OPCH Stock Forecast & Price Target

Option Care Health is viewed favorably because its home and alternate-site infusion platform still has durable long-term demand, with acute therapies delivering high-single-digit revenue growth and higher gross margins, while ambulatory facilities and advanced practitioner capabilities should improve clinical access, labor efficiency, and margin leverage over time. Despite near-term disruption from insurance reauthorizations, patient census resets, and slower specialty therapy ramps, management said Stelara and biosimilars will represent less than 1% of 2026 revenue and gross profit, limiting the lasting earnings impact. The company also guided to $480 million to $510 million in adjusted EBITDA, repurchased $17.5 million of stock in the first quarter, and has room to improve SG&A efficiency and procurement, supporting strong cash generation and longer-term value creation.

Option Care Health is facing a weaker fundamental backdrop as management raised its expected headwind from CID/Stelara to $55 million from $25 million to $35 million, while 2Q adjusted EBITDA guidance of $112 million to $115 million fell short of the $122 million consensus. Revenue of $1.35 billion missed estimates of $1.39 billion and grew only 1.3% year over year, with chronic therapy revenue pressured by Stelara-related patient census declines despite solid acute therapy growth. The company’s implied second-half EBITDA ramp also looks demanding at 55% to 57% of full-year EBITDA versus a four-year average of 52% to 53%, and the lack of durable core growth outside competitive exits or procurement benefits adds further downside risk.