NATL HEALTH INVESTORS INC (NHI) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:NHI - US63633D1046 - REIT
78.41 USD
-0.63 (-0.8%)
78.41 USD
0 (0%)
Overall NHI gets a fundamental rating of 6 out of 10. We evaluated NHI against 128 industry peers in the Diversified REITs industry. While NHI has a great profitability rating, there are some minor concerns on its financial health. While showing a medium growth rate, NHI is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
NHI had positive earnings in the past year.
In the past year NHI had a positive cash flow from operations.
Each year in the past 5 years NHI has been profitable.
NHI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
NHI has a Return On Assets of 5.47%. This is amongst the best in the industry. NHI outperforms 96.88% of its industry peers.
NHI's Return On Equity of 9.93% is amongst the best of the industry. NHI outperforms 84.38% of its industry peers.
NHI's Return On Invested Capital of 5.68% is amongst the best of the industry. NHI outperforms 97.66% of its industry peers.
NHI had an Average Return On Invested Capital over the past 3 years of 5.45%. This is above the industry average of 3.05%.
The last Return On Invested Capital (5.68%) for NHI is above the 3 year average (5.45%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.47% | ||
| ROE | 9.93% | ||
| ROIC | 5.68% |
ROA(3y)4.46%
ROA(5y)4.65%
ROE(3y)8.71%
ROE(5y)9.16%
ROIC(3y)5.45%
ROIC(5y)5.5%
1.3 Margins
NHI has a Profit Margin of 41.36%. This is amongst the best in the industry. NHI outperforms 92.19% of its industry peers.
In the last couple of years the Profit Margin of NHI has declined.
NHI's Operating Margin of 52.85% is amongst the best of the industry. NHI outperforms 93.75% of its industry peers.
In the last couple of years the Operating Margin of NHI has declined.
With an excellent Gross Margin value of 83.26%, NHI belongs to the best of the industry, outperforming 83.59% of the companies in the same industry.
In the last couple of years the Gross Margin of NHI has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 52.85% | ||
| PM (TTM) | 41.36% | ||
| GM | 83.26% |
OM growth 3Y-3.37%
OM growth 5Y-4.05%
PM growth 3Y3.19%
PM growth 5Y-4%
GM growth 3Y-4.37%
GM growth 5Y-3.06%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so NHI is destroying value.
NHI has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, NHI has more shares outstanding
Compared to 1 year ago, NHI has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.05 indicates that NHI is not a great score, but indicates only limited risk for bankruptcy at the moment.
NHI has a Altman-Z score of 2.05. This is amongst the best in the industry. NHI outperforms 95.31% of its industry peers.
A Debt/Equity ratio of 0.75 indicates that NHI is somewhat dependend on debt financing.
NHI's Debt to Equity ratio of 0.75 is fine compared to the rest of the industry. NHI outperforms 76.56% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.75 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.05 |
ROIC/WACC0.75
WACC7.62%
2.3 Liquidity
NHI has a Current Ratio of 2.12. This indicates that NHI is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of NHI (2.12) is better than 82.81% of its industry peers.
NHI has a Quick Ratio of 2.12. This indicates that NHI is financially healthy and has no problem in meeting its short term obligations.
With an excellent Quick ratio value of 2.12, NHI belongs to the best of the industry, outperforming 82.81% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.12 | ||
| Quick Ratio | 2.12 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 4.12% over the past year.
The Earnings Per Share has been decreasing by -4.49% on average over the past years.
Looking at the last year, NHI shows a quite strong growth in Revenue. The Revenue has grown by 8.11% in the last year.
NHI shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.05% yearly.
EPS 1Y (TTM)4.12%
EPS 3Y6.89%
EPS 5Y-4.49%
EPS Q2Q%6.15%
Revenue 1Y (TTM)8.11%
Revenue growth 3Y3.92%
Revenue growth 5Y1.05%
Sales Q2Q%8.32%
3.2 Future
NHI is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 4.81% yearly.
The Revenue is expected to grow by 11.22% on average over the next years. This is quite good.
EPS Next Y3.29%
EPS Next 2Y5.4%
EPS Next 3Y4.81%
EPS Next 5YN/A
Revenue Next Year9.63%
Revenue Next 2Y10.5%
Revenue Next 3Y9.31%
Revenue Next 5Y11.22%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 25.88, the valuation of NHI can be described as expensive.
68.75% of the companies in the same industry are more expensive than NHI, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 26.49. NHI is around the same levels.
Based on the Price/Forward Earnings ratio of 23.69, the valuation of NHI can be described as rather expensive.
86.72% of the companies in the same industry are more expensive than NHI, based on the Price/Forward Earnings ratio.
NHI's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 23.69.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.88 | ||
| Fwd PE | 23.69 |
4.2 Price Multiples
NHI's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. NHI is more expensive than 76.56% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 17.91 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates NHI does not grow enough to justify the current Price/Earnings ratio.
NHI has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)7.87
PEG (5Y)N/A
EPS Next 2Y5.4%
EPS Next 3Y4.81%
5. Dividend
5.1 Amount
NHI has a Yearly Dividend Yield of 4.66%, which is a nice return.
NHI's Dividend Yield is comparable with the industry average which is at 6.59.
NHI's Dividend Yield is rather good when compared to the S&P500 average which is at 2.31.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.66% |
5.2 History
The dividend of NHI decreases each year by -3.12%.
NHI has paid a dividend for at least 10 years, which is a reliable track record.
NHI has decreased its dividend in the last 3 years.
Dividend Growth(5Y)-3.12%
Div Incr Years0
Div Non Decr Years2
5.3 Sustainability
NHI pays out 112.27% of its income as dividend. This is not a sustainable payout ratio.
DP112.27%
EPS Next 2Y5.4%
EPS Next 3Y4.81%
78.41
-0.63 (-0.8%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners75.02%
Inst Owner Change-1.12%
Ins Owners0.77%
Ins Owner Change0.75%
Market Cap3.74B
Revenue(TTM)355.56M
Net Income(TTM)147.08M
Analysts78.18
Price Target87.72 (11.87%)
Short Float %3.93%
Short Ratio9.28
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.66% |
Yearly Dividend3.51
Dividend Growth(5Y)-3.12%
DP112.27%
Div Incr Years0
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-2%
Min EPS beat(2)-8.3%
Max EPS beat(2)4.29%
EPS beat(4)2
Avg EPS beat(4)0.64%
Min EPS beat(4)-8.3%
Max EPS beat(4)6.65%
EPS beat(8)5
Avg EPS beat(8)1.38%
EPS beat(12)6
Avg EPS beat(12)-5.57%
EPS beat(16)7
Avg EPS beat(16)-16.14%
Revenue beat(2)2
Avg Revenue beat(2)4.52%
Min Revenue beat(2)3.26%
Max Revenue beat(2)5.78%
Revenue beat(4)4
Avg Revenue beat(4)4.22%
Min Revenue beat(4)3.26%
Max Revenue beat(4)5.78%
Revenue beat(8)8
Avg Revenue beat(8)4.08%
Revenue beat(12)10
Avg Revenue beat(12)2.33%
Revenue beat(16)12
Avg Revenue beat(16)0.37%
PT rev (1m)2.91%
PT rev (3m)6.17%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-1.25%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.22%
Revenue NQ rev (1m)1.01%
Revenue NQ rev (3m)1.35%
Revenue NY rev (1m)0.78%
Revenue NY rev (3m)0.65%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.88 | ||
| Fwd PE | 23.69 | ||
| P/S | 10.51 | ||
| P/FCF | N/A | ||
| P/OCF | 16.5 | ||
| P/B | 2.52 | ||
| P/tB | 2.52 | ||
| EV/EBITDA | 17.91 |
EPS(TTM)3.03
EY3.86%
EPS(NY)3.31
Fwd EY4.22%
FCF(TTM)-0.91
FCFYN/A
OCF(TTM)4.75
OCFY6.06%
SpS7.46
BVpS31.09
TBVpS31.09
PEG (NY)7.87
PEG (5Y)N/A
Graham Number46.04
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.47% | ||
| ROE | 9.93% | ||
| ROCE | 7.2% | ||
| ROIC | 5.68% | ||
| ROICexc | 5.87% | ||
| ROICexgc | 5.9% | ||
| OM | 52.85% | ||
| PM (TTM) | 41.36% | ||
| GM | 83.26% | ||
| FCFM | N/A |
ROA(3y)4.46%
ROA(5y)4.65%
ROE(3y)8.71%
ROE(5y)9.16%
ROIC(3y)5.45%
ROIC(5y)5.5%
ROICexc(3y)5.5%
ROICexc(5y)5.56%
ROICexgc(3y)5.53%
ROICexgc(5y)5.6%
ROCE(3y)6.9%
ROCE(5y)6.97%
ROICexgc growth 3Y3.22%
ROICexgc growth 5Y0.14%
ROICexc growth 3Y3.22%
ROICexc growth 5Y0.15%
OM growth 3Y-3.37%
OM growth 5Y-4.05%
PM growth 3Y3.19%
PM growth 5Y-4%
GM growth 3Y-4.37%
GM growth 5Y-3.06%
F-Score6
Asset Turnover0.13
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.75 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 4.17 | ||
| Cap/Depr | 345.79% | ||
| Cap/Sales | 75.83% | ||
| Interest Coverage | 3.47 | ||
| Cash Conversion | 85.15% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.12 | ||
| Quick Ratio | 2.12 | ||
| Altman-Z | 2.05 |
F-Score6
WACC7.62%
ROIC/WACC0.75
Cap/Depr(3y)100.3%
Cap/Depr(5y)96.53%
Cap/Sales(3y)21.64%
Cap/Sales(5y)22.31%
Profit Quality(3y)135.02%
Profit Quality(5y)124.31%
High Growth Momentum
Growth
EPS 1Y (TTM)4.12%
EPS 3Y6.89%
EPS 5Y-4.49%
EPS Q2Q%6.15%
EPS Next Y3.29%
EPS Next 2Y5.4%
EPS Next 3Y4.81%
EPS Next 5YN/A
Revenue 1Y (TTM)8.11%
Revenue growth 3Y3.92%
Revenue growth 5Y1.05%
Sales Q2Q%8.32%
Revenue Next Year9.63%
Revenue Next 2Y10.5%
Revenue Next 3Y9.31%
Revenue Next 5Y11.22%
EBIT growth 1Y1.36%
EBIT growth 3Y0.41%
EBIT growth 5Y-3.04%
EBIT Next Year55.09%
EBIT Next 3Y21.62%
EBIT Next 5Y16.68%
FCF growth 1Y-131.82%
FCF growth 3Y-32.77%
FCF growth 5Y17.98%
OCF growth 1Y27.55%
OCF growth 3Y-0.5%
OCF growth 5Y-2.92%
NATL HEALTH INVESTORS INC / NHI FAQ
What is the ChartMill fundamental rating of NATL HEALTH INVESTORS INC (NHI) stock?
ChartMill assigns a fundamental rating of 6 / 10 to NHI.
What is the valuation status of NATL HEALTH INVESTORS INC (NHI) stock?
ChartMill assigns a valuation rating of 3 / 10 to NATL HEALTH INVESTORS INC (NHI). This can be considered as Overvalued.
Can you provide the profitability details for NATL HEALTH INVESTORS INC?
NATL HEALTH INVESTORS INC (NHI) has a profitability rating of 8 / 10.
What is the financial health of NATL HEALTH INVESTORS INC (NHI) stock?
The financial health rating of NATL HEALTH INVESTORS INC (NHI) is 5 / 10.
How sustainable is the dividend of NATL HEALTH INVESTORS INC (NHI) stock?
The dividend rating of NATL HEALTH INVESTORS INC (NHI) is 4 / 10 and the dividend payout ratio is 112.27%.