NATL HEALTH INVESTORS INC (NHI) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:NHI - US63633D1046 - REIT
81.18 USD
+1.48 (+1.86%)
81.18 USD
0 (0%)
Taking everything into account, NHI scores 6 out of 10 in our fundamental rating. NHI was compared to 125 industry peers in the Diversified REITs industry. NHI scores excellent on profitability, but there are some minor concerns on its financial health. NHI is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
- NHI had positive earnings in the past year.
- NHI had a positive operating cash flow in the past year.
- NHI had positive earnings in each of the past 5 years.
- Each year in the past 5 years NHI had a positive operating cash flow.
1.2 Ratios
- With an excellent Return On Assets value of 5.47%, NHI belongs to the best of the industry, outperforming 96.80% of the companies in the same industry.
- The Return On Equity of NHI (9.93%) is better than 84.80% of its industry peers.
- The Return On Invested Capital of NHI (5.68%) is better than 97.60% 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 3.07%.
- 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 better Profit Margin (41.36%) than 92.80% of its industry peers.
- In the last couple of years the Profit Margin of NHI has declined.
- NHI has a Operating Margin of 52.85%. This is amongst the best in the industry. NHI outperforms 94.40% of its industry peers.
- NHI's Operating Margin has declined in the last couple of years.
- With an excellent Gross Margin value of 83.26%, NHI belongs to the best of the industry, outperforming 83.20% of the companies in the same industry.
- NHI's Gross Margin has declined in the last couple of years.
| 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.
- Compared to 1 year ago, NHI has more shares outstanding
- The number of shares outstanding for NHI has been increased compared to 5 years ago.
- NHI has a better debt/assets ratio than last year.
2.2 Solvency
- An Altman-Z score of 2.12 indicates that NHI is not a great score, but indicates only limited risk for bankruptcy at the moment.
- NHI's Altman-Z score of 2.12 is amongst the best of the industry. NHI outperforms 95.20% of its industry peers.
- NHI has a Debt/Equity ratio of 0.75. This is a neutral value indicating NHI is somewhat dependend on debt financing.
- Looking at the Debt to Equity ratio, with a value of 0.75, NHI is in the better half of the industry, outperforming 77.60% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.75 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.12 |
ROIC/WACC0.73
WACC7.78%
2.3 Liquidity
- A Current Ratio of 2.12 indicates that NHI has no problem at all paying its short term obligations.
- Looking at the Current ratio, with a value of 2.12, NHI belongs to the top of the industry, outperforming 84.00% of the companies in the same industry.
- A Quick Ratio of 2.12 indicates that NHI has no problem at all paying its short term obligations.
- Looking at the Quick ratio, with a value of 2.12, NHI belongs to the top of the industry, outperforming 84.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.12 | ||
| Quick Ratio | 2.12 |
3. Growth
3.1 Past
- NHI shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 4.12%.
- Measured over the past years, NHI shows a decrease in Earnings Per Share. The EPS has been decreasing by -4.49% on average per year.
- The Revenue has grown by 8.11% in the past year. This is quite good.
- 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
- Based on estimates for the next years, NHI will show a small growth in Earnings Per Share. The EPS will grow by 4.81% on average per year.
- Based on estimates for the next years, NHI will show a quite strong growth in Revenue. The Revenue will grow by 13.29% on average per year.
EPS Next Y3.29%
EPS Next 2Y5.4%
EPS Next 3Y4.81%
EPS Next 5YN/A
Revenue Next Year9.62%
Revenue Next 2Y11.85%
Revenue Next 3Y11.26%
Revenue Next 5Y13.29%
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.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 26.79, which means the current valuation is very expensive for NHI.
- Based on the Price/Earnings ratio, NHI is valued a bit cheaper than the industry average as 70.40% of the companies are valued more expensively.
- NHI is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 27.32, which is the current average of the S&P500 Index.
- The Price/Forward Earnings ratio is 24.52, which indicates a rather expensive current valuation of NHI.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of NHI indicates a rather cheap valuation: NHI is cheaper than 85.60% of the companies listed in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 24.30, NHI is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.79 | ||
| Fwd PE | 24.52 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of NHI indicates a slightly more expensive valuation: NHI is more expensive than 76.80% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 18.41 |
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)8.15
PEG (5Y)N/A
EPS Next 2Y5.4%
EPS Next 3Y4.81%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 4.58%, NHI is a good candidate for dividend investing.
- 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 1.86.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.58% |
5.2 History
- The dividend of NHI decreases each year by -3.12%.
- NHI has been paying a dividend for at least 10 years, so it has 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
- 112.27% of the earnings are spent on dividend by NHI. This is not a sustainable payout ratio.
DP112.27%
EPS Next 2Y5.4%
EPS Next 3Y4.81%
81.18
+1.48 (+1.86%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)11-06 2025-11-06/amc
Earnings (Next)02-23 2026-02-23/amc
Inst Owners74.99%
Inst Owner Change0.04%
Ins Owners0.77%
Ins Owner Change3.51%
Market Cap3.87B
Revenue(TTM)355.56M
Net Income(TTM)147.08M
Analysts78.18
Price Target87.72 (8.06%)
Short Float %2.98%
Short Ratio6.73
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.58% |
Yearly Dividend3.51
Dividend Growth(5Y)-3.12%
DP112.27%
Div Incr Years0
Div Non Decr Years2
Ex-DateN/A
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)4.2%
Revenue beat(12)10
Avg Revenue beat(12)2.41%
Revenue beat(16)12
Avg Revenue beat(16)0.43%
PT rev (1m)0%
PT rev (3m)4.88%
EPS NQ rev (1m)1.58%
EPS NQ rev (3m)1.58%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.69%
Revenue NQ rev (1m)1.65%
Revenue NQ rev (3m)2.68%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.12%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.79 | ||
| Fwd PE | 24.52 | ||
| P/S | 10.88 | ||
| P/FCF | N/A | ||
| P/OCF | 17.08 | ||
| P/B | 2.61 | ||
| P/tB | 2.61 | ||
| EV/EBITDA | 18.41 |
EPS(TTM)3.03
EY3.73%
EPS(NY)3.31
Fwd EY4.08%
FCF(TTM)-0.91
FCFYN/A
OCF(TTM)4.75
OCFY5.85%
SpS7.46
BVpS31.09
TBVpS31.09
PEG (NY)8.15
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 | 2.12 |
F-Score6
WACC7.78%
ROIC/WACC0.73
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 Year9.62%
Revenue Next 2Y11.85%
Revenue Next 3Y11.26%
Revenue Next 5Y13.29%
EBIT growth 1Y1.36%
EBIT growth 3Y0.41%
EBIT growth 5Y-3.04%
EBIT Next Year55.44%
EBIT Next 3Y22.24%
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 for NHI stock?
ChartMill assigns a valuation rating of 3 / 10 to NATL HEALTH INVESTORS INC (NHI). This can be considered as Overvalued.
How profitable is NATL HEALTH INVESTORS INC (NHI) stock?
NATL HEALTH INVESTORS INC (NHI) has a profitability rating of 8 / 10.
What are the PE and PB ratios of NATL HEALTH INVESTORS INC (NHI) stock?
The Price/Earnings (PE) ratio for NATL HEALTH INVESTORS INC (NHI) is 26.79 and the Price/Book (PB) ratio is 2.61.
Is the dividend of NATL HEALTH INVESTORS INC sustainable?
The dividend rating of NATL HEALTH INVESTORS INC (NHI) is 4 / 10 and the dividend payout ratio is 112.27%.