How Worried Should Investors Be About American Well Corporation (AMWL)

American Well Corporation (NYSE:AMWL) does about 2.40M shares in volume on a normal day but saw 3178190 shares change hands in Friday’s trading. The company now has a market cap of 138.83M USD. Its current market price is $0.47, marking a decrease of -8.62% compared to the previous close of $0.51. The 52 week high reached by this stock is $2.73 whilst the lowest price level in 52 weeks is $0.45.

American Well Corporation (AMWL) has a 20-day trading average at $0.5349 and the current price is -82.88% off the 52-week high compared with 3.72% distance from its 52-week low. The 50-day simple moving average of the closing price is $0.7284 and its 200-day simple moving average is $1.1517. If we look at the stock’s price movements over the week, volatility stands at 8.00%, which increases to 9.80% over 1 month. It is also key to look at other market indicators of price movement for the stock, where we see that the relative strength index (RSI) is at 31.79 to suggest the stock is neutral.

The consensus objective for the share price is $2.04, suggesting that the stock has a potential upside of 76.96% over the period.

The company shares received a number of brokerage firm price updates over the past month, with the latest being on August 03, 2023 when Morgan Stanley downgraded the stock to “Equal-Weight” and issued a price target of between $5 and $2.50. TD Cowen also downgraded the stock to “Market Perform” from Outperform on March 23, 2023 at a price target of $5-$2.50. Piper Sandler downgraded its price target at $5-$3.50.

American Well Corporation (AMWL) stock is down -17.84% over the week and -25.88% over the past month. Its price is -68.57% year-to-date and -77.91% over the past year.

To reach the target analysts have set, the stock logically needs to grow 76.96 percent from here.

The company has a return on investment of -84.03% and return on equity of -63.34%. The beta has a value of 1.13. Price to book ratio is 0.34 and price to sales ratio is 0.55.