Citizens has increased its price target for AMN Healthcare Services Inc. to $24 from $22 while maintaining a Market Outperform recommendation. The firm’s move comes as AMN shares trade at $19.32 - implying roughly 24% upside to the revised target - and following a near 19% gain over the past week and a 23% advance year-to-date.
In its assessment, Citizens granted greater recognition to AMN’s ability to provide labor disruption services at scale, a capability the analyst team said is available to only a small number of competitors. Historically, Citizens said it had typically looked through revenue tied to labor disruptions, but it now treats that revenue stream as evidence of a differentiated operational capability.
The analyst noted early indications that the healthcare staffing industry may be stabilizing, a trend that could allow normalized growth to resume in 2027. Citizens emphasized that recent strikes weighed on AMN’s financials - affecting fourth-quarter and first-quarter revenue, profitability and cash flow.
On a contract-specific basis, Citizens said it assigns a high probability to AMN retaining its contract with Kaiser, citing AMN’s long-term relationship with Kaiser and the company’s role in coordinating responses to several large strikes across the Kaiser system. Citizens highlighted that Kaiser represents 22% of AMN’s 2025 revenue, underscoring the contract’s materiality to the company’s near-term revenue profile.
The revised $24 price target is founded on a multiple of 7 times Citizens’ updated 2027 EBITDA estimate. That contrasts with the prior $22 target, which was based on 8 times the firm’s earlier 2026 EBITDA estimate. Recent trading placed AMN at 7.4 times Citizens’ 2027 EBITDA projection versus a 10-year forward two-year average of 9.7 times.
Separate analysis cited in the company’s coverage suggests a fair value near $23 and noted that eight analysts have raised earnings estimates for the upcoming period. Investors seeking deeper model detail or company-level analysis can consult the available comprehensive research reports that expand on estimates and scenario work.
Other recent developments around AMN Healthcare were also noted. One competitor-focused firm raised its price target to $25 while maintaining an Outperform rating after the company presented at an industry conference, where management outlined expectations for 2026 and beyond. In addition, Citizens was reported to have previously lowered a price target to $22 on account of a tempered margin outlook, while still retaining a Market Outperform rating.
Corporate governance updates include the announcement that director R. Jeffrey Harris will retire by the 2026 annual meeting, and that Eric Palmer has been nominated to succeed him. Palmer brings more than 25 years of experience in healthcare services, including leadership roles at major healthcare firms. The company has also updated its bylaws to align with changes in Delaware law, with adjustments focused on shareholder meeting procedures and director nomination protocols.
Citizens reiterated its Market Outperform view on AMN in light of the staffing industry’s move toward stabilization after a period of decline, while citing AMN’s operational capabilities in managing labor disruptions as a differentiator.
Key context and positioning:
- Price-target change - Citizens raised its target to $24 from $22 and maintained Market Outperform.
- Valuation basis - New target uses 7x Citizens’ 2027 EBITDA estimate versus prior 8x 2026 EBITDA basis.
- Contract exposure - Kaiser represents 22% of AMN’s 2025 revenue and Citizens views retention probability as high.