American Renal Associates Holdings Stock Analysis, Valuation (NYSE:ARA)

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$20.24 $0.3 (1.5%) ARA stock closing price Sep 18, 2018 (Closing)

Watch the robo advisor video of American Renal Associates Holdings stock analysis on Amigobulls. This is our analyst opinion covering the buy and sell arguments for ARA stock.

Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.

American Renal Associates Holdings Inc Stock Rating 3/5

We at Amigobulls use various financial measures including profit margins, revenue growth and dividends for ARA stock analysis. We also use relative valuation metrics like PE ratio and price to sales ratio for American Renal Associates Holdings valuation analysis. Our American Renal Associates Holdings stock rating is based on company's fundamentals like balance sheet risk and cash flow position.

Should you buy ARA stock?

  • The TTM operating margin was good at 12.05 for American Renal Associates Holdings.
  • When compared with the Medical sector average PS ratio of 6.9, the price-to-sales ratio of 0.9 for ARA stock is attractive.
  • American Renal Associates Holdings's return on invested capital of 10.8 is good.
  • The company has a healthy free cash flow margin of 13.3.

Should you sell ARA stock?

  • Over the last 12 months, American Renal Associates Holdings had an average Net loss of -1.1%.
  • With a debt/equity ratio of 5.78, American Renal Associates Holdings is highly leveraged in comparison to Medical peers.
  • A negative ROE of -7.2 indicates that the company is not able to generate profits with the money shareholders have invested.

Comments on this video and American Renal Associates Holdings stock

Investors can make use of the Amigobulls American Renal Associates Holdings stock analysis to ascertain how ARA stock fares in fundamental analysis investment criteria. Fundamentals of a company give detailed information which helps in making invesment decisions.

American Renal Associates Holdings revenue growth and profit or net income are the main underlying forces which could detremine the direction of the share price. One can also combine technical analysis and fundamental analysis to get a holistic picture about ARA stock.