National Healthcare (NHC) AI Stock Analysis

• Market Cap: $1.45B
• Dividend Yield: 2.6%
• Average Volume (3M): 69.18K
• Price to Earnings (P/E): 14.3
• Beta (1Y): 0.65
• Revenue Growth: 15.25%
• EPS Growth: 51.77%
• Country: US
• Employees: 14,962
• Sector: Healthcare
• Sector Strength: 74
• Industry: Medical - Care Facilities
• EPS (TTM): 6.54
• Shares Outstanding: 15,461,829
• 10 Day Avg. Volume: 57,796
• 30 Day Avg. Volume: 69,182
• PEG Ratio: 0.28
• Price to Book (P/B): N/A
• Price to Sales (P/S): 1.08
• Price to Cash Flow (P/CF): 27.40
• P/FCF Ratio: 152.70
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

National Healthcare's solid financial performance, highlighted by revenue growth and improved profit margins, provides a strong foundation. However, the stock is currently experiencing bearish technical momentum and is trading below key moving averages, implying caution in the short term. Valuation is fair, with a reasonable P/E ratio and dividend yield, but not particularly compelling. A focus on improving operational efficiency and managing leverage will be essential for enhancing future performance.

National Healthcare Business Overview & Revenue Model

Company Description

National Healthcare (NHC) is a prominent provider in the healthcare sector, offering a comprehensive range of services including skilled nursing, assisted living, and rehabilitation services. NHC operates numerous healthcare centers across the United States, focusing on delivering high-quality patient care and support services tailored to the needs of elderly and disabled individuals.

How the Company Makes Money

National Healthcare primarily makes money through the provision of healthcare services at its facilities. The company's revenue streams include payments from private payers, government programs such as Medicare and Medicaid, and private insurance companies. NHC also derives income from ancillary services such as rehabilitation therapy, pharmacy services, and specialized healthcare programs. Strategic partnerships with healthcare providers and insurance companies play a significant role in ensuring a steady flow of patients and optimizing revenue generation.

National Healthcare Financial Statement Overview

Summary

National Healthcare presents a strong financial profile with steady revenue and profit growth. The income statement shows improved margins, although operating efficiency could be enhanced. The balance sheet highlights a solid equity base but with increased leverage. Cash flow indicates stable operational cash generation, albeit with a slight decline in free cash flow. Continued focus on operational efficiency and debt management will be crucial for future growth.

Income Statement

National Healthcare has demonstrated strong revenue growth, increasing from approximately $1.14 billion in 2023 to $1.25 billion in 2024, a growth rate of 9.66%. The gross profit margin remains solid at 35.22% for 2024. The net profit margin improved significantly from 5.85% in 2023 to 8.14% in 2024, reflecting enhanced profitability. However, the EBIT margin is relatively low at 6.85%, and the EBITDA margin is 8.75%, indicating room for operational efficiency improvements.

Balance Sheet

The company's debt-to-equity ratio increased to 0.22 in 2024 from 0.10 in 2023, which may indicate higher leverage risk. Return on equity improved to 10.40% in 2024 compared to 7.35% in 2023, reflecting better profitability from shareholders' equity. The equity ratio decreased slightly to 0.74 in 2023 from 0.69 in 2022, showing a stable financial position despite increased liabilities.

Cash Flow

The free cash flow decreased slightly by 4.33% in 2024 compared to 2023. The operating cash flow to net income ratio was stable at 1.05, suggesting efficient conversion of income into cash. However, the free cash flow to net income ratio decreased to 0.78, indicating reduced cash generation relative to profits.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
1.30B	1.14B	1.07B	1.01B	980.71M
	Gross Profit
487.01M	429.20M	388.11M	344.88M	371.41M
	EBIT
85.76M	57.13M	31.90M	50.92M	48.16M
	EBITDA
182.53M	131.10M	68.28M	191.56M	95.84M
	Net Income Common Stockholders
101.93M	66.80M	22.45M	138.59M	41.87M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
216.19M	223.62M	182.59M	256.02M	323.44M
	Total Assets
1.52B	1.31B	1.28B	1.40B	1.36B
	Total Debt
214.77M	93.39M	125.94M	166.66M	194.02M
	Net Debt
138.65M	-13.69M	67.27M	59.05M	46.92M
	Total Liabilities
541.27M	400.32M	397.94M	500.39M	566.96M
	Stockholders Equity
980.16M	908.75M	874.28M	903.00M	795.18M
Cash Flow		Free Cash Flow
79.70M	83.31M	-21.46M	23.00M	181.39M
	Operating Cash Flow
107.30M	111.22M	8.74M	62.39M	203.26M
	Investing Cash Flow
-236.69M	-17.57M	-5.98M	-65.89M	-63.88M
	Financing Cash Flow
100.34M	-42.55M	-47.64M	-35.26M	-41.89M

National Healthcare Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 90.66
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NHC, the sentiment is Negative. The current price of 90.66 is below the 20-day moving average (MA) of 92.02, below the 50-day MA of 94.70, and below the 200-day MA of 112.70, indicating a bearish trend. The MACD of -0.93 indicates Negative momentum. The RSI at 50.89 is Neutral, neither overbought nor oversold. The STOCH value of 63.56 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for NHC.

National Healthcare Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ARDT	74 Outperform	$1.81B	8.22	23.34%	―	10.29%	290.04%
ASTH	73 Outperform	$1.60B	35.51	6.50%	―	46.72%	-30.24%
NHC	61 Neutral	$1.45B	14.33	10.79%	2.60%	15.25%	51.77%
MD	58 Neutral	$1.21B	―	-12.28%	―	0.92%	-65.03%
AGL	58 Neutral	$2.14B	―	-44.20%	―	33.00%	-18.81%
BKD	57 Neutral	$1.18B	―	-65.55%	―	3.95%	-5.53%
Sector *	48 Neutral	$6.36B	1.28	-45.04%	2.64%	19.24%	1.69%