AMN Healthcare Services Inc (AMN) suffered a pre-market plunge of 6.84% on November 8, 2024, despite reporting better-than-expected third-quarter earnings and revenue. The healthcare staffing and workforce solutions provider reported adjusted earnings per share of $0.61, surpassing the consensus estimate of $0.58. However, revenue fell 19.4% year-over-year to $687.51 million, although it exceeded analysts' expectations of $670.08 million.
While AMN Healthcare beat Wall Street's earnings and revenue forecasts, the steep year-over-year revenue decline appears to have raised concerns among investors, overshadowing the earnings beat. The revenue drop could be attributed to various factors, such as a potential slowdown in demand for healthcare staffing services, increased competition, or changes in industry dynamics.
Despite the better-than-expected Q3 results, AMN Healthcare's stock has underperformed the market, losing about 45% since the beginning of the year compared to the S&P 500's gain of 24.3%. The company's Zacks Rank of #4 (Sell) also indicates that it could underperform the broader market in the near term.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.