Alternate site health provider Option Care Health (NASDAQ: OPCH) will be reporting earnings this Thursday before market hours. Here’s what investors should know.
Option Care Health beat analysts’ revenue expectations by 4.6% last quarter, reporting revenues of $1.42 billion, up 15.4% year on year. It was a strong quarter for the company, with a solid beat of analysts’ revenue estimates and full-year revenue guidance meeting analysts’ expectations.
Is Option Care Health a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, analysts are expecting Option Care Health’s revenue to grow 10.6% year on year to $1.41 billion, slowing from the 17% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.43 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Option Care Health has a history of exceeding Wall Street’s expectations, beating revenue estimates every single time over the past two years by 4% on average.
Looking at Option Care Health’s peers in the healthcare providers & services segment, some have already reported their Q3 results, giving us a hint as to what we can expect. BrightSpring Health Services delivered year-on-year revenue growth of 14.7%, beating analysts’ expectations by 5.3%, and Chemed reported revenues up 3.1%, in line with consensus estimates.
Read our full analysis of BrightSpring Health Services’s results here and Chemed’s results here.
There has been positive sentiment among investors in the healthcare providers & services segment, with share prices up 6.1% on average over the last month. Option Care Health is up 2.8% during the same time and is heading into earnings with an average analyst price target of $38.33 (compared to the current share price of $28.32).
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