With the business potentially at an important milestone, we thought we'd take a closer look at agilon health, inc.'s (NYSE:AGL) future prospects. agilon health, inc. offers healthcare services for seniors through primary care physicians in the communities of the United States. With the latest financial year loss of US$107m and a trailing-twelve-month loss of US$89m, the US$3.0b market-cap company alleviated its loss by moving closer towards its target of breakeven. Many investors are wondering about the rate at which agilon health will turn a profit, with the big question being "when will the company breakeven?" In this article, we will touch on the expectations for the company's growth and when analysts expect it to become profitable.

View our latest analysis for agilon health

agilon health is bordering on breakeven, according to the 14 American Healthcare analysts. They expect the company to post a final loss in 2024, before turning a profit of US$46m in 2025. The company is therefore projected to breakeven just over a year from today. How fast will the company have to grow each year in order to reach the breakeven point by 2025? Working backwards from analyst estimates, it turns out that they expect the company to grow 57% year-on-year, on average, which is extremely buoyant. Should the business grow at a slower rate, it will become profitable at a later date than expected.

Underlying developments driving agilon health's growth isn't the focus of this broad overview, though, take into account that generally a high growth rate is not out of the ordinary, particularly when a company is in a period of investment.

Before we wrap up, there's one aspect worth mentioning. The company has managed its capital prudently, with debt making up 4.6% of equity. This means that it has predominantly funded its operations from equity capital, and its low debt obligation reduces the risk around investing in the loss-making company.

Next Steps:

There are key fundamentals of agilon health which are not covered in this article, but we must stress again that this is merely a basic overview. For a more comprehensive look at agilon health, take a look at agilon health's company page on Simply Wall St. We've also compiled a list of essential factors you should further examine:

1. Valuation: What is agilon health worth today? Has the future growth potential already been factored into the price? The intrinsic value infographic in our free research report helps visualize whether agilon health is currently mispriced by the market.
2. Management Team: An experienced management team on the helm increases our confidence in the business – take a look at who sits on agilon health's board and the CEO's background.
3. Other High-Performing Stocks: Are there other stocks that provide better prospects with proven track records? Explore our free list of these great stocks here.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.