ENSIGN GROUP INC/THE (ENSG) Stock Fundamental Analysis
NASDAQ:ENSG - US29358P1012 - Common Stock
173.29 USD
-0.7 (-0.4%)
Overall ENSG gets a fundamental rating of 6 out of 10. We evaluated ENSG against 101 industry peers in the Health Care Providers & Services industry. ENSG scores excellent points on both the profitability and health parts. This is a solid base for a good stock. While showing a medium growth rate, ENSG is valued expensive at the moment. These ratings could make ENSG a good candidate for quality investing.
1. Profitability
1.1 Basic Checks
In the past year ENSG was profitable.
In the past year ENSG had a positive cash flow from operations.
ENSG had positive earnings in each of the past 5 years.
Each year in the past 5 years ENSG had a positive operating cash flow.
1.2 Ratios
With an excellent Return On Assets value of 6.55%, ENSG belongs to the best of the industry, outperforming 85.15% of the companies in the same industry.
Looking at the Return On Equity, with a value of 16.00%, ENSG belongs to the top of the industry, outperforming 85.15% of the companies in the same industry.
ENSG has a Return On Invested Capital of 7.30%. This is in the better half of the industry: ENSG outperforms 72.28% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for ENSG is below the industry average of 9.19%.
The 3 year average ROIC (6.92%) for ENSG is below the current ROIC(7.30%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.55% | ||
| ROE | 16% | ||
| ROIC | 7.3% |
ROA(3y)5.97%
ROA(5y)6.29%
ROE(3y)16.09%
ROE(5y)17.64%
ROIC(3y)6.92%
ROIC(5y)7.62%
1.3 Margins
ENSG has a Profit Margin of 6.99%. This is amongst the best in the industry. ENSG outperforms 85.15% of its industry peers.
In the last couple of years the Profit Margin of ENSG has grown nicely.
With a decent Operating Margin value of 8.57%, ENSG is doing good in the industry, outperforming 76.24% of the companies in the same industry.
In the last couple of years the Operating Margin of ENSG has grown nicely.
The Gross Margin of ENSG (21.32%) is comparable to the rest of the industry.
In the last couple of years the Gross Margin of ENSG has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.57% | ||
| PM (TTM) | 6.99% | ||
| GM | 21.32% |
OM growth 3Y-5.18%
OM growth 5Y5.91%
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.
ENSG has more shares outstanding than it did 1 year ago.
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 3.79 indicates that ENSG is not in any danger for bankruptcy at the moment.
With a decent Altman-Z score value of 3.79, ENSG is doing good in the industry, outperforming 71.29% of the companies in the same industry.
ENSG has a debt to FCF ratio of 0.42. This is a very positive value and a sign of high solvency as it would only need 0.42 years to pay back of all of its debts.
ENSG has a Debt to FCF ratio of 0.42. This is amongst the best in the industry. ENSG outperforms 92.08% 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.
ENSG has a Debt to Equity ratio of 0.07. This is in the better half of the industry: ENSG outperforms 77.23% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 0.42 | ||
| Altman-Z | 3.79 |
ROIC/WACC0.84
WACC8.67%
2.3 Liquidity
A Current Ratio of 1.41 indicates that ENSG should not have too much problems paying its short term obligations.
The Current ratio of ENSG (1.41) is comparable to the rest of the 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 (1.41) which is comparable to the rest of the industry.
The current and quick ratio evaluation for ENSG is rather negative, while it does have 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 17.45%, 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 16.31%.
The Revenue has been growing by 15.91% on average over the past years. This is quite good.
EPS 1Y (TTM)17.45%
EPS 3Y14.75%
EPS 5Y19.68%
EPS Q2Q%20.45%
Revenue 1Y (TTM)16.31%
Revenue growth 3Y17.48%
Revenue growth 5Y15.91%
Sales Q2Q%18.48%
3.2 Future
The Earnings Per Share is expected to grow by 13.56% 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 12.79% yearly.
EPS Next Y18.66%
EPS Next 2Y15.22%
EPS Next 3Y13.56%
EPS Next 5YN/A
Revenue Next Year17.34%
Revenue Next 2Y14.01%
Revenue Next 3Y12.79%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 28.93, which means the current valuation is very expensive for ENSG.
Compared to the rest of the industry, the Price/Earnings ratio of ENSG is on the same level as its industry peers.
ENSG's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.02.
ENSG is valuated rather expensively with a Price/Forward Earnings ratio of 23.73.
Compared to the rest of the industry, the Price/Forward Earnings ratio of ENSG is on the same level as its industry peers.
ENSG is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 22.66, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.93 | ||
| Fwd PE | 23.73 |
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 | 29.27 | ||
| EV/EBITDA | 19.76 |
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 13.56% in the coming years.
PEG (NY)1.55
PEG (5Y)1.47
EPS Next 2Y15.22%
EPS Next 3Y13.56%
5. Dividend
5.1 Amount
ENSG has a yearly dividend return of 0.14%, which is pretty low.
Compared to an average industry Dividend Yield of 2.48, ENSG pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.45, ENSG's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.14% |
5.2 History
The dividend of ENSG has a limited annual growth rate of 4.75%.
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)4.75%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
4.35% of the earnings are spent on dividend by ENSG. This is a low number and sustainable payout ratio.
ENSG's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP4.35%
EPS Next 2Y15.22%
EPS Next 3Y13.56%
NASDAQ:ENSG (9/8/2025, 12:20:45 PM)
173.29
-0.7 (-0.4%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)
Earnings (Next)
Inst Owners93.08%
Inst Owner Change0.71%
Ins Owners1.39%
Ins Owner Change-0.71%
Market Cap10.00B
Analysts83.33
Price Target176.46 (1.83%)
Short Float %3.2%
Short Ratio4.33
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.14% |
Yearly Dividend0.24
Dividend Growth(5Y)4.75%
DP4.35%
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)4.22%
PT rev (3m)4.09%
EPS NQ rev (1m)0.21%
EPS NQ rev (3m)2.19%
EPS NY rev (1m)1.47%
EPS NY rev (3m)1.45%
Revenue NQ rev (1m)0.15%
Revenue NQ rev (3m)3.84%
Revenue NY rev (1m)0.12%
Revenue NY rev (3m)1.6%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.93 | ||
| Fwd PE | 23.73 | ||
| P/S | 2.17 | ||
| P/FCF | 29.27 | ||
| P/OCF | 21.6 | ||
| P/B | 4.96 | ||
| P/tB | 5.23 | ||
| EV/EBITDA | 19.76 |
EPS(TTM)5.99
EY3.46%
EPS(NY)7.3
Fwd EY4.21%
FCF(TTM)5.92
FCFY3.42%
OCF(TTM)8.02
OCFY4.63%
SpS79.98
BVpS34.97
TBVpS33.16
PEG (NY)1.55
PEG (5Y)1.47
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.55% | ||
| ROE | 16% | ||
| ROCE | 9.47% | ||
| ROIC | 7.3% | ||
| ROICexc | 8.12% | ||
| ROICexgc | 8.35% | ||
| OM | 8.57% | ||
| PM (TTM) | 6.99% | ||
| GM | 21.32% | ||
| FCFM | 7.4% |
ROA(3y)5.97%
ROA(5y)6.29%
ROE(3y)16.09%
ROE(5y)17.64%
ROIC(3y)6.92%
ROIC(5y)7.62%
ROICexc(3y)7.98%
ROICexc(5y)8.73%
ROICexgc(3y)8.24%
ROICexgc(5y)9.03%
ROCE(3y)8.98%
ROCE(5y)9.88%
ROICexcg growth 3Y-5.91%
ROICexcg growth 5Y9.74%
ROICexc growth 3Y-5.86%
ROICexc growth 5Y9.75%
OM growth 3Y-5.18%
OM growth 5Y5.91%
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 | 129.01% | ||
| Cap/Sales | 2.63% | ||
| Interest Coverage | 55.36 | ||
| Cash Conversion | 94.59% | ||
| Profit Quality | 105.84% | ||
| Current Ratio | 1.41 | ||
| Quick Ratio | 1.41 | ||
| Altman-Z | 3.79 |
F-Score6
WACC8.67%
ROIC/WACC0.84
Cap/Depr(3y)234.85%
Cap/Depr(5y)228.42%
Cap/Sales(3y)4.69%
Cap/Sales(5y)4.72%
Profit Quality(3y)68.27%
Profit Quality(5y)87.01%
High Growth Momentum
Growth
EPS 1Y (TTM)17.45%
EPS 3Y14.75%
EPS 5Y19.68%
EPS Q2Q%20.45%
EPS Next Y18.66%
EPS Next 2Y15.22%
EPS Next 3Y13.56%
EPS Next 5YN/A
Revenue 1Y (TTM)16.31%
Revenue growth 3Y17.48%
Revenue growth 5Y15.91%
Sales Q2Q%18.48%
Revenue Next Year17.34%
Revenue Next 2Y14.01%
Revenue Next 3Y12.79%
Revenue Next 5YN/A
EBIT growth 1Y46%
EBIT growth 3Y11.4%
EBIT growth 5Y22.76%
EBIT Next Year42.58%
EBIT Next 3Y20.66%
EBIT Next 5YN/A
FCF growth 1Y142.14%
FCF growth 3Y20.53%
FCF growth 5YN/A
OCF growth 1Y48.93%
OCF growth 3Y7.99%
OCF growth 5Y12.55%