SELECT MEDICAL HOLDINGS CORP (SEM) Fundamental Analysis & Valuation
NYSE:SEM • US81619Q1058
16.25 USD
0 (0%)
At close: Mar 6, 2026
16.25 USD
0 (0%)
After Hours: 3/6/2026, 8:04:00 PM
This SEM fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
SEM gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 101 industry peers in the Health Care Providers & Services industry. SEM has a medium profitability rating, but doesn't score so well on its financial health evaluation. SEM scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. SEM Profitability Analysis
1.1 Basic Checks
- In the past year SEM was profitable.
- In the past year SEM had a positive cash flow from operations.
- In the past 5 years SEM has always been profitable.
- Each year in the past 5 years SEM had a positive operating cash flow.
1.2 Ratios
- SEM has a Return On Assets (2.44%) which is comparable to the rest of the industry.
- With a decent Return On Equity value of 8.38%, SEM is doing good in the industry, outperforming 66.34% of the companies in the same industry.
- Looking at the Return On Invested Capital, with a value of 5.27%, SEM is in line with its industry, outperforming 57.43% of the companies in the same industry.
- SEM had an Average Return On Invested Capital over the past 3 years of 4.28%. This is below the industry average of 9.07%.
- The last Return On Invested Capital (5.27%) for SEM is above the 3 year average (4.28%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.44% | ||
| ROE | 8.38% | ||
| ROIC | 5.27% |
ROA(3y)3.12%
ROA(5y)3.34%
ROE(3y)13.23%
ROE(5y)17.79%
ROIC(3y)4.28%
ROIC(5y)4.69%
1.3 Margins
- SEM has a Profit Margin of 2.62%. This is in the better half of the industry: SEM outperforms 64.36% of its industry peers.
- In the last couple of years the Profit Margin of SEM has declined.
- With a decent Operating Margin value of 6.17%, SEM is doing good in the industry, outperforming 69.31% of the companies in the same industry.
- SEM's Operating Margin has declined in the last couple of years.
- With a Gross Margin value of 11.54%, SEM is not doing good in the industry: 71.29% of the companies in the same industry are doing better.
- In the last couple of years the Gross Margin of SEM has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.17% | ||
| PM (TTM) | 2.62% | ||
| GM | 11.54% |
OM growth 3Y25.21%
OM growth 5Y-6.51%
PM growth 3Y-8.86%
PM growth 5Y-10.34%
GM growth 3Y9.83%
GM growth 5Y-4.91%
2. SEM Health Analysis
2.1 Basic Checks
- SEM has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- Compared to 1 year ago, SEM has less shares outstanding
- SEM has less shares outstanding than it did 5 years ago.
- The debt/assets ratio for SEM is higher compared to a year ago.
2.2 Solvency
- Based on the Altman-Z score of 1.62, we must say that SEM is in the distress zone and has some risk of bankruptcy.
- SEM has a Altman-Z score (1.62) which is comparable to the rest of the industry.
- The Debt to FCF ratio of SEM is 15.74, which is on the high side as it means it would take SEM, 15.74 years of fcf income to pay off all of its debts.
- SEM has a Debt to FCF ratio (15.74) which is in line with its industry peers.
- SEM has a Debt/Equity ratio of 1.07. This is a high value indicating a heavy dependency on external financing.
- SEM has a worse Debt to Equity ratio (1.07) than 61.39% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.07 | ||
| Debt/FCF | 15.74 | ||
| Altman-Z | 1.62 |
ROIC/WACC0.63
WACC8.33%
2.3 Liquidity
- A Current Ratio of 1.04 indicates that SEM should not have too much problems paying its short term obligations.
- SEM's Current ratio of 1.04 is on the low side compared to the rest of the industry. SEM is outperformed by 67.33% of its industry peers.
- A Quick Ratio of 1.04 indicates that SEM should not have too much problems paying its short term obligations.
- Looking at the Quick ratio, with a value of 1.04, SEM is in line with its industry, outperforming 41.58% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.04 | ||
| Quick Ratio | 1.04 |
3. SEM Growth Analysis
3.1 Past
- The earnings per share for SEM have decreased strongly by -30.30% in the last year.
- SEM shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -9.36% yearly.
- SEM shows a small growth in Revenue. In the last year, the Revenue has grown by 5.12%.
- SEM shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -0.29% yearly.
EPS 1Y (TTM)-30.3%
EPS 3Y-2.22%
EPS 5Y-9.36%
EPS Q2Q%223.08%
Revenue 1Y (TTM)5.12%
Revenue growth 3Y5.76%
Revenue growth 5Y-0.29%
Sales Q2Q%6.41%
3.2 Future
- Based on estimates for the next years, SEM will show a very strong growth in Earnings Per Share. The EPS will grow by 21.64% on average per year.
- SEM is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.74% yearly.
EPS Next Y15.13%
EPS Next 2Y15.26%
EPS Next 3Y21.64%
EPS Next 5YN/A
Revenue Next Year4.33%
Revenue Next 2Y4.74%
Revenue Next 3YN/A
Revenue Next 5YN/A
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. SEM Valuation Analysis
4.1 Price/Earnings Ratio
- SEM is valuated correctly with a Price/Earnings ratio of 14.13.
- SEM's Price/Earnings ratio is rather cheap when compared to the industry. SEM is cheaper than 84.16% of the companies in the same industry.
- When comparing the Price/Earnings ratio of SEM to the average of the S&P500 Index (26.29), we can say SEM is valued slightly cheaper.
- With a Price/Forward Earnings ratio of 12.27, SEM is valued correctly.
- Based on the Price/Forward Earnings ratio, SEM is valued cheaper than 84.16% of the companies in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 24.57, SEM is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.13 | ||
| Fwd PE | 12.27 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SEM indicates a rather cheap valuation: SEM is cheaper than 81.19% of the companies listed in the same industry.
- Based on the Price/Free Cash Flow ratio, SEM is valued a bit cheaper than 72.28% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.16 | ||
| EV/EBITDA | 8 |
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 SEM's earnings are expected to grow with 21.64% in the coming years.
PEG (NY)0.93
PEG (5Y)N/A
EPS Next 2Y15.26%
EPS Next 3Y21.64%
5. SEM Dividend Analysis
5.1 Amount
- With a Yearly Dividend Yield of 1.54%, SEM has a reasonable but not impressive dividend return.
- SEM's Dividend Yield is rather good when compared to the industry average which is at 0.49. SEM pays more dividend than 90.10% of the companies in the same industry.
- SEM's Dividend Yield is comparable with the S&P500 average which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.54% |
5.2 History
- SEM has paid a dividend for at least 10 years, which is a reliable track record.
- SEM has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
- 21.99% of the earnings are spent on dividend by SEM. This is a low number and sustainable payout ratio.
DP21.99%
EPS Next 2Y15.26%
EPS Next 3Y21.64%
SEM Fundamentals: All Metrics, Ratios and Statistics
16.25
0 (0%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)02-19 2026-02-19/amc
Earnings (Next)04-29 2026-04-29/amc
Inst Owners82.51%
Inst Owner Change-3.76%
Ins Owners11.15%
Ins Owner Change0.41%
Market Cap2.02B
Revenue(TTM)5.45B
Net Income(TTM)142.92M
Analysts77.78
Price Target17.88 (10.03%)
Short Float %3.39%
Short Ratio4.08
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.54% |
Yearly Dividend0.25
Dividend Growth(5Y)N/A
DP21.99%
Div Incr Years0
Div Non Decr Years3
Ex-Date03-02 2026-03-02 (0.0625)
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)9.41%
Min EPS beat(2)-31%
Max EPS beat(2)49.82%
EPS beat(4)2
Avg EPS beat(4)11.24%
Min EPS beat(4)-31%
Max EPS beat(4)49.82%
EPS beat(8)3
Avg EPS beat(8)-11.03%
EPS beat(12)7
Avg EPS beat(12)-1.92%
EPS beat(16)8
Avg EPS beat(16)-6.67%
Revenue beat(2)2
Avg Revenue beat(2)1.44%
Min Revenue beat(2)1.43%
Max Revenue beat(2)1.45%
Revenue beat(4)2
Avg Revenue beat(4)-0.51%
Min Revenue beat(4)-3.62%
Max Revenue beat(4)1.45%
Revenue beat(8)4
Avg Revenue beat(8)-1.37%
Revenue beat(12)8
Avg Revenue beat(12)-0.69%
Revenue beat(16)10
Avg Revenue beat(16)5.67%
PT rev (1m)-3.49%
PT rev (3m)-3.49%
EPS NQ rev (1m)4.58%
EPS NQ rev (3m)4.58%
EPS NY rev (1m)0%
EPS NY rev (3m)2.41%
Revenue NQ rev (1m)-0.21%
Revenue NQ rev (3m)-0.21%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.37%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.13 | ||
| Fwd PE | 12.27 | ||
| P/S | 0.37 | ||
| P/FCF | 17.16 | ||
| P/OCF | 5.81 | ||
| P/B | 1.18 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8 |
EPS(TTM)1.15
EY7.08%
EPS(NY)1.32
Fwd EY8.15%
FCF(TTM)0.95
FCFY5.83%
OCF(TTM)2.8
OCFY17.22%
SpS44.04
BVpS13.77
TBVpS-6.11
PEG (NY)0.93
PEG (5Y)N/A
Graham Number18.88
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.44% | ||
| ROE | 8.38% | ||
| ROCE | 6.91% | ||
| ROIC | 5.27% | ||
| ROICexc | 5.3% | ||
| ROICexgc | 10.74% | ||
| OM | 6.17% | ||
| PM (TTM) | 2.62% | ||
| GM | 11.54% | ||
| FCFM | 2.15% |
ROA(3y)3.12%
ROA(5y)3.34%
ROE(3y)13.23%
ROE(5y)17.79%
ROIC(3y)4.28%
ROIC(5y)4.69%
ROICexc(3y)4.32%
ROICexc(5y)4.74%
ROICexgc(3y)8.45%
ROICexgc(5y)10.81%
ROCE(3y)5.62%
ROCE(5y)6.16%
ROICexgc growth 3Y36.24%
ROICexgc growth 5Y-11.26%
ROICexc growth 3Y45.51%
ROICexc growth 5Y-3.96%
OM growth 3Y25.21%
OM growth 5Y-6.51%
PM growth 3Y-8.86%
PM growth 5Y-10.34%
GM growth 3Y9.83%
GM growth 5Y-4.91%
F-Score5
Asset Turnover0.93
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.07 | ||
| Debt/FCF | 15.74 | ||
| Debt/EBITDA | 3.82 | ||
| Cap/Depr | 163.38% | ||
| Cap/Sales | 4.2% | ||
| Interest Coverage | 2.79 | ||
| Cash Conversion | 72.71% | ||
| Profit Quality | 82.03% | ||
| Current Ratio | 1.04 | ||
| Quick Ratio | 1.04 | ||
| Altman-Z | 1.62 |
F-Score5
WACC8.33%
ROIC/WACC0.63
Cap/Depr(3y)127.38%
Cap/Depr(5y)112.75%
Cap/Sales(3y)4.41%
Cap/Sales(5y)4.06%
Profit Quality(3y)122.64%
Profit Quality(5y)96.78%
High Growth Momentum
Growth
EPS 1Y (TTM)-30.3%
EPS 3Y-2.22%
EPS 5Y-9.36%
EPS Q2Q%223.08%
EPS Next Y15.13%
EPS Next 2Y15.26%
EPS Next 3Y21.64%
EPS Next 5YN/A
Revenue 1Y (TTM)5.12%
Revenue growth 3Y5.76%
Revenue growth 5Y-0.29%
Sales Q2Q%6.41%
Revenue Next Year4.33%
Revenue Next 2Y4.74%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y25.29%
EBIT growth 3Y32.43%
EBIT growth 5Y-6.78%
EBIT Next Year43.55%
EBIT Next 3Y18.69%
EBIT Next 5YN/A
FCF growth 1Y-60.35%
FCF growth 3Y7.47%
FCF growth 5Y-33.2%
OCF growth 1Y-33.1%
OCF growth 3Y6.75%
OCF growth 5Y-19.55%
SELECT MEDICAL HOLDINGS CORP / SEM FAQ
Can you provide the ChartMill fundamental rating for SELECT MEDICAL HOLDINGS CORP?
ChartMill assigns a fundamental rating of 5 / 10 to SEM.
What is the valuation status for SEM stock?
ChartMill assigns a valuation rating of 7 / 10 to SELECT MEDICAL HOLDINGS CORP (SEM). This can be considered as Undervalued.
Can you provide the profitability details for SELECT MEDICAL HOLDINGS CORP?
SELECT MEDICAL HOLDINGS CORP (SEM) has a profitability rating of 5 / 10.
What are the PE and PB ratios of SELECT MEDICAL HOLDINGS CORP (SEM) stock?
The Price/Earnings (PE) ratio for SELECT MEDICAL HOLDINGS CORP (SEM) is 14.13 and the Price/Book (PB) ratio is 1.18.
Can you provide the financial health for SEM stock?
The financial health rating of SELECT MEDICAL HOLDINGS CORP (SEM) is 3 / 10.