NEW YORK (TheStreet) -- "Don't fall in love with your stock" is a reminder to new investors who might lose sight of the importance of a company's bottom line. But it's tough to remain indifferent about a company such as Providence Service (PRSC) - Get Report, which provides home and community-based social services and transportion for people in need of nonemergency care. 

The stock closed Thursday at $44.75, up 1.7% from the day before, and Providence's shares have gained about 23% thus far in 2015, besting the broader averages. On Monday, the company will report its fourth-quarter results. Shares were changing hands midday Friday at $45.78, up $1.03, or 2.3%.

Why has the stock performed so well? Providence Service operates with a clean balance sheet with a favorable debt-to-equity ratio. The company also has made strategic acquisitions, positioning itself for long-term growth.

With stock gains of almost 60% and 200% in the past year and two years, respectively, investors have become rich from the company's performance, as evident in the chart, below.

PRSC

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YCharts

Even after these strong gains, which have outperformed the broader indices thus far in 2015 (as well as in the last year and last three years), new investors can still do well. Providence's business is poised to pick up, given its October acquisition of Matrix Medical Network and its acquisition of Ingeus just a few months earlier that provides the company exposure to overseas markets.

Headquartered in Tucson, Ariz., Providence Service provides adolescent children, elders and others what it calls collaborative care services, offering a focused and evidence-based approach to managing their medical condition and behavior. These services are subsidized by government social and health care services programs.

The company's business is in two areas: Providence's human services division offers home and community-based counseling, foster care and care management of individuals and families. Another business unit manages its delivery of nonemergency transportation services offered through Medicaid and local agencies. Both units are making money.

For its most recent quarter, the company posted consolidated revenue of just under $400 million, climbing 42% above the prior year's mark of $277 million. Out of that total, human services revenue and nonemergency services revenue grew at 9% and 18%, respectively. The company delivered a 16% jump in adjusted earnings before interest, tax, depreciation and amortization, or EBITDA. 

With the acquisition of Australia's Ingeus Limited announced a year ago in March, Providence positioned itself to expand its business to 10 other countries in four continents, betting it can duplicate its U.S. success. Plus, Providence can capitalize on Ingeus' capabilities in "workforce development" -- an advantage that helped the Australian firm build revenue and adjusted EBITDA at a compound annual growth rate of about 27% and 19%, respectively, in three years.

Providence has shown no signs of slowing down lately. It did have a moment in November, though, when analysts recommended a hold rating. Although its current share price -- at a price-to-earnings ratio of 39 -- is not as cheap as it was a year ago, analysts now have a consensus buy rating and on average project almost 30% upside. The average 12-month price target is $57.50.

This article is commentary by an independent contributor. At the time of publication, the author held no positions in the stocks mentioned.