Astrana Health (NASDAQ:ASTH) Releases Earnings Results, Beats Expectations By $0.25 EPS

Astrana Health (NASDAQ:ASTH) posted its quarterly earnings results on Thursday. The company reported $0.71 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.46 by $0.25, FiscalAI reports. The company had revenue of $1.02 billion during the quarter, compared to the consensus estimate of $1.02 billion. Astrana Health had a net margin of 1.05% and a return on equity of 10.30%. The company’s revenue for the quarter was up 7.1% on a year-over-year basis. During the same period last year, the firm earned $0.01 EPS.

Here are the key takeaways from Astrana Health’s conference call:

• Astrana reported record third-quarter revenue of $1.02 billion, up 7%, and adjusted EBITDA of $77.2 million, up 13% year over year and near the high end of guidance. Management said EBITDA growth was organic, supported by maturing risk-bearing cohorts, improved medical cost performance, and operating efficiencies.
• Cash generation and debt reduction strengthened the balance sheet: Astrana generated about $105 million in free cash flow through the first nine months and repaid $116 million of debt, bringing net leverage to 2.2x. The company expects to approach 2.0x net leverage by year-end.
• Growth initiatives include new Medicare Advantage partnerships for 2027, expansion into Georgia, and two new Care Enablement clients. Management said Texas risk-bearing cohorts are performing ahead of plan and expects the platform, including AI-enabled tools, to support scalable growth and operating leverage.
• Medicaid remains a headwind: membership attrition is tracking toward the middle-to-high end of this year’s 10%–15% range, and medical cost trends are above initial assumptions. For 2027, Astrana is planning for a 10%–15% Medicaid membership decline and a mid-single-digit EBITDA growth headwind, while also anticipating exchange and ACO-related changes.
• Astrana narrowed its 2026 guidance ranges while maintaining their midpoints: revenue of $3.9–$4.0 billion, adjusted EBITDA of $261–$274 million, and free cash flow of $107.5–$130 million. Management expects the fourth quarter to be the lowest-profitability quarter of the year and said it will provide formal 2027 guidance with its next results.

Astrana Health Price Performance

NASDAQ:ASTH traded down $0.66 during mid-day trading on Thursday, hitting $39.01. 529,029 shares of the company’s stock traded hands, compared to its average volume of 289,416. The company has a debt-to-equity ratio of 1.05, a quick ratio of 1.23 and a current ratio of 1.23. The company has a market cap of $2.17 billion, a PE ratio of 47.57 and a beta of 1.18. The firm’s 50 day simple moving average is $37.06 and its 200 day simple moving average is $33.98. Astrana Health has a 1 year low of $18.08 and a 1 year high of $51.60.

Wall Street Analyst Weigh In

A number of research firms recently weighed in on ASTH. BTIG Research upped their price target on Astrana Health from $50.00 to $65.00 and gave the stock a “buy” rating in a report on Tuesday, July 14th. TD Cowen lifted their price objective on Astrana Health from $45.00 to $50.00 and gave the stock a “buy” rating in a report on Tuesday, July 14th. Oppenheimer assumed coverage on Astrana Health in a report on Tuesday, September 15th. They set an “outperform” rating and a $53.00 price objective for the company. Wall Street Zen downgraded Astrana Health from a “buy” rating to a “hold” rating in a research report on Sunday, August 16th. Finally, Barclays upped their target price on Astrana Health from $50.00 to $53.00 and gave the company an “overweight” rating in a report on Friday, August 7th. Eight analysts have rated the stock with a Buy rating and two have issued a Hold rating to the stock. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average price target of $49.88.

About Astrana Health

Astrana Health, Inc (NASDAQ: ASTH), formerly known as Apollo Medical Holdings, is a healthcare enablement company focused on helping providers and health plans deliver coordinated, value-based care. The company combines physician networks, care-management capabilities, technology and data analytics to support improved clinical outcomes and more efficient healthcare delivery.

Astrana Health’s services include population health management, physician practice support, utilization management, care coordination and clinical analytics.