American Well Corp. (AMWL) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

GoodRx Holdings, Inc.

Nextdoor Holdings, Inc.

Vimeo, Inc.

American Well Corp.

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Vizio Holding Corp.

PropertyGuru Group Ltd.

PubMatic, Inc.

Sharecare, Inc.

Cardlytics, Inc.

Arco Platform Ltd.

Why is American Well Corp. ?

Poor long term growth as Operating profit has grown by an annual rate 3.92% of over the last 5 years

The company has declared Positive results for the last 4 consecutive quarters

OPERATING CASH FLOW(Y) Highest at USD -75.62 MM
ROCE(HY) Highest at -38.52%
INVENTORY TURNOVER RATIO(HY) Highest at 43.89 times

Risky - Negative EBITDA

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -58.17%, its profits have risen by 40%

Below par performance in long term as well as near term

Along with generating -58.17% returns in the last 1 year, the stock has also underperformed S&P 500 in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to American Well Corp. should be less than 10%
Overall Portfolio exposure to Computers - Software & Consulting should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Computers - Software & Consulting)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is American Well Corp. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

American Well Corp.

-58.17%

-0.70

71.39%

S&P 500

13.22%

0.65

20.20%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

5.95%

EBIT Growth (5y)

3.92%

EBIT to Interest (avg)

-222.92

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

-0.74

Sales to Capital Employed (avg)

0.66

Tax Ratio

1.34%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

62.40%

ROCE (avg)

ROE (avg)

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

0.37

EV to EBIT

0.69

EV to EBITDA

0.88

EV to Capital Employed

-1.44

EV to Sales

-0.42

PEG Ratio

Dividend Yield

ROCE (Latest)

Negative Capital Employed

ROE (Latest)

-48.25%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

Bullish

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

No Trend

Mildly Bearish

OBV

Mildly Bullish

Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

20What is working for the Company

OPERATING CASH FLOW(Y)

Highest at USD -75.62 MM

ROCE(HY)

Highest at -38.52%

INVENTORY TURNOVER RATIO(HY)

Highest at 43.89 times

OPERATING PROFIT(Q)

Highest at USD -9.36 MM

OPERATING PROFIT MARGIN(Q)

Highest at -13.2 %

RAW MATERIAL COST(Y)

Fallen by -86.25% (YoY

PRE-TAX PROFIT(Q)

At USD -16.99 MM has Grown at 61.74%

NET PROFIT(Q)

At USD -17.16 MM has Grown at 61.56%

0What is not working for the Company

NO KEY NEGATIVE TRIGGERS

Here's what is working for American Well Corp.

Operating Profit

Highest at USD -9.36 MM and Grown

In each period in the last five periods

MOJO Watch

Near term Operating Profit trend is quite positive

Operating Profit (USD MM)

Operating Profit Margin

Highest at -13.2 % and Grown

In each period in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Inventory Turnover Ratio

Highest at 43.89 times and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Operating Cash Flow

Highest at USD -75.62 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (USD MM)

Pre-Tax Profit

At USD -16.99 MM has Grown at 61.74%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (USD MM)

Net Profit

At USD -17.16 MM has Grown at 61.56%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (USD MM)

Raw Material Cost

Fallen by -86.25% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Depreciation

Highest at USD 8.48 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (USD MM)