125 million of annualized costs; additional targeted cost reductions executed ~1 month into Q3 and more opportunities under evaluation to streamline operations and reduce cost to serve.
Negative Updates
Revenue Below Expectations and Guidance Revision
Company stated Q2 results did not meet internal expectations; revised full-year 2026 revenue guidance to $2.45 billion–$2.55 billion and noted a later-than-expected timing of revenue recovery and cost benefits, with much of the improvement expected in Q4.
Read all updates
Q2-2026 Updates
Positive
Negative
Cost Reduction Actions
Identified and eliminated more than $125 million of annualized costs; additional targeted cost reductions executed ~1 month into Q3 and more opportunities under evaluation to streamline operations and reduce cost to serve.
Read all positive updates
Company Guidance
Accendra revised 2026 guidance to revenue of $2.45–$2.55 billion and full‑year adjusted EBITDA of $300–$320 million, with fully‑levered free cash flow now expected to be breakeven to slightly positive; Q2 adjusted EBITDA was just over $60 million (adjusted EBITDA less PSE CapEx $16.3 million) and Q2 revenue excluding the large payor grew ~2% (sleep ~+5.5%, diabetes +4%, insulin pumps strong, CGM weak, respiratory and wound down, ostomy/urology high single‑digit). Management said collection‑waterfall issues reduced results by roughly $10 million in Q2 and ~$20 million in H1, has eliminated >$125 million of annualized costs, completed a balance‑sheet optimization that left total debt at $1.72 billion (down ~$400 million since March) with net debt >$55 million lower, a ~5.5‑year weighted average life and no maturities until 2029, and Q2 cash interest included a $12 million cash settlement; they expect collections and cash flow to recover late 2026 into 2027, believe the business can generate roughly $100 million of annual free cash flow in a normalized year, and plan an ATM program plus an NOL rights plan to protect >$200 million of NOL carryforwards.Accendra Health Financial Statement Overview
Summary
Income Statement
22
Negative
Balance Sheet
18
Very Negative
Cash Flow
24
Negative
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 2.65B | 2.76B | 10.70B | 10.33B | 9.96B | 9.79B |
| Gross Profit | 1.19B | 1.29B | 2.22B | 2.13B | 1.83B | 1.51B |
| EBITDA | 229.78M | 219.75M | 51.22M | 390.57M | 368.45M | 415.46M |
| Net Income | -302.14M | -1.10B | -362.69M | -41.30M | 22.39M | 221.59M |
Balance Sheet | ||||||
| Total Assets | 2.11B | 2.45B | 4.66B | 5.09B | 5.39B | 3.54B |
| Cash, Cash Equivalents and Short-Term Investments | 7.65M | 281.99M | 49.38M | 243.04M | 69.47M | 55.71M |
| Total Debt | 1.78B | 2.23B | 2.14B | 2.41B | 2.79B | 1.15B |
| Total Liabilities | 2.66B | 2.91B | 4.09B | 4.17B | 4.44B | 2.60B |
| Stockholders Equity | -550.94M | -460.98M | 565.23M | 924.17M | 945.60M | 938.50M |
Cash Flow | ||||||
| Free Cash Flow | -223.12M | -303.12M | -66.67M | 532.82M | 158.42M | 74.49M |
| Operating Cash Flow | -180.42M | -101.79M | 161.50M | 740.71M | 325.01M | 124.18M |
| Investing Cash Flow | 268.22M | 144.42M | -116.53M | -137.25M | -1.80B | -53.63M |
| Financing Cash Flow | -157.29M | 188.08M | -267.60M | -417.33M | 1.50B | -129.48M |
Accendra Health Technical Analysis
Negative
1.21
Price Trends
1.60
Negative
2.37
Negative
2.49
Negative
Market Momentum
-0.26
Negative
16.75
Positive
2.49
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ACH, the sentiment is Negative. The current price of 1.21 is above the 20-day moving average (MA) of 0.94, below the 50-day MA of 1.60, and below the 200-day MA of 2.49, indicating a bearish trend. The MACD of -0.26 indicates Negative momentum. The RSI at 16.75 is Positive, neither overbought nor oversold. The STOCH value of 2.49 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ACH.
Accendra Health Risk Analysis
Accendra Health disclosed 37 risk factors in its most recent earnings report. Accendra Health reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Accendra Health Peers Comparison
UnderperformOutperform
Sector (51)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
51 Neutral | $7.86B | -0.30 | -43.30% | 2.27% | 22.53% | -2.21% |
* Healthcare Sector Average
Performance Comparison
Accendra Health Corporate Events
Business Operations and StrategyExecutive/Board Changes
Accendra Health appoints new CEO and commercial chief
Positive
Sep 17, 2026
On September 17, 2026, Accendra Health named board member Kenneth Gardner-Smith as its next President and Chief Executive Officer, with his transition into the role expected early in the fourth quarter of 2026. He will succeed long-serving CEO Edw...
Business Operations and StrategyExecutive/Board ChangesFinancial DisclosuresM&A Transactions
Accendra Health Halts Equity Program, Highlights Liquidity Strength
Positive
Aug 17, 2026
On August 17, 2026, Accendra Health announced it will not proceed with a planned at-the-market equity issuance program that was intended to modestly reduce debt, saying the decision, driven by market conditions, will not affect its results or guid...
Business Operations and StrategyFinancial DisclosuresRegulatory Filings and Compliance
Accendra Health Adopts Tax Asset Preservation Rights Plan
Positive
Aug 10, 2026
On August 9–10, 2026, Accendra Health’s board adopted a Section 382 Rights Agreement, declaring a dividend of one preferred share purchase right for each common share outstanding as of August 20, 2026. The Tax Asset Preservation Plan, ...
Business Operations and StrategyExecutive/Board ChangesFinancial Disclosures
Accendra Health Reports Q2 2026 Results, Updates Outlook
Negative
Aug 10, 2026
Accendra Health reported second-quarter 2026 results on August 10, 2026, showing net revenue from continuing operations of $613.2 million, down from $681.9 million a year earlier, and a GAAP loss from continuing operations of $89.1 million, compar...
Business Operations and StrategyExecutive/Board Changes
Accendra Health Announces CEO Retirement and Succession Plan
Neutral
Aug 10, 2026
On August 10, 2026, Accendra Health announced that President, Chief Executive Officer and director Edward A. Pesicka plans to retire and leave the board by the end of 2026, after more than seven years with the company, with the option to remain as...
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.