Bull case
AMN Healthcare Services is positioned favorably because its core Nurse and Allied segment is showing stabilization, with return to volume growth for the first time since 2022, improving bill rates, and an international nursing recovery that could support operating leverage. Q1 results materially exceeded expectations, with revenue up 100% year over year to $1.378 billion, adj. EBITDA of $166 million versus $123 million consensus, and margins expanding 280 bps to 12.1%, while labor disruption revenue of $722 million and Q1 cash flow of $555 million underscore strong earnings power. The outlook is further supported by manageable leverage at 1.6x, a targeted 2.0x or less across the balance of 2026, and potential normalization toward mid-single-digit revenue growth and double-digit EBITDA growth as all business lines trend back toward growth by the back half of 2027.