Latest Ratios: P/E Ratio 29.3x · EV/EBITDA 20.1x · ROE 11.7%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $3.5B | $2.1B | $1.7B | $1.4B | $919M | $1.0B | $1.0B | $1.3B | $1.2B | $927M | $1.2B |
| Enterprise Value | $3.5B | $2.1B | $1.8B | $1.4B | $986M | $1.1B | $1.1B | $1.5B | $1.1B | $856M | $1.3B |
| P/E Ratio → | 29.34 | 17.87 | 16.47 | 21.29 | 41.03 | 7.56 | 24.42 | 19.47 | 20.27 | 16.51 | 22.83 |
| P/S Ratio | 2.32 | 1.41 | 1.29 | 1.24 | 0.86 | 1.04 | 1.04 | 1.33 | 1.22 | 0.96 | 1.25 |
| P/B Ratio | 3.28 | 2.00 | 1.71 | 1.56 | 1.05 | 1.15 | 1.28 | 1.70 | 1.63 | 1.32 | 1.83 |
| P/FCF | 23.65 | 14.43 | 21.05 | 17.06 | — | 45.55 | 5.63 | 18.01 | 17.41 | 14.93 | 40.75 |
| P/OCF | 18.99 | 11.59 | 15.64 | 12.78 | 105.14 | 16.79 | 5.02 | 13.26 | 12.14 | 9.82 | 12.68 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 1.40 | 1.40 | 1.23 | 0.92 | 1.09 | 1.09 | 1.51 | 1.11 | 0.89 | 1.38 |
| EV / EBITDA | 20.15 | 12.24 | 14.22 | 14.19 | 13.63 | 12.08 | 11.84 | 16.50 | 11.12 | 8.85 | 12.82 |
| EV / EBIT | 27.20 | 12.57 | 12.92 | 15.80 | 35.49 | 7.33 | 19.84 | 16.56 | 13.70 | 10.78 | 15.17 |
| EV / FCF | — | 14.27 | 22.79 | 16.89 | — | 48.12 | 5.89 | 20.48 | 15.87 | 13.78 | 45.13 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 39.3% | 39.3% | 37.5% | 37.6% | 36.1% | 34.1% | 37.9% | 40.5% | 40.6% | 40.7% | 40.7% |
| Operating Margin | 8.5% | 8.5% | 6.6% | 5.0% | 3.0% | 5.0% | 4.9% | 4.9% | 5.7% | 5.6% | 6.6% |
| Net Profit Margin | 7.9% | 7.9% | 7.9% | 5.9% | 2.1% | 13.7% | 4.3% | 6.8% | 6.0% | 5.8% | 5.5% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 11.7% | 11.7% | 10.8% | 7.5% | 2.5% | 16.2% | 5.3% | 9.0% | 8.2% | 8.4% | 8.0% |
| ROA | 7.9% | 7.9% | 7.2% | 5.2% | 1.7% | 10.0% | 3.2% | 5.8% | 5.4% | 5.1% | 4.7% |
| ROIC | 8.9% | 8.9% | 6.4% | 4.7% | 2.5% | 4.2% | 4.0% | 4.6% | 6.7% | 5.9% | 6.1% |
| ROCE | 10.0% | 10.0% | 7.2% | 5.3% | 2.9% | 4.6% | 4.4% | 4.9% | 6.0% | 5.8% | 6.6% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.08 | 0.08 | 0.22 | 0.10 | 0.14 | 0.18 | 0.24 | 0.30 | 0.11 | 0.18 | 0.24 |
| Debt / EBITDA | 0.50 | 0.50 | 1.68 | 0.94 | 1.74 | 1.82 | 2.15 | 2.54 | 0.80 | 1.31 | 1.51 |
| Net Debt / Equity | — | -0.02 | 0.14 | -0.02 | 0.08 | 0.06 | 0.06 | 0.23 | -0.14 | -0.10 | 0.20 |
| Net Debt / EBITDA | -0.14 | -0.14 | 1.09 | -0.14 | 0.93 | 0.64 | 0.52 | 1.99 | -1.08 | -0.74 | 1.24 |
| Debt / FCF | — | -0.16 | 1.74 | -0.16 | — | 2.57 | 0.26 | 2.47 | -1.54 | -1.15 | 4.38 |
| Interest Coverage | 26.50 | 26.50 | 33.99 | 274.88 | 49.37 | 178.56 | 38.47 | 29.07 | 16.94 | 16.25 | 21.35 |
Net cash position: cash ($111M) exceeds total debt ($87M)
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.77 | 1.77 | 1.81 | 1.89 | 1.79 | 1.62 | 1.62 | 1.75 | 2.04 | 2.12 | 1.93 |
| Quick Ratio | 1.77 | 1.77 | 1.77 | 1.86 | 1.75 | 1.59 | 1.59 | 1.71 | 1.99 | 2.08 | 1.88 |
| Cash Ratio | 1.22 | 1.22 | 0.92 | 1.04 | 0.92 | 0.97 | 1.15 | 1.04 | 1.16 | 1.28 | 1.26 |
| Asset Turnover | — | 0.99 | 0.85 | 0.87 | 0.84 | 0.72 | 0.72 | 0.77 | 0.91 | 0.88 | 0.85 |
| Inventory Turnover | — | — | 89.71 | 96.45 | 96.81 | 77.61 | 69.39 | 79.67 | 78.01 | 79.97 | 72.99 |
| Days Sales Outstanding | — | 33.43 | 38.20 | 34.87 | 34.07 | 34.87 | 33.37 | 33.45 | 36.70 | 35.47 | 31.91 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 1.1% | 1.8% | 2.2% | 2.5% | 3.8% | 3.1% | 3.1% | 2.4% | 2.5% | 3.0% | 2.2% |
| Payout Ratio | 32.2% | 32.2% | 36.3% | 53.2% | 154.2% | 23.1% | 76.2% | 45.8% | 50.6% | 50.2% | 51.0% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 3.4% | 5.6% | 6.1% | 4.7% | 2.4% | 13.2% | 4.1% | 5.1% | 4.9% | 6.1% | 4.4% |
| FCF Yield | 4.2% | 6.9% | 4.8% | 5.9% | — | 2.2% | 17.8% | 5.6% | 5.7% | 6.7% | 2.5% |
| Buyback Yield | 0.4% | 0.7% | 0.8% | 0.2% | 1.1% | 0.1% | 0.0% | 0.1% | 0.1% | 0.0% | 0.7% |
| Total Shareholder Yield | 1.5% | 2.5% | 3.0% | 2.7% | 4.8% | 3.1% | 3.1% | 2.4% | 2.6% | 3.0% | 2.9% |
| Shares Outstanding | — | $16M | $16M | $15M | $15M | $15M | $15M | $15M | $15M | $15M | $15M |
Includes 30+ ratios · 30 years · Updated daily
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Compare growth, multiples, and margins vs sector.
Quick answers to the most common questions about buying NHC stock.
National HealthCare Corporation's current P/E ratio is 29.3x. The historical average is 21.5x. This places it at the 93th percentile of its historical range.
National HealthCare Corporation's current EV/EBITDA is 20.1x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 9.1x.
National HealthCare Corporation's return on equity (ROE) is 11.7%. The historical average is 11.6%.
Based on historical data, National HealthCare Corporation is trading at a P/E of 29.3x. This is at the 93th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
National HealthCare Corporation's current dividend yield is 1.10% with a payout ratio of 32.2%.
National HealthCare Corporation has 39.3% gross margin and 8.5% operating margin.
National HealthCare Corporation's Debt/EBITDA ratio is 0.5x, indicating low leverage. A ratio below 2x is generally considered financially healthy.
Key Metrics
Top Statement Risk
Regulatory staffing mandate risk
Metrics are mathematically derived from official filings.
Premium Pricing for Real Estate Backing
NHC trades at 29.2x trailing earnings and 20.0x EV/EBITDA, a premium to peers like EHC (22.3x P/E, 10.8x EV/EBITDA), reflecting its owned real estate and fortress balance sheet, per reported multiples.
The forward EV/EBITDA of 10.3x suggests the market expects significant EBITDA growth, likely from margin recovery and behavioral health expansion. However, the P/E premium may be justified by the hidden value of owned properties, which are not reflected in book value. Investors should monitor whether earnings growth materializes to support the current multiple.
Margin Recovery Masks Investment Noise
Gross margin improved to 40.7% in 2026Q2 from 36.6% a year earlier, while operating margin rose to 12.0%, as per financial statements, indicating operational discipline despite labor cost pressures.
Net margin of 9.9% in 2026Q2 is flattered by non-operating investment gains, which are volatile and not indicative of core operations. Normalized operating margin of 12.0% is more representative of earning power, but it remains below pre-pandemic levels. The stability of gross margin suggests cost management is effective, yet labor inflation and potential staffing mandates could erode this.
Returns Compress Despite Deleveraging
ROIC improved to 3.4% in 2026Q2 from 1.3% in 2024Q1, but remains low relative to peers like EHC (13.9%), as reported, reflecting the heavy asset base from owned real estate.
The low ROIC is a direct consequence of the owner-operator model, where significant capital is tied up in properties. While this provides a fortress balance sheet, it depresses returns on capital compared to asset-light peers. The recent improvement is driven by margin expansion and revenue growth, but the absolute level suggests the market may be valuing the real estate rather than operational returns.
Working Capital Efficiency Improves
DSO fell to 31 days in 2026Q2 from 37 days in 2024Q2, while CCC remained negative at -8 days, as per reported figures, indicating efficient receivables collection and favorable payment terms.
The negative cash conversion cycle is a positive sign, as NHC collects from payers before paying suppliers, reducing the need for working capital financing. However, the DPO of 8 days is unusually low, suggesting NHC pays suppliers quickly, possibly to maintain relationships. Asset turnover of 0.27x is low due to the heavy real estate base, but this is structural and not a sign of operational inefficiency.
Negligible Debt Provides Strategic Flexibility
Debt-to-equity fell to 0.03 in 2026Q2 from 0.22 in 2024Q4, with interest coverage exceeding 4,000x, as per balance sheet data, indicating minimal financial risk and ample borrowing capacity.
The rapid deleveraging from $214.8M to $31.4M in total debt over six quarters reflects strong cash generation and conservative capital allocation. This fortress balance sheet allows NHC to pursue acquisitions or weather regulatory shocks without refinancing risk. However, the low leverage may also signal a lack of aggressive growth initiatives, which could limit upside.
Liquidity Buffer Reaches Exceptional Levels
Current ratio surged to 22.06 in 2026Q2 from 1.77 a year earlier, with cash at $51.1M, as reported, indicating an extraordinarily strong short-term liquidity position.
The spike in the current ratio is driven by a significant increase in current assets, likely from marketable securities and cash. This provides a substantial cushion against operational disruptions or unexpected liabilities. However, such high liquidity may be inefficient, as excess cash could be deployed for higher returns. The quick ratio of 22.06 confirms that inventory is not a concern, given the service-based nature of the business.
Balance Sheet Strength vs. Operational Returns
NHC's D/E of 0.03 is far below peers like EHC (0.83) and PNTG (1.21), but its ROE of 3.6% lags EHC's 18.7%, as per reported data, highlighting a trade-off between safety and returns.
The peer comparison reveals a clear divergence: NHC's fortress balance sheet and owned real estate provide stability, but its returns on equity and capital are significantly lower than asset-light operators. This suggests the market may be pricing NHC as a real estate play rather than a high-growth healthcare provider. The gap in ROE is structural, not temporary, and investors should weigh the safety of the balance sheet against the lower operational returns.
Misapplied ROIC in Asset-Heavy Model
ROIC is commonly misapplied to NHC because it penalizes the company for owning real estate, which is a strategic advantage, as per reported figures, obscuring true economic returns.
Standard ROIC calculations treat owned properties as invested capital, but these assets generate rental savings and appreciation that are not captured in operating income. A more appropriate metric would be ROIC adjusted for the capitalized value of operating leases, or EV/EBITDAR, which levels the playing field with asset-light peers. Investors should focus on cash-on-cash returns from operations and the potential for real estate monetization, rather than raw ROIC.