Q4 2025 delivered adjusted EBITDA of $66M and full-year $276M driven by favorable payer mix, acuity, and disciplined cost control. 2026 guidance projects flat revenue at $1.9B and 5% EBITDA growth with steady operational metrics and no M&A included. The company faces operational challenges from elevated labor costs amid physician shortage dynamics.
Cyborg Score Rationale
The company operates with 13.21% EBITDA margins and generated $252.91M EBITDA. Recent profit pressures stem from notably higher bonus payouts to practitioners due to a tightening labor market. Strong free cash flow fundamentals support the business model despite near-term growth headwinds.
Top Insights
Trading at substantial valuation discount: Current P/E of 9.7x well below industry average of 23.7x and analyst fair ratio of 17.5x
Elevated labor costs pressuring profitability: Higher physician bonus payouts from tight labor market drove Q4 EPS miss despite revenue beat