Addus HomeCare Corp. (ADUS)
NASDAQHealth CareMedical - Care FacilitiesSnapshot 2026-09-09
$119.23-0.08%
Close 2026-09-09 · 1-day change
NASDAQHealth CareMedical - Care FacilitiesSnapshot 2026-09-09
Intact: The reason to own it still holds.
Addus grows sales about 7.7% yearly through acquisitions. Profit rises with better efficiency, shown by $34.1M operating income in Q1. The company trades cheaper than peers with a PE of 17.15. Analysts expect about 6.5% revenue growth next year.
Growth could slow if acquisitions fail to add sales. Profit gains may stall if costs rise. The stock trades below peers for a reason.
The price is about 28% below our fair value near $147. The market expects 6.5% revenue growth, matching consensus.
Breaks if: Operating income falls below $30M next year
Breaks if: YoY revenue growth falls below 6% next year
This is not a price target or investment advice.
A long-form read on the 1–3 year hold thesis. It updates when the weekly evidence changes.
ADUS represents a stable investment with a focus on growth through acquisitions and organic revenue increases. The current thesis is intact, supported by strong recent financial performance and management execution.
The market appears to have a neutral valuation stance, with expectations slightly below average compared to peers. There is a low fragility tier, indicating that current pricing does not reflect significant risks.
Fundamentals are likely to remain strong, driven by management's focus on efficiency and cost management. However, there is a moderate risk of missing future earnings estimates, which could impact sentiment.
The thesis hinges on management's ability to maintain guidance and navigate potential economic headwinds, such as a weakening jobs report. Additionally, performance of sector peers could influence ADUS's trajectory.
The most important moves since the prior daily snapshot.
Yes, our read has strengthened. The latest earnings beat supports this improved outlook. There are no new threats identified that would weaken the thesis.
as of 2026-09-09
Review the evidence to watch, what would become a concern, and what would make it less concerning.
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.
Continue to grow the business by acquiring personal care operations in new and existing markets to increase density and geographic coverage.
Stated as a priority in 3 of last 3 quarters. Net service revenues grew from $349.4 million in 2025-Q2 to $377.4 million in 2026-Q2 (+8.0%), supported by acquisitions including HomeCourt Home Care with $9.7 million annualized revenues in 2026-Q1. Management consistently emphasizes acquisitions to increase market density and geographic coverage, and the trajectory is delivering.
“We look forward to the continued addition of size and scale via organic growth and pursuit of acquisition opportunities that can increase density and geographic coverage.”
“Acquisitions remain an integral part of our growth strategy, and we are pleased to welcome HomeCourt Home Care to our personal care operations.”
“Acquisitions remain an integral part of our overall growth strategy, and Addus has achieved a solid record of deriving value from our acquired operations.”
Breaks if: PE rises above peer median without profit growth
Overall, ADUS is positioned well in its sector, but investors should watch for guidance changes and sector performance. Not investment advice.