American Well (NYSE:AMWL) Issues Quarterly Earnings Results

American Well (NYSE:AMWL) released its quarterly earnings data on Tuesday. The company reported ($0.66) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.77) by $0.11, FiscalAI reports. The company had revenue of $54.88 million for the quarter, compared to analysts’ expectations of $51.54 million. American Well had a negative net margin of 37.02% and a negative return on equity of 31.22%.

Here are the key takeaways from American Well’s conference call:

• Ended Q1 with approximately $179–$182 million in cash, zero debt, sharply reduced quarterly cash burn (~$3.1M), and a much smaller adjusted EBITDA loss ($3.1M vs $12.2M yr/yr), with management targeting cash‑flow breakeven in Q4.
• Q1 revenue was $54.9M, down ~18% year‑over‑year, with subscription revenue down ~23% due to previously disclosed churn and total platform visits down ~19%, signaling near‑term top‑line pressure.
• Strong customer validation and pipeline — Elevance Health renewed for three years and the Military Health/Defense Health Agency deployment covers ~9.6M beneficiaries, while management says the pipeline is a multiple of last year (triple‑digit growth).
• Mix is shifting to higher‑value care — AMG visit revenue rose ~9%, virtual primary care visits grew ~57% YoY and revenue per visit increased to about $76, supporting the company’s move toward higher‑margin SaaS and clinical programs.
• Strategic positioning and regulatory tailwinds — Amwell is pitching its unified data platform as the infrastructure for next‑gen “Agentic AI” clinical workflows and benefits from permanent CMS telehealth flexibilities, which could be durable growth levers.

American Well Trading Down 0.5%

AMWL stock traded down $0.04 on Thursday, hitting $7.11. The company’s stock had a trading volume of 30,418 shares, compared to its average volume of 83,774. The stock has a market cap of $117.69 million, a price-to-earnings ratio of -1.32 and a beta of 1.52. The firm has a 50 day moving average of $5.72 and a two-hundred day moving average of $5.04. American Well has a 1 year low of $3.71 and a 1 year high of $9.15.

Wall Street Analysts Forecast Growth

A number of research analysts recently commented on AMWL shares. TD Cowen increased their target price on shares of American Well from $5.00 to $8.00 and gave the company a “hold” rating in a research report on Wednesday. Wall Street Zen raised shares of American Well from a “sell” rating to a “hold” rating in a research report on Sunday, March 22nd. Weiss Ratings restated a “sell (e+)” rating on shares of American Well in a research note on Wednesday, January 21st. Morgan Stanley lifted their target price on American Well from $6.00 to $6.50 and gave the stock an “equal weight” rating in a research report on Wednesday. Finally, Stifel Nicolaus reduced their target price on American Well from $6.00 to $5.00 and set a “hold” rating for the company in a report on Friday, February 13th. One research analyst has rated the stock with a Buy rating, five have assigned a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, the stock presently has a consensus rating of “Hold” and a consensus target price of $7.58.

Insider Transactions at American Well

In other American Well news, insider Dmitry Zamansky sold 5,575 shares of American Well stock in a transaction on Wednesday, April 1st. The shares were sold at an average price of $5.30, for a total value of $29,547.50. Following the transaction, the insider directly owned 241,080 shares in the company, valued at approximately $1,277,724. The trade was a 2.26% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Over the last quarter, insiders have sold 9,664 shares of company stock worth $51,219. Company insiders own 11.82% of the company’s stock.

Hedge Funds Weigh In On American Well

A number of hedge funds and other institutional investors have recently made changes to their positions in the stock. JPMorgan Chase & Co. raised its stake in American Well by 16.5% during the 2nd quarter. JPMorgan Chase & Co. now owns 14,720 shares of the company’s stock valued at $131,000 after acquiring an additional 2,081 shares during the last quarter. Geode Capital Management LLC increased its holdings in shares of American Well by 2.3% in the fourth quarter. Geode Capital Management LLC now owns 152,742 shares of the company’s stock valued at $750,000 after purchasing an additional 3,450 shares during the period. State Street Corp increased its holdings in shares of American Well by 7.8% in the fourth quarter. State Street Corp now owns 52,299 shares of the company’s stock valued at $257,000 after purchasing an additional 3,800 shares during the period. Headlands Technologies LLC purchased a new stake in shares of American Well during the second quarter worth approximately $39,000. Finally, Two Sigma Investments LP lifted its holdings in shares of American Well by 22.6% during the third quarter. Two Sigma Investments LP now owns 46,329 shares of the company’s stock worth $285,000 after purchasing an additional 8,553 shares during the period. Hedge funds and other institutional investors own 56.05% of the company’s stock.

American Well Company Profile

American Well, operating under the trade name Amwell, is a Boston-based digital health company that develops and delivers telehealth solutions to healthcare providers, payers, employers and patients. Through its cloud-based platform, the company enables secure virtual visits, remote patient monitoring and integrated care coordination across a range of medical disciplines, including primary care, behavioral health, chronic disease management and urgent care.

The company’s core offering, the Amwell Telehealth Platform, facilitates live video consultations, asynchronous messaging, e-prescribing and electronic health record integration.