NATL HEALTH INVESTORS INC (NHI) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:NHI - US63633D1046 - REIT
79.48 USD
-0.14 (-0.18%)
79.48 USD
0 (0%)
We assign a fundamental rating of 6 out of 10 to NHI. NHI was compared to 128 industry peers in the Diversified REITs industry. NHI has an excellent profitability rating, 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.
In the past year NHI had a positive cash flow from operations.
Each year in the past 5 years NHI has been profitable.
In the past 5 years NHI always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of NHI (5.47%) is better than 96.88% of its industry peers.
NHI has a better Return On Equity (9.93%) than 87.50% of its industry peers.
With an excellent Return On Invested Capital value of 5.68%, NHI belongs to the best of the industry, outperforming 97.66% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for NHI is above the industry average of 3.06%.
The 3 year average ROIC (5.45%) for NHI is below the current ROIC(5.68%), indicating increased profibility in the last year.
| 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.
NHI's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 52.85%, NHI belongs to the top of the industry, outperforming 93.75% of the companies in the same industry.
NHI's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 83.26%, NHI belongs to the top of the industry, outperforming 82.81% 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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), NHI is destroying value.
Compared to 1 year ago, NHI has more shares outstanding
NHI has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, NHI has an improved debt to assets ratio.
2.2 Solvency
NHI has an Altman-Z score of 2.07. This is not the best score and indicates that NHI is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of NHI (2.07) is better than 94.53% 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 | 2.07 |
ROIC/WACC0.75
WACC7.54%
2.3 Liquidity
A Current Ratio of 2.12 indicates that NHI has no problem at all paying 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.
The Quick ratio of NHI (2.12) is better than 82.81% of its industry peers.
| 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%.
The Earnings Per Share has been decreasing by -4.49% on average over the past years.
NHI shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 8.11%.
The Revenue has been growing slightly by 1.05% on average over the past years.
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.
NHI is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 11.22% yearly.
EPS Next Y3.29%
EPS Next 2Y5.4%
EPS Next 3Y4.81%
EPS Next 5YN/A
Revenue Next Year8.78%
Revenue Next 2Y9.68%
Revenue Next 3Y9.31%
Revenue Next 5Y11.22%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last 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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
NHI is valuated quite expensively with a Price/Earnings ratio of 26.23.
Based on the Price/Earnings ratio, NHI is valued a bit cheaper than the industry average as 73.44% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 26.31. NHI is around the same levels.
NHI is valuated rather expensively with a Price/Forward Earnings ratio of 24.01.
86.72% of the companies in the same industry are more expensive than NHI, based on the Price/Forward Earnings ratio.
NHI is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 36.59, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.23 | ||
| Fwd PE | 24.01 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, NHI is valued a bit more expensive than 78.13% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 18.11 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
NHI has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)7.98
PEG (5Y)N/A
EPS Next 2Y5.4%
EPS Next 3Y4.81%
5. Dividend
5.1 Amount
NHI has a Yearly Dividend Yield of 4.62%, which is a nice return.
Compared to an average industry Dividend Yield of 6.38, NHI has a dividend in line with its industry peers.
NHI's Dividend Yield is rather good when compared to the S&P500 average which is at 2.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.62% |
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.
The dividend of NHI decreased 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%
79.48
-0.14 (-0.18%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners75.16%
Inst Owner Change-1.12%
Ins Owners1.94%
Ins Owner Change0.75%
Market Cap3.79B
Revenue(TTM)355.56M
Net Income(TTM)147.08M
Analysts78.18
Price Target85.81 (7.96%)
Short Float %3.93%
Short Ratio8.67
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.62% |
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)2.59%
PT rev (3m)2.24%
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)0%
Revenue NQ rev (3m)0.35%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.13%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.23 | ||
| Fwd PE | 24.01 | ||
| P/S | 10.65 | ||
| P/FCF | N/A | ||
| P/OCF | 16.72 | ||
| P/B | 2.56 | ||
| P/tB | 2.56 | ||
| EV/EBITDA | 18.11 |
EPS(TTM)3.03
EY3.81%
EPS(NY)3.31
Fwd EY4.16%
FCF(TTM)-0.7
FCFYN/A
OCF(TTM)4.75
OCFY5.98%
SpS7.46
BVpS31.09
TBVpS31.09
PEG (NY)7.98
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 | 333.16% | ||
| Cap/Sales | 73.06% | ||
| Interest Coverage | 3.47 | ||
| Cash Conversion | 85.15% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.12 | ||
| Quick Ratio | 2.12 | ||
| Altman-Z | 2.07 |
F-Score6
WACC7.54%
ROIC/WACC0.75
Cap/Depr(3y)89.28%
Cap/Depr(5y)89.91%
Cap/Sales(3y)19.27%
Cap/Sales(5y)20.88%
Profit Quality(3y)140.72%
Profit Quality(5y)127.73%
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 Year8.78%
Revenue Next 2Y9.68%
Revenue Next 3Y9.31%
Revenue Next 5Y11.22%
EBIT growth 1Y1.36%
EBIT growth 3Y0.41%
EBIT growth 5Y-3.04%
EBIT Next Year56.93%
EBIT Next 3Y21.36%
EBIT Next 5Y16.68%
FCF growth 1Y-124.57%
FCF growth 3Y-26.33%
FCF growth 5Y24.64%
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%.