$Cross Country Healthcare (CCRN.US)$🎯 2023.11.21 Current pr...

New data: 23Q2, 23Q3, continued to shrink for 4 quarters

In the first three quarters of 2023, revenue contracted 26.3%, operating profit shrank by 52%, and net profit shrank by 57.5%.

The balance sheet shows that accounts receivable have declined sharply, long-term loans have returned to zero, and the balance ratio should have been repaid first. The balance ratio dropped from 51.8% to 33.6%, indicating that management is very cautious about financial leverage.

Net operating cash flow for the first three quarters was significantly higher than net investment, as a result of a decline in accounts receivable.

Currently, the price-earnings ratio is 4.3, and the price-earnings ratio is TTM 7.6. If net profit shrinks by 60% for the whole year, the price-earnings ratio will rise to 11. It is unattractive in terms of valuation. Currently, there is no need to change positions for a small amount of observation.