10 Undervalued Stocks with the Highest Upside Potential

6. Acadia Healthcare Company Inc. (NASDAQ:ACHC)

Forward P/E Ratio: 11.55x

Upside Potential: 47%

Number of Hedge Fund Holders: 46

Acadia Healthcare (NASDAQ:ACHC) is a large behavioral healthcare provider with a psychiatric hospital chain, addiction treatment facilities, and outpatient facilities in America. It has been a beneficiary of a surging demand for mental healthcare in recent years, most prominently in pandemic years.

Acadia Healthcare Company Inc. (NASDAQ:ACHC) in Q4 2024 reported EPS of $0.35 and 4.2% revenue growth quarter over quarter. It is in the process of opening new centers for addiction and mental health treatment and expanding its capacity. Its business model is to open teen, veteran, and dual-diagnosis disorder specific treatment centers. It is expanding further with telehealth services to treat more underprivileged sections of society.

With a target price of $44, a 47% gain is achievable from $30. April 2025’s next earnings release will focus on facility expansions and enhancing operational efficiency.