Pediatrix Medical Group (MD) AI Stock Analysis

• Market Cap: $1.84B
• Dividend Yield: N/A
• Average Volume (3M): 778.33K
• Price to Earnings (P/E): 11.3
• Beta (1Y): 0.39
• Revenue Growth: -4.21%
• EPS Growth: N/A
• Country: US
• Employees: 4,120
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Care Facilities
• EPS (TTM): 0.67
• Shares Outstanding: 85,877,390
• 10 Day Avg. Volume: 948,168
• 30 Day Avg. Volume: 778,332
• PEG Ratio: -0.17
• Price to Book (P/B): 1.43
• Price to Sales (P/S): 0.54
• P/FCF Ratio: 5.92
• Enterprise Value/Market Cap: 0.88
• Enterprise Value/Revenue: 0.84
• Enterprise Value/Gross Profit: 4.62
• Enterprise Value/Ebitda: 7.53
• 1Y Price Target: $20.00
• Price Target Upside: -7.79% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 4
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 73 Outperform
• Price Target: $19.00 ▼(-12.40% Downside)

Pediatrix Medical Group's overall stock score of 73 reflects its solid financial performance, strong earnings call results, and positive technical indicators. The company's effective cost management and cash flow improvements contribute to its stable financial health. While the valuation is fair, the absence of a dividend yield may deter some investors. The earnings call provided a positive outlook with strategic initiatives and innovation, despite some challenges in revenue and expenses.

Positive Factors

Cash Generation

Strong cash generation indicates robust financial health, providing flexibility for investments and debt management, supporting long-term growth.

Innovative Technology

Adopting innovative technology like BabySteps strengthens Pediatrix's competitive edge in neonatology, potentially improving patient outcomes and market position.

Revenue Outperformance

Exceeding revenue expectations suggests effective operational strategies and strong market demand, enhancing long-term financial stability.

Negative Factors

Revenue Decrease

A decrease in revenue from restructuring can indicate challenges in maintaining growth, potentially impacting future financial performance.

Increased G&A Expenses

Rising G&A expenses may pressure margins and reduce profitability, challenging cost management efforts and long-term financial health.

Negative Revenue Growth

Negative revenue growth can signal market challenges or operational issues, potentially hindering long-term expansion and profitability.

Pediatrix Medical Group Business Overview & Revenue Model

Company Description

Pediatrix Medical Group, Inc., together with its subsidiaries, provides newborn, maternal-fetal, pediatric cardiology, and other pediatric subspecialty care services in the United States and Puerto Rico. It offers neonatal care services, such as clinical care to babies born prematurely or with complications within specific units at hospitals through neonatal physician subspecialists, neonatal nurse practitioners, and other pediatric clinicians. The company also provides maternal-fetal care services, including inpatient and office-based clinical care to expectant mothers and unborn babies through affiliated maternal-fetal medicine subspecialists, as well as obstetricians and other clinicians, including maternal-fetal nurse practitioners, certified nurse mid-wives, ultrasonographers, and genetic counselors. In addition, it offers pediatric cardiology care services comprising inpatient and office-based pediatric cardiology care of the fetus, infant, child, and adolescent patient with congenital heart defects and acquired heart disease, as well as adults with congenital heart defects through affiliated pediatric cardiologist subspecialists and other related clinical professionals; and specialized cardiac care to the fetus, neonatal and pediatric patients. Further, the company provides other pediatric subspecialty care services through pediatric subspecialists, such as pediatric intensivists, pediatric hospitalists, pediatric surgeons, and pediatric ophthalmologists, as well as pediatric ear, nose, and throat physicians; and support services in the areas of hospitals, primarily in the pediatric emergency rooms, labor and delivery areas, and nursery and pediatric departments. As of February 17, 2022, it operated a network of approximately 2,700 physicians. The company was formerly known as MEDNAX, Inc. and changed its name to Pediatrix Medical Group, Inc. in July 2022. Pediatrix Medical Group, Inc. was founded in 1979 and is based in Sunrise, Florida.

How the Company Makes Money

Pediatrix Medical Group generates revenue primarily through the provision of medical services in hospitals and outpatient settings. The company is compensated for its services via reimbursements from private health insurers, government programs like Medicaid and Medicare, and out-of-pocket payments from patients. Key revenue streams include fees for inpatient consults, outpatient services, and telehealth consultations. Additionally, Pediatrix benefits from partnerships with hospitals and health systems, which often contract the company's specialists to provide care within their facilities, further enhancing its revenue potential. The company also focuses on maintaining high-quality care to improve patient outcomes, which can lead to better reimbursement rates from payers.

Pediatrix Medical Group Financial Statement Overview

Summary

Pediatrix Medical Group exhibits a solid financial performance with improvements in profitability and cash flow generation. The company has managed to enhance its margins and reduce leverage, contributing to a stronger financial position. While revenue growth has been slightly negative, the overall trajectory remains positive with effective cost management and cash flow improvements. The financial statements reflect a stable and improving financial health, positioning the company well for future growth.

Income Statement

Pediatrix Medical Group's income statement shows a mixed performance. The TTM (Trailing-Twelve-Months) data indicates a slight decline in revenue growth rate, but the company has managed to improve its gross profit margin to 24.00% from 22.57% in the previous year. The net profit margin has turned positive at 5.66% after a negative margin in the previous year, indicating improved profitability. However, EBIT and EBITDA margins remain relatively low, suggesting room for operational efficiency improvements.

Balance Sheet

The balance sheet reflects a stable financial position with a debt-to-equity ratio of 0.78, which is an improvement from previous years, indicating reduced leverage. The return on equity (ROE) has improved significantly to 14.09%, showcasing effective use of equity to generate profits. The equity ratio stands at a healthy level, suggesting a solid capital structure. Overall, the balance sheet indicates a strong financial foundation with reduced financial risk.

Cash Flow

Cash flow analysis reveals a positive trend with a 16.07% growth in free cash flow, indicating improved cash generation capabilities. The operating cash flow to net income ratio is 0.74, reflecting efficient cash conversion from earnings. The free cash flow to net income ratio is high at 0.93, suggesting strong cash flow relative to net income. Overall, the cash flow statement demonstrates robust cash management and liquidity.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.92B	2.01B	1.99B	1.97B	1.91B	1.73B
Gross Profit	349.02M	454.34M	421.56M	467.03M	513.24M	449.32M
EBITDA	214.15M	-28.37M	29.89M	235.64M	249.88M	200.37M
Net Income	162.19M	-99.07M	-60.41M	66.33M	130.96M	-9.58M
Balance Sheet
Total Assets	2.20B	2.15B	2.22B	2.35B	2.72B	3.35B
Cash, Cash Equivalents and Short-Term Investments	463.10M	348.51M	177.74M	9.82M	387.39M	1.23B
Total Debt	642.27M	662.31M	701.65M	753.57M	1.07B	1.80B
Total Liabilities	1.31B	1.39B	1.37B	1.46B	1.83B	2.60B
Stockholders Equity	890.67M	764.94M	849.06M	891.63M	896.69M	747.72M
Cash Flow
Free Cash Flow	276.53M	184.55M	104.00M	137.23M	44.49M	175.83M
Operating Cash Flow	293.14M	206.57M	137.32M	166.94M	76.74M	204.62M
Investing Cash Flow	-9.95M	-35.41M	-48.18M	-56.95M	-53.07M	815.51M
Financing Cash Flow	-43.82M	-14.48M	-25.71M	-487.55M	-760.12M	-4.16M

Pediatrix Medical Group Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 21.69
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MD, the sentiment is Positive. The current price of 21.69 is above the 20-day moving average (MA) of 17.53, above the 50-day MA of 17.09, and above the 200-day MA of 14.78, indicating a bullish trend. The MACD of 1.00 indicates Negative momentum. The RSI at 78.81 is Negative, neither overbought nor oversold. The STOCH value of 88.89 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for MD.

Pediatrix Medical Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ASTH	74 Outperform	$1.65B	64.12	3.50%	―	51.97%	-64.10%
MD	73 Outperform	$1.84B	11.32	19.98%	―	-4.21%	―
NHC	73 Outperform	$1.89B	18.21	10.65%	2.00%	25.19%	13.44%
HCSG	72 Outperform	$1.27B	33.29	8.07%	―	6.26%	-19.33%
SEM	67 Neutral	$1.66B	15.35	5.57%	1.79%	-22.96%	-59.35%
AVAH	57 Neutral	$1.94B	122.47	―	―	11.53%	―
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

Pediatrix Medical Group Corporate Events

Pediatrix Medical Group Announces Share Repurchase Program

On August 18, 2025, Pediatrix Medical Group announced a $250 million share repurchase program authorized by its Board of Directors. The program, which aims to utilize the company’s strong cash flow and low debt levels, will be executed over a three-year term through various transaction methods. This strategic move is intended to provide long-term returns to shareholders and strengthen the company’s future business prospects.

The most recent analyst rating on (MD) stock is a Hold with a $15.00 price target. To see the full list of analyst forecasts on Pediatrix Medical Group stock, see the MD Stock Forecast page.