ENSIGN GROUP INC/THE (ENSG) Stock Fundamental Analysis
USA - NASDAQ:ENSG - US29358P1012 - Common Stock
177.89 USD
+0.59 (+0.33%)
177.89 USD
0 (0%)
ENSG gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 100 industry peers in the Health Care Providers & Services industry. ENSG has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. ENSG has a correct valuation and a medium growth rate. These ratings would make ENSG suitable for quality investing!
1. Profitability
1.1 Basic Checks
ENSG had positive earnings in the past year.
ENSG had a positive operating cash flow in the past year.
Each year in the past 5 years ENSG has been profitable.
ENSG had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With an excellent Return On Assets value of 6.53%, ENSG belongs to the best of the industry, outperforming 86.00% of the companies in the same industry.
Looking at the Return On Equity, with a value of 15.96%, ENSG belongs to the top of the industry, outperforming 83.00% of the companies in the same industry.
ENSG has a Return On Invested Capital of 7.29%. This is in the better half of the industry: ENSG outperforms 68.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for ENSG is below the industry average of 9.40%.
The last Return On Invested Capital (7.29%) for ENSG is above the 3 year average (6.91%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.53% | ||
| ROE | 15.96% | ||
| ROIC | 7.29% |
ROA(3y)5.96%
ROA(5y)6.28%
ROE(3y)16.08%
ROE(5y)17.63%
ROIC(3y)6.91%
ROIC(5y)7.61%
1.3 Margins
The Profit Margin of ENSG (6.98%) is better than 85.00% of its industry peers.
In the last couple of years the Profit Margin of ENSG has grown nicely.
ENSG's Operating Margin of 8.56% is fine compared to the rest of the industry. ENSG outperforms 75.00% of its industry peers.
ENSG's Operating Margin has improved in the last couple of years.
ENSG has a Gross Margin (21.32%) which is in line with its industry peers.
ENSG's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.56% | ||
| PM (TTM) | 6.98% | ||
| GM | 21.32% |
OM growth 3Y-5.2%
OM growth 5Y5.89%
PM growth 3Y-1.91%
PM growth 5Y5.21%
GM growth 3Y-3.36%
GM growth 5Y0.9%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), ENSG is destroying value.
Compared to 1 year ago, ENSG has about the same amount of shares outstanding.
Compared to 5 years ago, ENSG has more shares outstanding
The debt/assets ratio for ENSG has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 3.84 indicates that ENSG is not in any danger for bankruptcy at the moment.
ENSG has a better Altman-Z score (3.84) than 75.00% of its industry peers.
The Debt to FCF ratio of ENSG is 0.42, which is an excellent value as it means it would take ENSG, only 0.42 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of ENSG (0.42) is better than 92.00% of its industry peers.
ENSG has a Debt/Equity ratio of 0.07. This is a healthy value indicating a solid balance between debt and equity.
With a decent Debt to Equity ratio value of 0.07, ENSG is doing good in the industry, outperforming 77.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 0.42 | ||
| Altman-Z | 3.84 |
ROIC/WACC0.81
WACC9.05%
2.3 Liquidity
A Current Ratio of 1.41 indicates that ENSG should not have too much problems paying its short term obligations.
With a Current ratio value of 1.41, ENSG perfoms like the industry average, outperforming 49.00% of the companies in the same industry.
A Quick Ratio of 1.41 indicates that ENSG should not have too much problems paying its short term obligations.
ENSG has a Quick ratio of 1.41. This is comparable to the rest of the industry: ENSG outperforms 58.00% of its industry peers.
ENSG does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.41 | ||
| Quick Ratio | 1.41 |
3. Growth
3.1 Past
ENSG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 17.96%, which is quite good.
ENSG shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 19.68% yearly.
ENSG shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 14.24%.
ENSG shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 15.91% yearly.
EPS 1Y (TTM)17.96%
EPS 3Y14.75%
EPS 5Y19.68%
EPS Q2Q%17.99%
Revenue 1Y (TTM)14.24%
Revenue growth 3Y17.48%
Revenue growth 5Y15.91%
Sales Q2Q%19.84%
3.2 Future
The Earnings Per Share is expected to grow by 13.30% on average over the next years. This is quite good.
ENSG is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 12.90% yearly.
EPS Next Y18.95%
EPS Next 2Y15.41%
EPS Next 3Y13.3%
EPS Next 5YN/A
Revenue Next Year17.73%
Revenue Next 2Y14.23%
Revenue Next 3Y12.9%
Revenue Next 5YN/A
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 28.51 indicates a quite expensive valuation of ENSG.
ENSG's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 25.89, ENSG is valued at the same level.
A Price/Forward Earnings ratio of 24.28 indicates a rather expensive valuation of ENSG.
ENSG's Price/Forward Earnings ratio is in line with the industry average.
The average S&P500 Price/Forward Earnings ratio is at 34.59. ENSG is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.51 | ||
| Fwd PE | 24.28 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ENSG is on the same level as its industry peers.
ENSG's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 30.01 | ||
| EV/EBITDA | 20.32 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
ENSG has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as ENSG's earnings are expected to grow with 13.30% in the coming years.
PEG (NY)1.5
PEG (5Y)1.45
EPS Next 2Y15.41%
EPS Next 3Y13.3%
5. Dividend
5.1 Amount
ENSG has a yearly dividend return of 0.14%, which is pretty low.
ENSG's Dividend Yield is a higher than the industry average which is at 2.57.
With a Dividend Yield of 0.14, ENSG pays less dividend than the S&P500 average, which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.14% |
5.2 History
The dividend of ENSG has a limited annual growth rate of 5.26%.
ENSG has been paying a dividend for at least 10 years, so it has a reliable track record.
ENSG has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)5.26%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
4.47% of the earnings are spent on dividend by ENSG. This is a low number and sustainable payout ratio.
The dividend of ENSG is growing, but earnings are growing more, so the dividend growth is sustainable.
DP4.47%
EPS Next 2Y15.41%
EPS Next 3Y13.3%
177.89
+0.59 (+0.33%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)
Earnings (Next)
Inst Owners94.19%
Inst Owner Change2.69%
Ins Owners1.4%
Ins Owner Change-1.51%
Market Cap10.26B
Revenue(TTM)4.26B
Net Income(TTM)322.00M
Analysts83.64
Price Target186.05 (4.59%)
Short Float %3.6%
Short Ratio5.58
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.14% |
Yearly Dividend0.25
Dividend Growth(5Y)5.26%
DP4.47%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.23%
Min EPS beat(2)-0.04%
Max EPS beat(2)0.5%
EPS beat(4)1
Avg EPS beat(4)-0.48%
Min EPS beat(4)-1.26%
Max EPS beat(4)0.5%
EPS beat(8)1
Avg EPS beat(8)-0.77%
EPS beat(12)2
Avg EPS beat(12)-0.66%
EPS beat(16)2
Avg EPS beat(16)-0.74%
Revenue beat(2)0
Avg Revenue beat(2)-1.61%
Min Revenue beat(2)-1.92%
Max Revenue beat(2)-1.3%
Revenue beat(4)0
Avg Revenue beat(4)-1.45%
Min Revenue beat(4)-1.92%
Max Revenue beat(4)-0.94%
Revenue beat(8)0
Avg Revenue beat(8)-1.35%
Revenue beat(12)2
Avg Revenue beat(12)-0.89%
Revenue beat(16)2
Avg Revenue beat(16)-1.12%
PT rev (1m)2.82%
PT rev (3m)6.46%
EPS NQ rev (1m)0.5%
EPS NQ rev (3m)0.62%
EPS NY rev (1m)0.31%
EPS NY rev (3m)1.72%
Revenue NQ rev (1m)0.62%
Revenue NQ rev (3m)0.77%
Revenue NY rev (1m)0.35%
Revenue NY rev (3m)0.45%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.51 | ||
| Fwd PE | 24.28 | ||
| P/S | 2.22 | ||
| P/FCF | 30.01 | ||
| P/OCF | 22.17 | ||
| P/B | 5.09 | ||
| P/tB | 5.37 | ||
| EV/EBITDA | 20.32 |
EPS(TTM)6.24
EY3.51%
EPS(NY)7.33
Fwd EY4.12%
FCF(TTM)5.93
FCFY3.33%
OCF(TTM)8.02
OCFY4.51%
SpS79.98
BVpS34.96
TBVpS33.15
PEG (NY)1.5
PEG (5Y)1.45
Graham Number70.06
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.53% | ||
| ROE | 15.96% | ||
| ROCE | 9.46% | ||
| ROIC | 7.29% | ||
| ROICexc | 8.11% | ||
| ROICexgc | 8.34% | ||
| OM | 8.56% | ||
| PM (TTM) | 6.98% | ||
| GM | 21.32% | ||
| FCFM | 7.41% |
ROA(3y)5.96%
ROA(5y)6.28%
ROE(3y)16.08%
ROE(5y)17.63%
ROIC(3y)6.91%
ROIC(5y)7.61%
ROICexc(3y)7.97%
ROICexc(5y)8.72%
ROICexgc(3y)8.22%
ROICexgc(5y)9.02%
ROCE(3y)8.97%
ROCE(5y)9.87%
ROICexgc growth 3Y-5.94%
ROICexgc growth 5Y9.72%
ROICexc growth 3Y-5.88%
ROICexc growth 5Y9.73%
OM growth 3Y-5.2%
OM growth 5Y5.89%
PM growth 3Y-1.91%
PM growth 5Y5.21%
GM growth 3Y-3.36%
GM growth 5Y0.9%
F-Score6
Asset Turnover0.94
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 0.42 | ||
| Debt/EBITDA | 0.29 | ||
| Cap/Depr | 128.72% | ||
| Cap/Sales | 2.62% | ||
| Interest Coverage | 55.32 | ||
| Cash Conversion | 94.68% | ||
| Profit Quality | 106.21% | ||
| Current Ratio | 1.41 | ||
| Quick Ratio | 1.41 | ||
| Altman-Z | 3.84 |
F-Score6
WACC9.05%
ROIC/WACC0.81
Cap/Depr(3y)235.3%
Cap/Depr(5y)228.69%
Cap/Sales(3y)4.69%
Cap/Sales(5y)4.72%
Profit Quality(3y)68.38%
Profit Quality(5y)87.08%
High Growth Momentum
Growth
EPS 1Y (TTM)17.96%
EPS 3Y14.75%
EPS 5Y19.68%
EPS Q2Q%17.99%
EPS Next Y18.95%
EPS Next 2Y15.41%
EPS Next 3Y13.3%
EPS Next 5YN/A
Revenue 1Y (TTM)14.24%
Revenue growth 3Y17.48%
Revenue growth 5Y15.91%
Sales Q2Q%19.84%
Revenue Next Year17.73%
Revenue Next 2Y14.23%
Revenue Next 3Y12.9%
Revenue Next 5YN/A
EBIT growth 1Y45.84%
EBIT growth 3Y11.37%
EBIT growth 5Y22.74%
EBIT Next Year42.78%
EBIT Next 3Y20.69%
EBIT Next 5YN/A
FCF growth 1Y142.38%
FCF growth 3Y20.54%
FCF growth 5YN/A
OCF growth 1Y48.97%
OCF growth 3Y7.97%
OCF growth 5Y12.54%
ENSIGN GROUP INC/THE / ENSG FAQ
What is the ChartMill fundamental rating of ENSIGN GROUP INC/THE (ENSG) stock?
ChartMill assigns a fundamental rating of 7 / 10 to ENSG.
What is the valuation status of ENSIGN GROUP INC/THE (ENSG) stock?
ChartMill assigns a valuation rating of 4 / 10 to ENSIGN GROUP INC/THE (ENSG). This can be considered as Fairly Valued.
What is the profitability of ENSG stock?
ENSIGN GROUP INC/THE (ENSG) has a profitability rating of 8 / 10.
What are the PE and PB ratios of ENSIGN GROUP INC/THE (ENSG) stock?
The Price/Earnings (PE) ratio for ENSIGN GROUP INC/THE (ENSG) is 28.51 and the Price/Book (PB) ratio is 5.09.
What is the financial health of ENSIGN GROUP INC/THE (ENSG) stock?
The financial health rating of ENSIGN GROUP INC/THE (ENSG) is 7 / 10.