PACS GROUP INC (PACS)
US69380Q1076 - Common Stock
PACS gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 113 industry peers in the Health Care Providers & Services industry. Both the profitability and financial health of PACS have multiple concerns. PACS has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year PACS was profitable.
1.2 Ratios
PACS has a Return On Assets of 2.90%. This is in the better half of the industry: PACS outperforms 69.91% of its industry peers.
With an excellent Return On Equity value of 19.73%, PACS belongs to the best of the industry, outperforming 91.15% of the companies in the same industry.
PACS has a Return On Invested Capital (4.38%) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.9% | ||
| ROE | 19.73% | ||
| ROIC | 4.38% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
PACS's Profit Margin of 3.63% is fine compared to the rest of the industry. PACS outperforms 76.99% of its industry peers.
PACS has a better Operating Margin (6.68%) than 72.57% of its industry peers.
With a Gross Margin value of 21.33%, PACS perfoms like the industry average, outperforming 46.02% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.68% | ||
| PM (TTM) | 3.63% | ||
| GM | 21.33% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), PACS is destroying value.
Compared to 1 year ago, PACS has about the same amount of shares outstanding.
PACS has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.60, we must say that PACS is in the distress zone and has some risk of bankruptcy.
PACS has a Altman-Z score (1.60) which is in line with its industry peers.
PACS has a Debt/Equity ratio of 0.90. This is a neutral value indicating PACS is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.90, PACS is doing worse than 64.60% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.9 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.6 |
ROIC/WACC0.52
WACC8.34%
2.3 Liquidity
PACS has a Current Ratio of 1.71. This is a normal value and indicates that PACS is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of PACS (1.71) is better than 62.83% of its industry peers.
PACS has a Quick Ratio of 1.71. This is a normal value and indicates that PACS is financially healthy and should not expect problems in meeting its short term obligations.
PACS has a Quick ratio of 1.71. This is in the better half of the industry: PACS outperforms 67.26% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.71 | ||
| Quick Ratio | 1.71 |
3. Growth
3.1 Past
PACS shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -25.00%.
PACS shows a strong growth in Revenue. In the last year, the Revenue has grown by 28.47%.
EPS 1Y (TTM)-25%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-144.28%
Revenue 1Y (TTM)28.47%
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%29.08%
3.2 Future
The Earnings Per Share is expected to grow by 41.62% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 19.08% on average over the next years. This is quite good.
EPS Next Y26.53%
EPS Next 2Y54.51%
EPS Next 3Y41.62%
EPS Next 5YN/A
Revenue Next Year29.04%
Revenue Next 2Y23.56%
Revenue Next 3Y19.08%
Revenue Next 5YN/A
3.3 Evolution
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 21.78, which indicates a rather expensive current valuation of PACS.
Based on the Price/Earnings ratio, PACS is valued a bit cheaper than 69.03% of the companies in the same industry.
PACS is valuated rather cheaply when we compare the Price/Earnings ratio to 28.96, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 9.08, the valuation of PACS can be described as reasonable.
PACS's Price/Forward Earnings ratio is rather cheap when compared to the industry. PACS is cheaper than 92.04% of the companies in the same industry.
PACS is valuated cheaply when we compare the Price/Forward Earnings ratio to 23.82, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.78 | ||
| Fwd PE | 9.08 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, PACS is valued a bit cheaper than 63.72% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 13.43 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as PACS's earnings are expected to grow with 41.62% in the coming years.
PEG (NY)0.82
PEG (5Y)N/A
EPS Next 2Y54.51%
EPS Next 3Y41.62%
5. Dividend
5.1 Amount
PACS does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
PACS GROUP INC
NYSE:PACS (11/21/2024, 8:04:01 PM)
After market: 16.92 +0.37 (+2.24%)16.55
-0.7 (-4.06%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap2.57B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.78 | ||
| Fwd PE | 9.08 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.82
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.9% | ||
| ROE | 19.73% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 6.68% | ||
| PM (TTM) | 3.63% | ||
| GM | 21.33% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.8
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.9 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.71 | ||
| Quick Ratio | 1.71 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-25%
EPS 3YN/A
EPS 5Y
EPS Q2Q%
EPS Next Y26.53%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)28.47%
Revenue growth 3YN/A
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y