HomeMost PopularInvestingAcadia (ACHC), Geisinger JV Begin Construction of New Hospital

Acadia (ACHC), Geisinger JV Begin Construction of New Hospital

Actionable Trade Ideas

always free

Acadia Healthcare Company, Inc. ACHC recently announced a collaboration with Geisinger, a provider of value-based care services, to begin construction on a new behavioral health hospital in Danville, PA. The 96-bed state-of-the-art facility is scheduled to open in spring 2025. Itโ€™ll be named Geisinger Behavioral Health Center Danville.

The new hospital is expected to address the growing demand for high-quality behavioral health services in the central part of the state. It will provide inpatient, intensive outpatient and ECT treatment programs. The new facility is expected to cater to a diverse range of patients, encompassing adults as well as pediatric and adolescent individuals.

Moreover, the facility is expected to function as a teaching hospital, providing training opportunities for students and residents from Geisingerโ€™s College of Health Sciences, thus contributing to the development of high-quality healthcare providers. The Geisinger College of Health Sciences empowers more than 5,000 medical professionals each year through its comprehensive educational programs. Additionally, the college conducts more than 1,400 clinical research studies.

The new facility will become the second hospital in the state built by the joint venture (JV) of Acadia Healthcare and Geisinger, a non-profit system. In August 2023, the JV commenced a similar hospital in Moosic, PA. The move will expand ACHCโ€™s footprint in the state and bolster its relation with Geisinger. At the first-quarter end, the company had a network of 258 behavioral healthcare facilities with around 11,300 beds.

Acadia Healthcare actively pursues JVs with renowned healthcare systems, which is helping the company expand its capabilities. It has a robust pipeline of JV projects, which are yet to be completed. It has 21 JV partnerships for 22 hospitals in place. Of these, 11 hospitals are already operational, with the rest anticipated to open in the coming years.

Price Performance

Acadia Healthcareโ€™s shares have declined 5.4% in the past year against the 13.5% growth of the industry.

Zacks Investment Research
Image Source: Zacks Investment Research

Zacks Rank & Key Picks

Acadia Healthcare currently has a Zacks Rank #3 (Hold). Investors interested in the broader Medicalย space may look at some better-ranked players like Arvinas, Inc. ARVN, Brookdale Senior Living Inc. BKD and Encompass Health Corporation EHC, each carrying a Zacks Rank #2 (Buy) at present. You can seeย the complete list of todayโ€™s Zacks #1 Rank (Strong Buy) stocks here.

The Zacks Consensus Estimate for Arvinasโ€™ 2024 bottom line suggests 25.2% year-over-year growth. ARVN has witnessed five upward estimate revisions over the past month against no movement in the opposite direction. It beat earnings estimates in three of the last four quarters and missed once.

The Zacks Consensus Estimate for Brookdale Seniorโ€™s full-year 2024 earnings suggests a 23.8% year-over-year improvement. It has witnessed one upward estimate revision over the past month against no movement in the opposite direction. BKD beat earnings estimates in two of the past four quarters and missed on the other occasions.

The Zacks Consensus Estimate for Encompass Healthโ€™s 2024 full-year earnings implies an 11.5% increase from the year-ago reported figure. EHC beat earnings estimates in each of the last four quarters, with an average surprise of 18.7%. The consensus mark for its current-year revenues is pegged at $5.3 billion, which indicates a 10.3% year-over-year increase.

Zacks Names โ€œSingle Best Pick to Doubleโ€

From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.

Itโ€™s an American AI company thatโ€™s riding low right now, but it has rounded up clients like BMW, GE, Dell Computer, and Bosch. It has prospects for not just doubling but quadrupling in the year to come. Of course, all our picks arenโ€™t winners but this one could far surpass earlier Zacksโ€™ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.

Free: See Our Top Stock And 4 Runners Up

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Brookdale Senior Living Inc. (BKD) : Free Stock Analysis Report

Acadia Healthcare Company, Inc. (ACHC) : Free Stock Analysis Report

Encompass Health Corporation (EHC) : Free Stock Analysis Report

Arvinas, Inc. (ARVN) : Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Swing Trading Ideas and Market Commentary

Need some new swing ideas? Get free weekly swing ideas and market commentary from Jonathan Bernstein here: Swing Trading.

Explore More

Weekly In-Depth Market Analysis and Actionable Trade Ideas

Get institutional-level analysis and trade ideas to take your trading to the next level, sign up for free and become apart of the community.