Buy AdaptHealth CorporationShort Term Trading Advice by Naranj Capital
Buy AdaptHealth Corporation
● Buy Range- 10 - 10.5
● Target- 11.3 - 11.5
● StopLoss- 9.5
● Potential Return- 8-10%
● Duration- 15-18 Trading Days
AHCO trade ideas
Where were you?Inverse HS in the monthly timeframe. Earning on August 6th. I'm holding through earnings. SL if a weekly candle closes below 10.
#AHCO trade plan We detected unusual high option activity for small cap #AHCO, expiration 15-Dec-23.
Based on our team's research of the options market, we expect buy activity at the support level or sell activity at the resistance. We primarily consider levels to be activity zones, but not to be a super-fine level for establishing a limit order.
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AHCO | Good Long Entry | LONGAdaptHealth Corp., together with its subsidiaries, provides home medical equipment (HME), medical supplies, and home and related services in the United States. The company provides sleep therapy equipment, supplies, and related services, including CPAP and bi-PAP services to individuals suffering from obstructive sleep apnea; medical devices and supplies, including continuous glucose monitors and insulin pumps to patients for the treatment of diabetes; HME to patients discharged from acute care and other facilities; oxygen and related chronic therapy services in the home; and other HME devices and supplies on behalf of chronically ill patients with wound care, urological, incontinence, ostomy, and nutritional supply needs. It serves beneficiaries of Medicare, Medicaid, and commercial insurance payors. The company is headquartered in Plymouth Meeting, Pennsylvania.
WATCH $AHCOBullish
Fundamental
- High inflationary Macro environment / no fear sentiment
- Funds Accumulation/Distribution
- Decent PE
- Decent PEG
- Decent P/FCF
- Top Sector / Industry / Leader
- 5/5 rules / blocking all the noise
Technical
- Momentum Theory Indicator - momentum bottom out
- Momentum bullish divergence
- Price action formation ( falling wedge )
- Broke Trend line
- Above 200MA
- Above POC
- ST ok
- Bullish Candlestick pattern / formation
Entry idea
- For members
Stop loss depending on entry and risk appetite. But always set meaningful stops.
"I’ve heard it said that hell is to meet the person you could have been at death and realize you’re not even a shadow of that person and that heaven is to meet the person you could have been and to see yourself staring back at you."
Cheers and happy trading!
$AHCO Moving Higher$AHCO I like how this one is climbing up the right side of the chart. It looks to me that there is no resistance on this chart before the R1 area. Then maybe chop as it moves up to R2 area. I am long this name as it moved over the round number of $20. My stop will be a close under the 8EMA (green) and I will take ½ position off at R1 and let remainder of position ride hopefully, to R2. I will use a trailing stop after it reaches R1. Let us see how it works out. Ideas, not investing / trading advice.
AdaptHealth Corp. engages in the provision of home healthcare equipment, supplies and related services. It focuses on sleep therapy equipment to individuals suffering from obstructive sleep apnea (OSA), home medical equipment to patients discharged from acute care and other facilities, oxygen, and related chronic therapy services in the home, and HME medical devices and supplies on behalf of chronically ill patients with diabetes care, wound care, urological, ostomy, and nutritional supply needs. The company was founded in 2012 and is headquartered in Plymouth Meeting, PA.
Watch $AHCOBullish
Fundamental
- 32% industry
- 4% within sector
- Positive PE ratio
- Positive PEG ratio
- Decent cash flow
TA
- Falling wedge pending break from trend
- Momentum still in red zone pending to blue
Entry trigger : TBA
$AHCO might be looking to aim higherWe can clearly see and A-B-C move as a zig-zag after a nice 5 wat moves to upside, with trendline broken by a nice push to the upside along with an increase in volume gives us a great look for a first Wave move.
AHCO ( Monthly ) - Wave Count As on June 2021
Wave 0 = 7.82
Wave 1 = 41.58
Wave 2 Final Support of 0.618 = 20.8 levels
Wave 3 Target = (1.618 * ( Wave 1 - Wave 0 )) + Wave 2
= (1.618 * ( 41.58 - 7.82 )) + 20.81
= 54.62 + 20.81
= 75.43
Therefore , Wave 3 Target = 75.43
AHCO. Add to watchlist. Wait for daily bull candle.Add this to your watchlist and wait for bullish momentum.
You can choose whatever entry excuse you like, but for the way this one is prescribed is to wait for bullish daily reversal candles (hammer, engulfing, piercing, doji.) With any red candles telling us to wait still.
We are breaking the rules a little bit. You are supposed to throw away any stocks that are below the 50, and this one has just acted like the 50 didn't even exist.
But, it is bouncing at the 200, which maybe should be even stronger support than the 50? Idk, this setup isn't perfect. Maybe I shouldn't post it, but I'm going to.
AdaptHealth completes acquisition of AeroCareThe Home Medical Equipment and Supply industry saw a tremendous amount of growth in 2020 thanks to the COVID-19 pandemic. Growth was especially strong in home delivered medical supplies. Even as the pandemic gets closer to an end, there is still a lot of growth to be had in the industry.
The aging population of the United States is one area that will continue to provide growth for HME. As the population of 65+ people grows from 56.1m to 73.1m, the accessibility and cost savings of treating common ailments at home will drive demand. There is an estimated 26% of the adult population from 30-70 years with sleep apnea, but around 80% continue to be undiagnosed. Finally, the third area of growth is in the expanding number of Americans diagnosed with diabetes. It's estimated that the disease and it's complications runs up to $327 billion in medical costs annually.
AdaptHealth Corp
AdaptHealth is a provider of home healthcare equipment, supplies and related services in the United State. Most of their product revenue comes from sleep therapy equipment, respiratory equipment and diabetes equipment and supplies. They have a current market cap of $3.8b, ~$800 million of annual revenue (est 2020), and gross margin of 23.26%.
AdaptHealth was launched into the public market via a special purpose acquisition company called DFB Healthcare Acquisitions Corp. The reverse merger was completed on November 8, 2019. Since then, they have continued to add acquisitions of small and mid-size HME, diabetes and supply companies. In the last two years, acquisitions have add $910 million of annual revenues to the company. They estimate that another 6000 small to mid-size HME, diabetes and supply companies are potential future acquisition targets.
On February 1, 2021, AdaptHealth completed the acquisition of AeroCare holdings for approximately $1.1 billion in cash and 31 million shares. As a result of the acquisition, AdaptHealth increased 2021 revenue guidance from $1.30b to $1.40b to a range of $2.05b to $2.20b. AeroCare was previously noted as one of their largest competitors.
Other competitors include Apria Healthcare, Lincare and Rotech.
Fundamentals
Market Cap: $3.8B
Gross Margin (TTM): 23.26%
Price/Sales (TTM): 1.98
Price/Book: 15.73
LT Debt/Equity: 161.10% (fund M&A)
EPS last 4 quarters:
12/2019 -0.10
3/2020 -0.01
6/2020 +0.08
9/2020 -0.04
Sales last 4 quarters:
12/2019 149.5m (+38% YoY)
3/2020 191.4m (+60%)
6/2020 232.1m (+87%)
9/2020 284.4m (+108%)
Technical
Breakout from Consolidation
39.86 Buy Point (up to 41.85)
New All-time High
New RS Line High (Green dot)
ATR Stop of only 11.06%
Buy Point: 39.86
ATR (x2.7) Stop: 11.06%
Stop Loss: 35.45
Position Size: R9.04
$AHCOEntry price: 30.13
Fundamentals:
Sector: Medical
EPS % Chg (Last Qtr): 76%
3 Year EPS Growth Rate: 0%
EPS Est % Chg (Current Yr): 0%
Sales % Chg (Last Qtr): 108%
3-Year Sales Growth Rate: 75%
Technicals: Hammer/Support
AHCO, sideways movement to come?AHCO, im in this from before the gap up. Watching to see how it handles the gap. Would like to see sideways movement while the moving averages catch up. Will it hold up? Got me.
BUY to ADAPTHEALTH CORP DailyHey my friends, ADAPTHEALTH CORP is in a fake downtrend with a very high volume of sales and a failed attempt by sellers. In the TIMEFRAME 1 Min rejection of sellers, it goes towards its latest low and starts rising again. Big potential to recover the losses of the last session and the one before, between strong resistance to pass. If buyers are there, which is the middle of the median.
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