Chemed (CHE) Stock: Buy, Sell, or Hold?

CHE - Chemed Corporation

SERVICES-HOME HEALTH CARE SERVICES
$515.97
1.57 (0.31%) ▲
5d: -1.62%
30d: -4.63%
90d: +22.6%
HOLD
MODERATE Confidence
Analysis Updated: Sep 11, 2026 12:00 AM ET
Earnings: Oct 27, 2026

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Interactive Price Chart (1 Month)

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💡
Bottom Line:
📊 HOLD: CHE is fairly valued with market pricing in 3.3% annual growth. Fine to hold or accumulate slowly on dips.
See Forward Earnings Fair Value & Price Prediction →

Long-Term Wealth Forecast (2031)

Based on Analyst Consensus Growth & Historical Valuation

0% (Stagnation) 50% (Hyper Growth)
EST. PRICE IN 2031
$622.99
Based on 5.9% avg growth
INTRINSIC VALUE TODAY
$386.83
Trading above historical range

How this is calculated: We use a Growth Decay Model: starting with analyst consensus growth (adjusted above) and gradually slowing it down to a long-term terminal rate (4%) by Year 5. This provides a more realistic valuation than assuming constant hyper-growth. We then apply a 17.0x Exit PE.

In-depth Analysis How we analyze

Valuation Analysis: CHE is currently trading at $515.97, which is considered oversold relative to its 30-day fair value range of $519.81 to $543.84. From a valuation perspective, the stock is trading at a premium (Forward PE: 18.8) compared to its historical average (17.0). At these levels, the market is pricing in 3.3% annual earnings growth. This growth rate appears achievable given the company's track record, suggesting the valuation is rational.

Technical Outlook: Technically, CHE is in a strong uptrend. The price is currently testing key support at $509.01. A bounce from this level would confirm strength, while a break below could signal further downside.

Market Sentiment: The stock scores a mixed 41/100 on our bottoming-setup gauge, with only partial signs of a stabilized entry point. The stock is fairly positioned - fine to hold existing positions or accumulate slowly on dips, but not an urgent buy.

Quick Decision Summary

Current Position OVERSOLD
Historical Trading Range $519.81 - $543.84
Company Quality Score 55/100 (HOLD)
Volume Confirmation HIGH
Confidence Score 75.7%

All Signals

  • BULLISH: Price oversold vs 30-day range
  • NEUTRAL: Mixed technical signals (41/100)
  • BULLISH: High volume confirmation
  • NEUTRAL: Near Wall St target ($552.00)
  • NEUTRAL: Market pricing in 3.3% annual earnings growth - fairly valued
  • NEUTRAL: Bottoming setup forming (41/100) — watch for confirmation

Trading Range Analysis

30-Day Trading Range $519.81 - $543.84
Current vs Trading Range OVERSOLD

Support & Resistance Levels

Support Level $509.01
Resistance Level $534.17
Current Trend Strong Uptrend
Technical data as of Sep 11, 2026

Fundamental Context

Forward P/E (Next Year Est.) 18.75
Wall Street Target $552.00 (+7.0%)
Revenue Growth (YoY) 8.8%
Earnings Growth (YoY) 43.7%
Profit Margin 10.6%
Valuation Premium vs History +3.3% premium
PE vs Historical 18.8 vs 17.0 FAIR
Market-Implied Price Targets If current PE multiple persists
Implied Growth (YoY): +3.3% (market-implied from PE analysis)
1-Year Target $533.00 (+3%)
2-Year Target $550.59 (+7%)
3-Year Target $568.76 (+10%)
3-Yr Target (if PE normalizes) (PE: 19→17) PE COMPRESSION $515.80 (0%)
Earnings growth offset by PE compression
3-Year Scenarios Using analyst projected EPS growth
Bull: (PE: 20.2, Growth: 7.8%) $696.38 (+35%)
Base: (SPY PE: 18.7, Growth: 7.8%) $647.20 (+25%)
Bear: (PE: 15.9, Growth: 7.8%) $550.12 (+7%)
📈 Valuation based on Current Earnings
RECOVERY PLAY: Stock looks expensive now (26x PE), but valuation improves significantly next year (19x PE) as earnings recover.
Trailing PE: 26.11 | Current EPS (TTM): $19.70
Bull Case $790.60 (+53%)
Analyst growth 39.7%, PE expands to 28.7
Base Case $718.72 (+39%)
Market implied 39.7%, PE stable at 26.1
Bear Case $349.79 (-32%)
Severe decline -20.0%, PE contracts to 22.2
These are projections based on PE multiples and EPS growth scenarios, not predictions. Actual results may vary significantly.
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Last updated: September 13, 2026 2:58 AM ET
Data refreshes hourly during market hours. Next update: 3:58 AM
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NEUTRAL

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