The Admar Group : SANTA ANA
Nature of business: Develops and administers health care programs for insurance companies and self-insured corporations. Total employees: 266 In Orange County: 225 Stock listing in The Times: On NASDAQ “Admar” Ticker symbol: “ADMR” Friday’s stock close: $2.69 One-week change: Down $0.12 Analyst review: “No one knows exactly where health care is headed in this country. But I can’t think of any possible scenarios that could be imposed by the Clinton Administration that would be bad for Admar. It looks like the country is heading towards some form of universal coverage, a basic benefit package, cost control and an integrated delivery system. This is exactly what Admar is all about. It continues to expand its network of 1,100 hospitals and 74,000 physicians and increase its profitability. It is a good investment for those who are knowledgeable about the risks associated with investing in small, young growth companies.” --John DuPriest, director of research, Chatfield Dean & Co., Englewood, Colo. Dollar amounts in millions
1991 1992 1993 1993 1994 Revenue 10.3 9.9 12.7 2.6 4.5 Profit .296 .268 -.731 -.264 .149
Corporate outlook: “Our 75% increase in revenue is a result of our focus on marketing and keeping expenses level. This country is about to undergo major changes in its health care system that we predict will drive the market even further towards managed care. We want to fill that need with our emphasis on quality care with a local focus.”--Richard Toral, founder and CEO RETURN ON INVESTMENT: 3-YEAR SUMMARY AND YEAR TO DATE
Fiscal year ending Jan. 31 Jan. 31 Jan. 31 1st qtr. x 1991 1992 1993 1993 52-week high $3.44 $4.00 $3.75 $3.37 52-week low $0.94 $0.94 $1.00 $1.38 Book value per share $0.36 $0.46 $0.38 $0.38 Price per share $1.09 $2.75 $3.75 $1.86 Net earnings (loss) per share $0.37 $0.33 N/A N/A Price-to-earnings ratio 31:1 87:1 N/A N/A Average return on investor equity 10% 7% N/A N/A
Fiscal year ending 1st qtr. x 1994 52-week high $4.00 52-week low $1.69 Book value per share $0.39 Price per share $2.06 Net earnings (loss) per share $0.18 Price-to-earnings ratio 115:1 Average return on investor equity 5%
For information, write: The Admar Group: 1551 Tustin Ave. Suite 300, Santa Ana, Calif. 92701 (714) 953-9600 Researched by JANICE L. JONES / Los Angeles Times
